The Elan Report

The Elan Collection Debuts Exclusive California Lifestyle Collection

2011-03-25T09:29:00.000-07:00

The Elan Collection has announced the debut of the California Lifestyle Collection. An exclusive, limited offer, the California Lifestyle Collection is a rare opportunity to own a share of four of the finest lifestyle properties in California.

Future owners will have the glamour and sophistication of an historic mansion in San Francisco, the relaxation and tranquility of a 43-acre wine country estate in Napa Valley, the world-class golf experience of a private villa overlooking the Pebble Beach Golf Course and the excitement of skiing and boating at a lakefront retreat on Lake Tahoe. As with all Elan properties, each share comes with The Elan Collection's five-star concierge services and management program for a truly carefree ownership experience. There is also opportunity to exchange reciprocal usage within other Elan Collection homes in Aspen, Santa Barbara, Jackson Hole Wyoming, Las Vegas, Turks and Caicos, Cabo San Lucas, South of France and future locations. Only 10 shares are available in the California Lifestyle Collection. For more information, contact Olivia Hsu Decker at (415) 435-1600.

The Shrinking Second Home

2011-02-15T16:13:00.000-08:00

The Wall Street Journal covered a story back in August 2010 called "The Shrinking Second Home," and we still think it's interesting now. The article, by Juliet Chung, touted the trend of "affordable housing for the affluent." While it didn't cover the luxury fractional market, per se, it did highlight a growing niche catering to people seeking a second, or third, or even fourth home with top-of-the-line amenities like concierge, beach access or golf course access--that doesn't break the bank. It seems T he Elan Collection isn't alone in our belief that owning a luxury vacation home need not tie up all of your financial assets or come with the stresses and responsibilities associated with typical home ownership...and we think that's just grand.

Market for Vacation Homes on the Rise

2011-01-14T10:54:00.000-08:00

According to the Wall Street Journal this week, "sales in many vacation communities across the U.S. soared last year to levels not seen since boom times." The market for vacation homes seems to be growing in the wake of price reductions, growing optimism about the future and buyers' rising stock portfolios, said NAR economist Lawrence Yun in the article. (He also noted that demand is strongest in areas close to stable labor markets.)

The uptick in demand for vacation homes seems to suggest buyers' return to the ultimate luxury in life: time. The affluent want more time with their families, more time to build memories and more time to enjoy the fruits of their labor. Yet, rather than burden themselves with the responsibilities of whole ownership, they could seek out fractional home ownership with a private residence club like The Elan Collection. A fractional vacation home in their favorite destination--be it the Southern California coast or the mountains of Aspen--gives them the opportunity to enjoy four weeks of guaranteed use in the home of their choice, while being treated to amenities and services such as a personal concierge, onsite luxury vehicle, personal item placement in the home and more. The Elan Collection also takes care of all of the details associated with typical home ownership and property management. And best of all, owners have the option of exchanging use rights for another Elan property of their choice...which means there will always be a new vacation adventure to experience.

What's your pulse on the vacation market? Are buyers more optimistic this year, compared to last year?

Luxury Real Estate Market Predictions 2011

2011-01-04T09:02:00.000-08:00

Nothing inspires market predictions like a New Year. Along with a new sense of optimism and opportunity, comes the usual chorus of predictions sung by real estate experts and economists. Will the luxury market continue its recovery in 2011? Will international buyers be entering the market with the same enthusiasm as they did in 2010? What will the luxury housing narrative be in 2011?

These are the kinds of questions even the savviest real estate investors are asking themselves as they usher in 2011. Thankfully, our friends at Ocean Home magazine have offered up some answers. The editors recently interviewed Laurie Moore-Moore, Founder and CEO of The Institute of Luxury Home Marketing in their recent report, "Luxury Market Predictions for 2011." Here are some key insights from the interview:

1. HOUSEHOLD WEALTH RECOVERY

"Unless we have some 'wild card' economic event that sends everything spiraling down, the wealth recovery will continue and it will continue to be more global," said Moore-Moore. She noted that North America, Europe, China, Russia, Turkey and Brazil will continue to see a greater percentage of growth in the number of wealthy households. And what about the U.S., specifically? Net worth for U.S. households and individuals increased 2 percent in third quarter 2010. While the average U.S. personal savings rate climbed from 0.4 percent in 2005 to 4.3 percent in 2009, and hit 5.5 percent in third quarter 2010. All of these factors seem to indicate that more affluent consumers may be in a stronger position to purchase a luxury vacation home in 2011.

2. LESS IS MORE

We've been saying this for the last year: affluent consumers are shifting away from conspicuous consumption towards conscientious consumption. This trend will continue in 2011. Says Moore-Moore: "Attitudes of affluent consumers appear to have undergone some changes since the economic meltdown. At least for now, 'whispering wealth' rather than 'flaunt it if you have it' seems to be a common philosophy." The luxury vacation home search is now defined by quality and exclusivity as opposed to big, boisterous displays of wealth. As BUILDER magazine's Jenny Sullivan pointed out at the end of 2010: "Today's value set is more cerebral, focusing on simplicity, resourcefulness, health, community, and practicality." Simplicity, resourcefulness, practicality, quality and exclusivity are values at the very heart of The Élan Collection, which brings the benefits of luxury fractional home ownership to the exclusive world of private residence clubs. Simplicity...because Élan owners can enjoy resort-caliber amenities and services while The Élan Collection takes care of all of the details associated with typical home ownership and property management. Practicality...because they are only buying what they will realistically use. Quality...because The Élan Collection offers uniquely crafted properties so rare that they can never be duplicated at any cost today. And exclusivity...because The Élan Collection only offers a handful of fractional opportunities in each residence, and many residences are set behind private gates, nestled on their own private beach or tucked away on a quiet hillside overlooking town.

3. LUXURY MARKET PERFORMANCE

"Nationally, the luxury housing market has already started to outperform the overall housing market. According to the National Association of Realtors, the market segment which has seen growth in the number of transactions in 2010, is the over $1 million price point," said Moore-Moore. Manhattan is one area where the luxury market's upward motion is in full effect. The New York Times reported today that luxury home sales of $3 million and up made a strong return in the final months of 2010.

4. INTERNATIONAL BUYERS

According to Moore-Moore, U.S. purchases by international buyers will be important in 2011. "The growth in wealth around the world will help fuel demand for foreign buyers to purchase in the U.S. The U.S. is still viewed as a safe haven for investment," she said. She also noted that "prime property in prime locations (especially waterfront with private docks or marina access) will lead the rebound when it comes." That's welcome news for future owners in The Élan Collection. From a beachfront estate on the Turks and Caicos Islands to a spacious lakefront retreat right on Lake Tahoe, Élan's properties have been handpicked for their sought-after locations in some of the world's most desirable destinations. And what's more, The Élan Collection continues to search out properties in prime locales across the U.S. and abroad to give owners the quintessential Élan vacation lifestyle experience.

