Grand Resort Properties
Based out of Omaha, Nebraska, Grand Resort Properties had a distinctly midwestern approach to their destination club. Amongst the club's launch portfolio included destinations like Lake of the Ozarks, Missouri and Dahlonega, Georgia. In addition, the club also had properties in more common destination club areas such as Cabo San Lucas, Scottsdale, and Steamboat Springs.
Founded by Brad Brown, Chief Executive Officer of Archistructure, an award winning designer and builder of luxury homes, Grand Resort Properties averaged $2.3 million each. Early in the club's launch phase, members could choose between two membership options: membership or equity ownership. "We have taken all of the positive attributes of vacation living and established a company that provides a financial option based on your level of comfort. Grand Resort Properties even gives qualified investors the opportunity to share in the appreciation and profits with our equity ownership option. The choice is yours."
Grand Resort Properties had five different membership plans, ranging from a $50,000 membership fee with $2,995 in annual dues to $500,000 with $7,995 in annual dues. The club was one of the few in the industry who also attach a nightly fee to their membership.
As an additional revenue source, the club also allowed prospective members and luxury travelers the opportunity to rent properties on a last minute availability. As the club moved past the launch phase, the club would transition away from this and make properties exclusive to members.
The club's conservative business model was met with a very lean staff, modeled for a stable and organic membership acquisition plan, but it still was not enough as the club filed for bankruptcy early in 2010. "Grand Resort Properties has filed for Chapter 11 and we are in the process of developing a new business model," Brown told us following the announcement. While working towards this new business structure, Grand Resort Properties also would consider other ideas, including an acquisition or merger with another destination club. "I feel there could be an opportunity here for both parties," Brown would continue about a possible union with another club.
To learn more about Grand Resort Properties, please visit the club's quick links found to the right or request a free copy of our Destination Club Guide.
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