No doubt, 2011 will be the year to watch for luxury real estate buyers. Will they look back on 2011 with pride, knowing they invested in a luxury vacation experience that allows them to put their own well-being and the health of their personal relationships first?

Shared Ownership Trend Watch 2011: Elan Style

2010-12-14T12:29:00.000-08:00

What exactly are "twinsumers" and "social-ites"? Ever heard of "urbanomics"? And what about the oxymoron, "planned spontaneity"?

These are some of the trends to watch in 2011, according to the forward-looking folks at www.trendingwatch.com. You can find the complete list of trends here, but The Élan Report is covering 5 trends as they relate to the shared ownership resort real estate industry: Urbanomics, Pricing Pandemonium, Social-ites and Twinsumers, Planned Spontaneity and Owner-less.

1. URBANOMICS:

Not a surprise to us, but urbanization will be a top trend--not only for 2011, but possibly for the next decade--as people move out of the suburbs and back into the cities, where they're seeking a lifestyle with easier access to employment, arts and culture, transportation, etc. "Urban consumers tend to be more daring, more liberal, more tolerant, more experienced, more prone to trying new products, and services," wrote Don Long of PMA Newsline. What does that mean for The Élan Collection, and for those of us in the shared ownership resort industry? It could mean offering more properties in desirable urban centers, such as Manhattan, San Francisco or San Diego. Or it could mean that future marketing must appeal to the refined and sophisticated tastes of urbanites.

2. PRICING PANDEMONIUM:

Although consumers have always kept an eye out for special offers and discounts, 2011 will usher in a new era of what Trending Watch calls, "Pricing Pandemonium." Since more consumers are constantly connected to their social media networks, they can quickly and easily spread the word about new deals and promotions online. Also, consumers will increasingly become part of exclusive networks or groups to receive those special deals. With the advent of Groupon and other like groups for the retail sector, The Élan Collection started offering Ultimate Escapes members a special 15% discount for shared interest ownership in Élan residences through November 30, 2010. We also offered a special summer discount promotion.

3. SOCIAL-ITES AND TWINSUMERS:

We already know that word of mouth and recommendations are part-and-parcel to any modern marketing strategy--regardless of the industry. "Twinsumers" are "consumers with similar consumer patterns, likes and dislikes and who are hence valuable sources for recommendations on what to buy and experience," according to Long. Meanwhile, "social-ites" are about discovery, i.e. they are online curators, "actively broadcasting, remixing, compiling, commenting, sharing and recommending content, products, purchases, experiences to both their friends and wider audiences," added Long. The Élan Collection recognizes the importance of word of mouth (as exemplified by our presence on Twitter and Facebook) to capture affluent audiences who are increasingly using social media. However, we also place a high value on recommendations and referrals. A survey by The Luxury Institute found that an overwhelming majority of wealthy consumers rely on ratings, reviews sites, trusted experts, as well as their own friends and family to facilitate purchasing decisions.

4. PLANNED SPONTANEITY:

Because lifestyles have become more fragmented in recent years due to urbanization (leading to more diverse activity choices) and smartphones (which make it easy to plan on a whim), 2011 will be the year of "planned spontaneity," says Trending Watch. "Consumers today want services that allow for "endless and almost effortless mass mingling with friends, family, colleagues or strangers-who-may-become-friends-or-dates," wrote Long. It isn't that much different for affluent travelers: ease of use remains at the top of their wish list. Planning luxury vacations has never been easier with The Élan Collection. Élan Owners can conveniently book their vacation through an online Reservation System. And since the properties are already built and lavishly furnished, owner-members can vacation at their Élan property as soon as the property closes escrow. But here is the best part: owners will have the option to exchange property use rights for equal time at any Èlan property of their choice...ensuring owners will never grow bored of vacationing in one locale.

5. OWNER-LESS:

2011 will be the year of "access," as opposed to full ownership, concludes Trending Watch. Why? "Traditional ownership implies a certain level of responsibility, cost and commitment," notes Long. Fractional ownership opportunities, such as those found at The Élan Collection, "offer the possibility of perpetual upgrades to the latest and greatest, the ability to maximize the number and variety of experiences, and allow consumers access to otherwise out-of-reach luxuries"--such as a beachfront palace in the Turks and Caicos. Now that is a trend we can (and will) get behind!

Do you agree with these trends? What other trends are you seeing for 2011? Please share them with us!

Sneak Preview: Elan's New Lake Tahoe Waterfront Estate

2010-12-07T12:35:00.000-08:00

In anticipation of a full announcement of The Élan Collection's newest addition in Lake Tahoe, we thought we'd offer up a sneak preview of the waterfront estate in Zephyr Cove, Nevada.

Providing full lakefront access, this "unique treasure" of an estate features more than 5,000 square feet of sumptuous living space, four bedrooms, six baths, two lakeside decks, a private sandy beach, an office/study and a family game room with home theater. Stunning architectural design and details permeate the residence and are highlighted by a dramatic staircase and unique wall finishes. The functional floor plan is suitably designed to accommodate groups of all sizes. Élan owners and guests of this Lake Tahoe fractional residence will enjoy lakefront access as well as an outdoor living area graced by a bubbling hot tub, plus all of the amenities and services that come with The Élan Collection.

A total of 12 fractional shares will be offered within the residence, with fractional shares beginning at $650,000--the most affordable yet in The Élan Collection. More details will be available soon (keep checking www.elanprc.com for updates). To be among the first to take advantage of this exclusive offering, please contact Stan Tonkin, vice president of international marketing and sales for The Élan Collection: stonkin@elanprc.com.

The Elan Collection Extends Special Offer to Ultimate Escapes Members

2010-11-15T15:16:00.000-08:00

The Élan Collection recently made headlines in Fractional Life and Destination Club News. An ultra luxury private residence club, The Élan Collection is currently offering U ltimate Escapes members a special 15% discount for shared interest ownership in all Élan residences until November 30, 2010. Ultimate Escapes members who want to find out more about this opportunity are encouraged to contact Stan Tonkin, vice president of international marketing and sales for The Élan Collection. He can be reached at stonkin@elanprc.com.

Fractional Life: Ragatz Half-Year Report Shows Positive Signs for Ultra Luxury Fractional Market

2010-11-10T13:59:00.000-08:00

Fractional Life recently reported that fractional consultant Richard Ragatz has released a half-year report for the fractional and PRC market in the U.S., Canada, Mexico and Caribbean. According to the article, the "total sales volume in the shared ownership resort real estate industry (excluding destination clubs) during the first six months of 2010 was about $175.1 million," down from the same period a year ago. However, Ragatz also hinted that the market is showing small signs of recovery at the upper end.

"It appears that the bottom may have been reached and demand is beginning to pick up--at least at the high-end PRC level," noted Ragatz.

Fractional Life also reported that the "projects which achieved the most encouraging performance included those at the higher-price PRC level; those in Colorado and the Caribbean... and those in prime destination resort communities such as Aspen, Vail, New York City, Maui and Los Cabos."

What does this news mean for The Élan Collection? The company's Stan Tonkin, Vice President of International Marketing and Sales, had this to say about the report: "While we continue to watch the overall shared ownership market's activity closely, we are buoyed by the Ragatz Report's findings for a number of reasons. First, we operate at the upper echelons of the luxury market--which have not been as impacted by the recession. And secondly, we are adding properties in many of the prime destination resort communities mentioned by Ragatz. So we feel particularly optimistic about the opportunities for The Élan Collection moving forward."

The Élan Collection recently added a modern, 14-acre riverfront property in Aspen to its portfolio, which already includes a stunning private estate on an acre of prime beachfront in the Turks and Caicos Islands. The Élan Collection is also currently searching for the most desirable properties in New York City, Hawaii, Cabo and Montecito, Calif.

Best Places for Holiday Travel

2010-10-26T08:54:00.001-07:00

In the November 2010 issue of Travel + Leisure, the editors highlighted the "Best Places for Holiday Travel." Cities that made the list include Cabo San Lucas, New York City, Provence and Santa Barbara, which just so happen to be future Élan destinations. Here's a quick run-down of why these tope 4 cities are THE places to be for Christmas, New Year's and every winter holiday from here on out:

1. Cabo San Lucas, Mexico

Pleasant 75-degree weather, secluded beaches, palm trees swaying in the wind, the faint sound of live guitar music in the distance and sipping cocktails overlooking the Sea of Cortés--that's just a little taste of a Cabo vacation in December. "During the day, there’s horseback riding, mountain hikes to the area’s hidden waterfalls, and even deep-sea fishing," according to Travel + Leisure. And The Élan Collection makes the trip even more memorable with A-list amenities: a dedicated 24-hour concierge staff, travel accommodations, daily housekeeping, onsite on-call private limousine service, luxury vehicle to use when in residence and personal item placement inside the home.

2. New York City

Everyone knows that Christmas in Manhattan is magical. Even the most serious visitors can't help but feel a sense of nostalgia upon seeing the city aglow with snow-capped trees and fences, twinkling lights and the massive tree in Rockefeller Center. Holiday shopping takes on a whole new meaning at Macy's, Saks Fifth Avenue and Bloomingdale's after you catch "a whiff of candied nuts" or "make eye contact with a Santa." The Élan Collection will have a pied-a-terre in New York City soon enough...making year after year seem just a little sweeter than the last.

3. Provence, France

If you enjoy a good fairy tale, than look no further than a Provençal winter wonderland. You might find delicate glass ornaments, tableware and rich bûche de Noël at the market at Fontvieille's 16th-century Château d’Estoublon... and don't miss Christmas Eve dinner at the château’s Bistrot Mogador. For the true local experience, you might also venture into St.-Rémy for Fête des Lumières (Dec. 11), when galleries stay open late and the centre ville becomes a block party; or capture a Provençal tree lighting ceremony in Eygalières (Dec 17). Magnifique!

4. Santa Barbara, Calif.

According to Travel + Leisure, "the coastal towns in Santa Barbara County combine New England–style comfort and old California elegance with outrageous holiday kitsch." You've got Summerland’s main shopping street, Stacky's Seaside, and Summerland Winery's tasting room for off-the-beaten-path holiday delights. But also the charming boutique shopping of Montecito and luxury shopping at the tried-and-true Saks Fifth Avenue and Nordstrom on Santa Barbara's State Street. And even if you do decide to visit Santa Claus Lane in Carpenteria, you'll still have the privacy and elegance of your Élan residence to come home to.

How will you spend Christmas, New Year's or other December holidays this year? Are you looking for beach, mountain, country or city?

San Diego Among Best Conservative Residential Real Estate Markets in U.S.

2010-10-12T11:00:00.000-07:00

When it comes to fractional real estate and private residence clubs, lifestyle is usually emphasized over investment potential. But that isn't always a universal truth--especially if you happen to be looking for a vacation home in the San Diego-Carlsbad-San Marcos, Calif. area. According to the Real Estate Channel, the consulting firm Local Market Monitor Inc. recently ranked the Southern California area No. 2 on its top 10 list of best markets for conservative investors because it's showing signs of price stabilization.

Could this be good news for potential vacation buyers who are waiting for the right time to purchase a share in The Élan Collection's fractional oceanfront property in beautiful La Jolla, Calif.? Located about 13 miles from downtown San Diego, Casa del Mar just might offer the best of both worlds: the luxurious and convenient Élan vacation lifestyle (which includes the convenience of exchanging guaranteed use rights for flex time at other Élan properties), and a relatively low probability that home prices will fall much further.

Fractional Ownership News Round-Up

2010-10-07T16:30:00.000-07:00

Every so often, The Élan Report compiles a round-up of the latest fractional and real estate news around the globe. What's happening in the shared vacation ownership world? What's selling and where? Who's buying? And what do current luxury vacation home owners think about their decision to buy? For answers, look no further than... the bullet points below:

Fractional Life reported earlier this week that Paris Home Shares, a U.S. developer of fractional ownership apartments in Paris, France, has announced the sellout of its most recent project, Le Petit Trésor. This news seems to support a July report that overseas investors are expressing increased interest in fractional ownership opportunities.

Earlier this week, Interval International released "Shared Ownership 2010: A Market Perspective Survey," during the 12th Annual Vacation Ownership Investment Conference in Orlando, Florida. The findings? Nearly seven in ten leisure travelers who are familiar with the concept of shared ownership seek vacation experiences that offer alternative accommodations; and "interestingly, four in ten (38%) have stayed in these alternative forms of vacation lodging during the past two years, thereby suggesting a significant level of pent-up demand for these types of resort offerings."

At last month's FractionalSummit in Miami, several luxury shared owners discussed their decision to buy into alternative vacation concepts with Elaine Joli, author of the book Vacation Nation, during a Q&A panel. Most said they learned about the shared ownership concept through a friend or associate who was a current owner/member; most agreed that their membership experience was very satisfactory; and the services and amenities they liked best were 24/7 concierge service, fitness facilities and daily housekeeping. Good to know.

In a Real Estate Channel Q&A on Wednesday, Piers Brown, the founder of Fractional Life, had this to say about the U.S. fractional market: "The U.S. market has been good for a long time, especially in the fractional space. In 2007, the market was worth $2.1 billion dollars. That dropped in 2008 to about $1.6 billion. Now I'm pleased that it is holding up at $1 billion and it looks like 2010 will be a better year." He also believes the high-end fractional offerings, such as those within The Élan Collection, are in better position to weather the ups and downs of the economy.

And lastly, we would be remiss if we did not mention the recent announcement of destination club Ultimate Escapes' bankruptcy, which so many in the shared ownership vacation industry are buzzing about. It is certainly not good news--but it does provide us with an important and timely opportunity to educate consumers, the media and the general public about the vast differences between destination clubs (specifically, non-equity models), private residence clubs and fractionals (both equity models). (It should be noted that The Élan Collection is an equity-based private residence club, where members own the actual homes. We covered this topic in our last blog post here.). It is also a milestone for the shared ownership vacation industry, as we are beginning to see a shift away from non-equity vacation models towards equity-based models. In addition, we must remind people that many shared owners still very much value their vacation homes and experiences, and continue to seek out alternatives to whole ownership. As Luxist blogger Susan Kime put it, "Many members, it must be said, DO love their clubs, can travel wherever/whenever they want to go, and feel they have made the best vacation decision ever." It's something to remember as we watch the final quarter of 2010 play out.

Destinations Clubs vs. Private Residence Clubs

2010-10-01T06:05:00.000-07:00

Recent developments in the vacation industry have made us pause to examine the ways in which the lines between destination clubs and private residence clubs have blurred. It is crucial that today's consumers understand the similarities and differences between the two so they can make an educated decision about their vacation home purchase. Below, we've outlined some of the basics of destination clubs and private residence clubs.

Similarities:

According to the Sherpa Report, "both offer alternatives to fully owning a luxury second home and both offer impeccably furnished, luxurious accommodations." Both also provide five-star hotel levels of service to their members and owners. (Think along the lines of concierge, travel planning, your own personal chef, ski valets, access to the world's best golf courses, luxurious spas, etc.) Both models also "require an initial upfront payment to purchase a membership or share and then both have annual dues or maintenance payments," adds The Sherpa Report. (Though we want to make it clear that "the initial upfront payment" for a private residence club is the actual purchase of a fractional share of real estate--not the cost of joining a club.)

Differences:

1. Location vs. Locations. You might consider destination clubs akin to country club membership. Destination clubs own a portfolio of luxury homes and provide access to all the properties within the club. Members in destination clubs have a variety of locations to choose from each time they go on vacation. When you become a member in a private residence club, on the other hand, you are typically buying a fractional share in one property in one location. However, some private residence clubs, like The Élan Collection, offer the opportunity to exchange your time and location with other locations within their group.

2. Equity. We covered this topic last week--and it's a big one. Typically, destination clubs are considered "non-equity" based, i.e. members are purchasing access to, or use of, a vacation home or resort property. That’s a completely different proposition from directly owning real estate. Some destination clubs have shifted to an equity model. But even with an equity-based club, a member buys into a company and the company’s management, effectively taking on the financial risk of that company. With The Élan Collection, the owners carry an individual deed in their name. It also means they can gain or lose as the real estate values move with the market.

The Élan Difference:

While we named only two main differences between destination clubs and private residence clubs, what makes The Élan Collection unique is that it is a hybrid of both vacation concepts. It combines the flexibility, exclusivity and multiple locations of a destination club with the equity potential of a private residence club. It is an alternative to destination clubs, fractional private residence clubs and full ownership vacation homes. The beauty of going Élan is that they are single private residences owned solely by the owners. Each Élan property is hand-picked for its luxurious location, spectacular amenities and excellent security, while the company takes care of all aspects of property management.

Since research has consistently shown that vacation home owners typically only use their home four to six weeks per year, they can enjoy the same realistic they would with a comparable whole-ownership residence--but at a fraction of the price. And not to mention, they can retain appreciation potential and enjoy all of the club-level services and amenities that come with a five-star resort. That's the Élan distinction.

Can you think of other differences between destination clubs and private residence clubs? Do you have questions you'd like to ask us about The Élan Collection, specifically? Please don't hesitate to leave us a comment below, ask us via @reply on Twitter (@elancollection) or email Stan Tonkin privately at stonkin@elanprc.com.

Fractional Ownership and True Equity

2010-09-22T10:58:00.000-07:00

When considering the purchase of a vacation home in a residence club, equity (and the question of whether or not you’ll have it) may take a backseat to visions of sharing vacation memories with your family or having the flexibility to stay in exclusive vacation homes at various desirable locales throughout the year. "Equity" might sound considerably less sexy than "experience" or "exclusivity." However, it is actually one of the most significant advantages to owning a fractional home within a private residence club like The Élan Collection.

“The ‘equity' or deeded interest in an Élan property carries many of the same attributes as whole ownership—but for a fraction of the price,” said Stan Tonkin, vice president of international marketing and sales for The Élan Collection. “When you engage in a deeded real estate transaction with Élan, you will have use in perpetuity.”

Owners also have control of their deeded interest. It is sellable, and not to mention, willable. And, it is a way to enjoy a luxury vacation experience without the expense, responsibility and (sometimes) hassle of owning a property solely. Here is how Tonkin tells it:

“The Élan Collection is a true equity program,” he said. “We try to minimize risk as much as possible. Once the shares in a specific Élan residence are sold, that property is free and clear of encumbrances.”

The amount of time you can use your Élan property is proportionate to the amount of money you invest. For example, if you purchase a share in The Coral House in Turks and Caicos you will have four weeks of guaranteed use, and you have the option of exchanging guaranteed use time with other property owners in different locations through Élan’s voluntary reciprocal use trade program. And of course, you’ll enjoy all of the resort-style amenities you’ve always dreamt of-- 24/7 concierge services, travel accommodations, onsite luxury SUV, private chef and placement of personal items upon each visit.

Just how important is equity to a vacation homebuyer today? Is equity worth more or less? Feel free to share your thoughts with us!

5 Reasons to Buy a Fractional Vacation Home This Year

2010-09-13T11:12:00.000-07:00

The month of September typically marks the end of summer and the beginning of fall. As the weather cools and the leaves change, you might be tempted to make your summer last forever by purchasing a vacation home. However, you might feel some trepidation since the economic outlook hasn't been especially bright lately. Is it the right time to take the plunge? Will a vacation home cramp your lifestyle? And what about purchasing a fractional vacation home...is that a smart alternative?

If you find yourself on the fractional fence this fall, here are five reasons why vacation opportunities like The Élan Collection make more financial sense than you might think:

1. YOU WON'T BE LOCKED INTO ONE PLACE YEAR AFTER YEAR.

As much as you love skiing in Aspen every winter, sometimes you want to vacation in warmer locales like the Carribean or Sourthern California. Since The Élan Collection combines the benefits of fractional ownership with the advantages of a network of destination properties, Élan home owners won't be limited to vacationing in only one city. It's all about having "the option of exchanging guaranteed use rights," said Stan Tonkin, vice president of international marketing and sales of The Élan Collection. "It’s an attractive opportunity because Élan is not just another single residence fractional opportunity. For people looking to buy a vacation home in the current real estate market, it makes a lot of sense."

2. YOU WON'T HAVE TO WORRY ABOUT MAINTAINING A SEASONAL PROPERTY.

Vacation properties frequently sit empty for weeks and months at a time--but the beauty of going Élan is that the company manages all of the typical responsibilities associated with home ownership. You won't have to worry about regular maintenance issues like landscaping or cleaning the property, or more urgent issues such as a broken water main. "When you are away from your Élan home, you will have total peace of mind that the property is well taken care of," added Tonkin. "When you arrive, it will feel like you never left."

3. YOU ARE NOT TYING UP ALL OF YOUR FINANCIAL ASSETS IN A PROPERTY YOU WILL ONLY REALISTICALLY USE 4-6 WEEKS A YEAR.

If you've done your research, then you already know this is the No. 1 mantra for The Élan Collection and the fractional industry, in general. Since typical owners of vacation residences use their properties only four to six weeks per year on average, The Élan Collection is "a significant 'smarter buy,'" said Tonkin. "Our mantra has always been, 'You can enjoy the same realistic use you would enjoy with a comparable whole-ownership residence...but at a fraction of the price.' Plus, you can retain appreciation potential and enjoy club-level services and amenities."

4. YOU'LL HAVE THE BEST OF BOTH WORLDS.

You might be secretly pining away for that gated private villa by the sea, but there is also a part of you that still wants the ease of concierge services and amenities at five-star resorts. With Élan, you can vacation with absolute privacy in your 12,000 square-foot beachfront villa and still enjoy the five-star perks: 24/7 concierge services, travel accommodations, onsite luxury SUV, private chef and placement of personal items upon each visit.

5. YOU CAN FIND TOO-GOOD-TO-PASS UP DEALS.

Several market conditions make buying a fractional vacation home a smart move right now. For starters, the cost of fractional ownership is typically less than comparable resort or local daily rental prices. Vacation home affordability, in general, is also at an all-time high. While home prices have come down overall, Dick Ragatz, founder of the Ragatz Associates, observed earlier this year that the average price per fraction dropped around eight percent in 2009, compared with an estimated drop in the price of whole ownership vacation home prices of 20 to 25 per cent for the same period. And deals abound: for example, The Élan Collection is currently offering a special end-of-summer 15 percent off discount through October. (Email stonkin@elanprc.com for more information).

Can you think of any other reasons why it's a smart choice to purchase a fractional vacation home this year?

4 Bright Spots in the Economy

2010-09-09T11:07:00.000-07:00

Fortune recently highlighted four economic bright spots, and assessed what kind of a lasting impact they might have on the economy: U.S. agriculture, U.S. corporate buying, the auto industry and manufacturing growth. Reporter Nin-Hai Tseng wrote:

"Good economic news has been hard to come by lately, but not all is doom and gloom in America these days. The end of summer ushered in a few signes of progress in some of the unlikeliest corners of the economy. They are no guarantee that the good times are around the corner, but they do provide a helpful reminder that this slow recovery is exactly that: a recovery."

Will manufacturing growth be a boon for the vacation home ownership market? "It usually leads economic recovery," said Stan Tonkin, vice president of international marketing and sales for The Élan Collection. "Luxury vacation homes are discretionary purchases, so consumer confidence plays a big part. It's difficult to predict, but if history is any indication, then the vacation home market would naturally follow manufacturing growth."

At least the numbers are on Tonkin's side: earlier this year, NAR reported that vacation-home sales rose 7.9 percent in 2009. "Historically, people become interested in buying a second home in their mid 40s," said NAR Chief Economist Lawrence Yun at the time. "The large number of people who are now in their 30s and 40s will dominate the second-home market in the coming decade with a strong underlying demand, although sales in a given year will vary depending on the economy."

Do you think Fortune's economic bright spots can boost consumer confidence? Are you seeing any signs of movement in your local vacation home market?

Private Aspen Estate Impresses at Open House

2010-08-31T09:54:00.000-07:00

Last Thursday, The Élan Collection hosted a special open house event for Castle Creek Villa, a 14-acre private riverfront fractional property in Aspen. The exclusive open house hosted over 25 local real estate brokers, plus an equal number of locals and visitors who were intrigued by the Élan concept. Several of the visitors are now in discussions with their brokers about making reservations and taking advantage of the specialpriority pricing offered this summer. What really seemed to get their attention?

"The fact that Élan is not just another single residence fractional opportunity," said Stan Tonkin, vice president of international marketing and sales for The Élan Collection. "As an owner of Castle Creek Villa, they have the option of exchanging their guaranteed use rights for flex time. The consensus of the broker group was that The Élan Collection is a good fit for the Aspen market. We're very excited to bring the Élan concept to a place like Aspen, where the majority of brokers and potential buyers have significant knowledge about fractionals."

What do you think of the Élan concept vs. single residence fractional opportunities? Is it the future of luxury vacationing?

Cabo San Lucas, Anyone?

2010-08-26T09:51:00.000-07:00

At the 2010 Luxury Markets Symposium in Mexico City yesterday, Ricardo Montaudon, Latin America President and General Manager of RCI (a global leader in vacation exchange and one of the Wyndham Worldwide family of brands), noted that the Mexican vacation market is still the No. 1 option for Americans looking to buy abroad. He also added that 45 percent of people RCI surveyed said now is a good time to buy a vacation property. (NAR’s 2010 Investment and Vacation Home Buyers Survey also supports RCI's findings, since vacation-home sales rose 7.9 percent to 553,000 in 2009 from 513,000 in 2008. NAR Chief Economist Lawrence Yun noted at the time the survey was released: "The typical vacation-home buyer is making a lifestyle choice, with nine out of 10 saying they intend to use the property for vacations or as a family retreat.")

What do you think about this news? Are you surprised that Mexico is still the most desirable vacation destination for Americans?

We found the news about the Mexico market particularly interesting because we have been eyeing Cabo San Lucas for some time, in search of the perfect Élan vacation property. We can't reveal too much information at this time, but we can say that we are very close to securing a luxury estate for The Élan Collection in Cabo. If you want to be kept abreast of all of our coming soon properties, feel free to follow us on Facebook or Twitter. You can also contact Stan Tonkin, vice president of international marketing and sales, at stonkin@elanprc.com.

A Tale of Two Fractionals: San Francisco vs. San Diego

2010-08-19T08:30:00.000-07:00

When it comes to urban vacations, is your city style more San Francisco or San Diego? It's sort of like the proverbial downtown vs. uptown question.

Earlier this month, Luxury Fractional Guide gave us an answer in the article called, "A Tale of Two Fractionals: San Francisco vs. San Diego." They covered all the chic things to do in the two California cities--which also happen to be the locations for two of Élan's newest pied-à-terres, Alta Collina in San Francisco and Harbor View West in San Diego. "These cities might 'live' at opposite poles of the Golden State, but both offer their own version of the metropolitan high life: San Francisco, with its edgy cool, cultural eclecticism and classic city history; and San Diego, with its warmer temperatures and laidback city-by-the-sea vibe," the article said.

What would be on your "To Do" list if you were to swing into town for a vacation at Alta Collina or Harbor View West? Check out the full story here for some hints.

Midyear Revue: Top 5 Affluent Market Trends of 2010 (So Far)

2010-08-16T22:49:00.000-07:00

If there's one thing you can count on at The Élan Collection, it's keeping close watch on luxury market news and consumer buying trends. As you know, we have observed “The New Affluent”—an emerging niche of consumers who value conscientious consumption over conspicuous consumption—with particular interest over the last six months. Now that we're past the midyear point, we thought it would be appropriate to recap the Top Five Affluent Market Trends of 2010 so far:

1. THE AFFLUENT ARE SPENDING LESS AND SHOPPING SMARTER.

They still want their luxury goods, but they relish quality--not namesake or status. In other words, they still want to buy their vacation home in Aspen or their Lexus RX, but they might choose a fractional home or a hybrid version instead.

2. FAMILY IS THE NO. 1 PRIORITY.

According to the Survey of Affluence and Wealth in America 2010 (from American Express and Harrison Group), about 83 percent said they eat dinner with their family at least four times a week, up from 16 percent five years ago when they survey began. Real estate expert, Jeremy Conaway, president of RECON Intelligence Services, would agree. Another interesting finding comes from the recent Merril Lynch Affluent Insights Quarterly, which shows the complexities of affluent families: 51 percent of affluent parents cite financial know-how as an important life lesson to impart to their children and 39 percent of these parents are spending more time speaking to their children about financial matters in light of the recent economic recession.

3. CUTTING COSTS IS "IN"; SPENDING FRIVOLOUSLY IS "OUT."

More than 77 percent of respondents in the American Express Survey defined themselves as resourceful and more self-reliant. Online deals and coupons are more popular than ever; and the wealthiest consumers were also more likely to wait for items to go on sale than in the past. And what about that multi-million dollar vacation home in Aspen they were only using 4-6 weeks out of the year? Sold... and replaced with a $1 million share in a luxury fractional estate.

4. VACATIONS ARE STILL IMPORTANT.

According to the 2009 Affluent Shared Ownership Buyer: A Market Profile, nearly nine in ten of those surveyed said that vacationing is important to their well-being and to the health of their personal relationships. Nearly 75 percent of affluent leisure travelers were also interested in purchasing some form of resort real estate in the next two years. Contrast these findings with the the National Association of Realtor's 2010 Investment and Vacation Home Buyers Survey, which found that vacation home sales rose 7.9 percent to 553,000 in 2009 from 513,000 in 2008, and it starts to look like the future for holiday homes is still bright.

5. THEY'RE EMBRACING SOCIAL MEDIA... CAUTIOUSLY.

This one surprised us--but delighted us at the same time. More than 40 percent had Facebook accounts, according to the American Express Survey...though only 8 percent said they use Facebook to make a purchasing decision.

Fortunately for them (and the brokers we have partnered with), The Elan Collection is not only paying attention to the affluent's changing needs and wants, but we are also putting words into action by continuing to add a variety of luxury fractional properties in different price points and locations. If you haven't already done so, make sure to check out our growing portfolio of residences.

What do you think about our list? Do you have any top affluent trends you'd like to add? Let us know!

Market Sharing with Damion Matthews: PART 2

2010-08-11T23:30:00.000-07:00

EDITOR'S NOTE: This is PART 2 of our "Market Sharing" Q&A series with Damion Matthews, a luxury real estate agent in San Francisco and editor of SFLuxe.com. If you missed PART 1, you can read it here.

The Elan Report: Where do you see the luxury market in the city heading in the next year?

Damion Matthews: San Francisco's luxury market has remained relatively sheltered from all the housing issues of the past few years. Prices have fallen, of course, but sale activity has remained steady. I don't see activity either rising or falling in any dramatic fashion, and I don't see sudden shifts occurring in pricing either.

TER: What amenities are your affluent clients looking for in a vacation home?

DM: Views are always number one. If the residence doesn't have a major view, forget about it. After that, they want to be close to the downtown area and really feel like they're in the middle of all the action.

TER: What makes Alta Collina so unusual as a fractional residence?

DM: The first thing I saw when I walked into the home was the bay. It was a clear, sunny day, and the bay was just mesmerizing.

Even though I've lived in the city my entire life, I still took a minute to stop what I was doing and enjoy the view. There's just nothing like it in the United States! You're in the heart of San Francisco, right at the base of Coit Tower, and yet when you go out to one of the balconies, you feel as if you're in a secluded Mediterranean resort.

TER: Who do you see as your ideal buyer of Alta Collina?

DM: That's a tough question because I believe a wide variety of people will enjoy it. I will say that the beautiful setting of the home makes it ideal for anyone looking for a romantic vacation.

Market Sharing with Damion Matthews: PART 1

2010-08-10T14:18:00.000-07:00

Damion Matthews of Engel & Völkers in San Francisco is one of the city's rising stars in the luxury real estate market. He is also editor ofSFLuxe.com, a website that celebrates luxury living in San Francisco. Recently, The Élan Collection joined forces with the chic, cool and tech-savvy Matthews to market the Alta Collina residence in San Francisco's upscale Telegraph Hill. We asked him to give us the inside scoop about the city as a metropolitan vacation destination for our "Market Sharing" Q&A series. Here's Part 1 of the Q&A:

The Élan Report: What makes San Francisco such a unique vacation home market?

Damion Matthews: I always marvel at how San Francisco has something for absolutely everyone. You can easily create your experience of the area to match whatever your lifestyle is. If you want to be cosmopolitan, we have fantastic theaters, nightclubs, restaurants and shopping. If you want to be outdoorsy, we have hiking, surfing, biking, skiing, flying. If you want to be totally relaxed, we have countless spas and opportunities for romantic wine country excursions. We have the nation's best sports teams, some of the most important museums, the leading businesses in the world, a wonderful zoo and lots of kids' attractions, plus glamorous social events for the adults. I mean, there's just always something new and fun to do!

TER: Recently, Fractional Life reported 65 percent of overseas investors have expressed interest in fractional investments this year. Do you see fractional home ownership growing in metropolitan locations like San Francisco?

DM: Oh, absolutely! It's a relatively new concept for San Francisco, but with the high prices that premiere properties command in the area, fractional ownership is exciting to people who love the area but are weary of investing several million dollars into a home they won't use full-time.

TER: If a client was choosing between a pied-à-terre in New York or San Francisco, what would you tell them to ultimately sell them on S.F.?

DM: Ah, the New York versus San Francisco debate! I love it! A lot of people simply have residences in both cities. But it depends on their lifestyle. With so many people needing to do business in the Silicon Valley or in Asia, a San Francisco pied-a-terre is a necessity for a lot of people.

TER: What's your best advice for purchasing a fractional residence in San Francisco?

DM: Buying a vacation property is one of the rare instances when you can actually not feel guilty about letting your emotions guide your purchase. You want to be excited about the place! If you walk in and have that "wow" feeling, then it's the right place. And not just from an emotional standpoint, but from an investment standpoint...because if you decide to sell it later on, your potential buyers will feel the same way about it that you do.

Stay tuned for PART 2 of Matthews' interview tomorrow...

America's Most Romantic Cities

2010-08-05T11:28:00.000-07:00

Perhaps there was a time when you would have cringed at the thought of leaving your passport at home (along with visions of eight-course candle-lit dinners or Dom Perignon-infused cruises down the Seine) for your next romantic trip with your sweetheart. But Travel + Leisure makes the idea of rekindling romance on domestic soil seem chic again (and perhaps not so over-the-top).

The magazine’s 2010 America’s Favorite Cities Surve y—first released in February and profiled yesterday on Yahoo! Travel—compiles readers’ opinions on which cities are the most ideal for a romantic escape.

So, maybe you won’t always have Paris. But what about San Francisco, San Diego or Las Vegas? You’ll find a romantic, luxurious and ultra private fractional hideaway from The Élan Collection in each of these fabulous cities.

San Francisco – Picnicking at Golden Gate Park by day. Dining by candlelight at Hubert Keller’s Fleur de Lys by night. After love is all said and done, retreat to Alta Collina with its spacious outdoor terrace to enjoy romantic views of the bay and Coit Tower.

San Diego – Spend a relaxing day with your honey, frolicking in the sun on Coronado Island, then treat your senses to a night at the San Diego Symphony. And what romantic getaway wouldn’t be complete without a luxurious master suite with a private terrace for enjoying romantic harbor sunsets?

Las Vegas – The city is known for sin, but it’s also a place for igniting passion. Why couldn’t you have your own “What Happens at Élan …” moment at Turnberry Place, where you’d have your own private outdoor pool and spa?

Are any of these destinations at the top of your "most romantic cities" list? Where do you go for a decadent romantic escape?

Fractional "Good" News Round-Up: Élan Style

2010-08-03T09:45:00.000-07:00

When it comes to news about luxury real estate and the fractional market, it's not all doom-and-gloom. Since Fractional Life compiled their list of luxury housing "good news" for the upcoming Fractional Summit USA, we thought we'd add our Élan cents. Here is our round-up of the latest fractional "good news" from around the globe:

According to the National Association of Realtors (NAR) 2010 Investment and Vacation Home Buyers Survey, vacation home sales rose 7.9% from 2008 to 2009. The mean vacation home purchase price in 2009 actually rose by an average of $19,000 to $169,000. NAR Chief Economist Lawrence Yun noted that "the higher vacation home price may reflect increased sales in higher priced markets, particularly in areas of Florida and California where prices became highly attractive for buyers over the past year." Many U.S. buyers are also looking overseas where they get even more for their money--such as The Élan Collection's Turks and Caicos property (which enjoys tax haven status).

A surge in high-end real estate sales in Aspen (where Élan's Castle Creek Villa resides) during the first half of 2010 has begun to turn broker heads, according to the Aspen Daily News. According to one local brokerage firm, 81 percent of second quarter sales in Aspen, Snowmass Village and Woody Creek were above $4 million, compared to 41 percent during the same time a year ago. Add that to the fact that monthly dollar volumes for luxury real estate sales for the first quarter of 2010 were also anywhere from 50% to 300% ahead of the previous year's monthly total (see The Real Estate Channel), and you've got yourself a very interesting upward trend in the Colorado Rockies.

As per Fractional Report, long term demand for fractional vacation ownership looks favorable. There are 39.2 million people in the U.S. ages 50 to 59--a group that dominated sales in the first part of this decade--and 44.8 million people between the ages of 40 and 49.

The latest Case-Shiller Home Price Index reported that home prices increased from April to May by 1.3 %. Prices also increased 4.6% year-over-year. San Francisco (where Élan's newest Alta Collina residence resides) had an 18.3% year-over-year price increase; while San Diego (where Élan's Harbor View West and Casa del Mar are located) had a 12.4% increase. The California Association of Realtors' June numbers also support the Case-Shiller findings: the statewide median price of an existing single-family home increased 13.6% in June compared to the same month a year ago.

Fractional Life reported earlier in July that Property Frontiers, a UK-based property investment specialist, said 65% of their overseas investors this year have expressed interest in fractional investments.

And in an illuminating column that opened the door for a potential surge in fractional ownership popularity, the New York Times' Paul Sullivan recently asked: “If it causes stress, is it really a vacation home?” When the industry average for second homes is just 30 days of use per year, and you add in the time and costs of maintaining a vacation home--the idea of sharing ownership and maintenance costs might sound like a smart decision.

Got any good news to share about the luxury real estate or fractional market? Please share it with us!

Élan and the City: First Pied-à-Terre Comes to San Diego

2010-07-27T13:38:00.000-07:00

Just when you thought Th e Élan Collection was all about beaches and fairways, we bring you urbane living in Southern California (Élan's version of “urban”). Harbor View West, The Élan Collection’s first true pied-à-terre, has started priority sales reservations for 10 fractional shares in downtown San Diego.

The contemporary 4,412 square-foot penthouse occupies the entire 37th floor of the Harbor Club’s elegant West tower…which means 360-degree wrap-around ocean views + two private terraces + plenty of space for hosting cocktail hours with your friends + high-tech touches galore + a front row seat to the waterfront, Coronado Island, Marina, Bridge, Point Loma, nightlife in the Gas Lamp Quarter and shopping at nearby Westfield Horton Plaza. And did we mention that owners of Harbor View West have full access to Harbor Club amenities, plus all of the A-list services that come with The Élan Collection?

Harbor View West just might be luxury urban vacationing at its highest—but it’s the lowest priced fractional opportunity currently offered within The Élan Collection. Want to learn more? Click here.

Secrets to a Happy Élan Retirement

2010-07-21T12:00:00.000-07:00

Today, U.S. News & World Report posted the "7 Secrets to Happy Retirement." Friends, health, intellectual curiosity and money topped the list, but we thought we'd add our own secrets. It's not just about a happy retirement... it's about an èlan retirement as well, oui?

1. Smart Vacations

According to the Watson Wyatt survey, "the absolute amount of money you have for retirement is less important than how your retirement income compares to your income before retirement." In other words, your happiness quotient is a direct result of your ability to maintain the same lifestyle you enjoyed before retirement. Now that you've got more time on your hands, you might be tempted to purchase a luxury vacation property...but why tie up all of your finances in a multi-million dollar home you'll most likely only be able to use a few times a year? With The Élan Collection, you can purchase a share of a property for a fraction of the price, and enjoy 4-5 weeks guaranteed use, property deed rights, plus the ability to exchange use rights at other É lan residences all over the world. It's smart vacation ownership...magnifique!

2. Stress-Free

It goes without saying that good health is the single most important factor impacting retiree happiness. Yet it's hard to achieve good health without keeping your stress levels in check. Robert Greenwood, a real estate broker who is currently selling The Élan Collection's The Coral House in Turks and Caicos, says The Élan Collection is hassle-free vacationing at its best. "You can contact your Élan concierge to schedule your flights, and be picked up at the airport by a staff member," he said. "When you arrive at the house, your worries are over...food is stocked in the fridge, your personal items are laid out as if you never left and all of your needs are taken care of. You truly receive five-star service in one of the most beautiful beach destinations in the world."

A happy retirement might be a healthy retirement, but it could also be an èlan retirement--full of luxury, style, no hassles and financial opportunity. With The Élan Collection, you really can enjoy the gold in your golden years.

Fractional Real Estate Becoming an Increasingly Popular Investment Alternative

2010-07-16T17:45:00.000-07:00

“65 percent of our overseas investors have expressed interest in fractional investments this year.” This is according to Aidan Rankin, an economic analyst for Property Frontiers, a UK-based international property and eco-investment advisory services company.

In a recent article in Fractional Life, Rankin notes that the 65 percent figure is almost double last year’s,"showing that the property market is reinventing itself or shape-shifting in ways that are varied and (in the best sense of the word) interesting."

What’s also interesting to note is that a growing number of investors and buyers seem to be recognizing fractional real estate as a viable alternative for investing in real estate at a time when economic uncertainty still lingers. When it comes to second homes and vacation properties especially, fractional real estate is appealing since buyers won’t find themselves in a position of buying a whole ownership property—only to let it sit idle for the majority of the year. The beauty of fractional ownership (and we at The Elan Collection can’t say this enough) is that they only buy what they will use.

Do you think Rankin’s comments are in any way indicative of what’s happening on U.S. shores? Do you think fractional real estate for vacation homes will gain traction as an economic trend in the coming years?

Video: The Coral House in Turks and Caicos Islands

2010-07-08T10:56:00.000-07:00

A picture might be worth a thousand words, but a video is worth a million.

Robert Greenwood and Katherine Baryluk from Horton Realty recently posted this video on YouTube for The Elan Collection's The Coral House in the Turks and Caicos Islands. If this video doesn't inspire vacation visions of sipping mojitos on white sand beaches or napping in hammocks (in a tax haven), then we don't know what will!

Promising International Fractional Market Forecast

2010-07-06T16:56:00.001-07:00

This news came from Luxury Fractional Guide last week: two recent studies have found strong potential for the fractional markets in Brazil, Australia and New Zealand.

According to Fractional Life, a study presented at the first South American Shared Ownership Investment Conference found the vacation ownership market in Brazil "is poised for rapid and long-term growth for many years." On the other side of the globe, a recent report commissioned by the fractional exchange company The Registry Collection, titled “Australia and New Zealand Fractional Market 2010″ shows that the potential market for fractionals sits at over 470,000 households and possible sales revenues from $9.3 billion to $70.7 billion (USD).

While The Elan Collection does not currently include properties in these countries (yet), these forecasts show the market for international shared ownership is not only wide, but deep. About 1,208,200 households, or 12 percent of the population across Australia and New Zealand are eligible for fractional ownership. According to the NorthCourse 2009 Fractional Interest Report, 80 percent of the income-qualified households in the U.S. do not own a second home...a need the shared ownership industry hopes to fill. "Even 5 percent market penetration would produce over $4 billion in sales," forecasted the report at the time. (More to come on the U.S. fractional market soon). Earlier this year, the 2010 Ragatz Report also concluded: "The consumer research we continue to do in focus groups and consumer surveys indicate an ever-increasing preference toward fractional verses resort time-share and especially whole-ownership."

What do you think about the depth of the fractional market in 2010? Are you hearing that there will be a leap in potential fractional interest this year on a global level, or do you think it will be more localized? Where does the U.S. fractional market come into play?

Four Weeks in Turks and Caicos

2010-06-30T09:41:00.000-07:00

Luxury Fractional Guide turned the spotlight on The Élan Collection in Turks and Caicos today in an article called, "Four Weeks of Fractional Ownership in Turks and Caicos."

"If sipping a mojito on a quiet white sand beach, snorkeling in crystal clear waters or enjoying a massage on your beachfront patio (in a tax haven!) sounds like your idea of a luxury vacation, then you’ll find like minds at The Élan Collection, a private residence club that offers a 12,000-square-foot fractional beachfront estate called 'The Coral House' on Grace Bay Beach," according to the article. What might four weeks of luxury vacationing look like in Turks and Caicos? Read the full article here.

The Elan Collection Featured in Private Shoppes

2010-06-25T12:05:00.000-07:00

Private Shoppes, an in-flight luxury shopping guide for private aviation passengers, featured The Elan Collection in a 2-page spread in the Spring 2010 catalog. Read the full article, called "The New Luxury Vacation Home Ownership Experience," here.

Fractional Financing Gets a Boost

2010-06-18T11:30:00.000-07:00

Good news coming from the fractional financing front this week.

While fractional financing has been constrained due to the recession, Fractional Life reported on Wednesday that Vacation Finance "has launched an expanded initiative to offer more fractional home and condo loans at lower rates, with loan-to-value ratios of up to 80 percent, a five percent improvement on its previous offering." According to the report, the expanded criteria also includes relaxed income and credit qualifications. This news comes on the heels of last week's report that Securities Based Fractional Funding (SBFF) teamed up with Equities First Holdings to provide securities-based financing to domestic and foreign buyers, owners and developers of luxury fractional properties. Both SBFF and Vacation Finance join a handful of lenders who offer specialized loan products to finance the acquisition of fractional ownership properties, such as the luxury vacation residences offered within The Elan Collection.

Here is what Stan Tonkin, vice president of international marketing and sales for The Elan Collection, had to say about the news: "It is important to see viable lending opportunities for fractional interest ownership begin to resurface. We're excited to see lenders provide competitive solutions in this market, and we believe it is an important step for opening the doors to a larger pool of interested fractional buyers."

As always, The Elan Report will keep you abreast of any new fractional financing developments...

Luxury Market Shines, Elan Grows

2010-06-11T13:53:00.000-07:00

What a difference two weeks make! It's been a while since we posted about the luxury market, but positive reports continue to shine a light to the high-end. Just yesterday, MarketWatch ran with the headline "Global Wealth Recovers to Pre-Crisis Levels." April Lee reported that the world's millionaires grew by 14 percent in 2009, and "wealth became slightly more concentrated as millionaire households jumped to 11.2 million, moving back close to 2007 levels." The Wall Street Journal also ran an article on May 28, touting the luxury residential market's comeback and the fact that "sales of homes over $2 million in the first quarter were actually on par with the levels of 2005."

As the luxury housing market continues its ascent, rest assured that The Elan Collection will have a presence in the most sought-after vacation destinations. From Pebble Beach and Vail to the Turks and Caicos Islands, a vacation experience will emerge that's positively elan. Explore our current and coming soon properties here.

Market Sharing with Marti Gellens

2010-06-01T14:45:00.000-07:00

Marti Gellens knows La Jolla's luxury housing market front, back and sideways. In the past ten years, she (along with mom and real estate partner Maxine Gellens) has closed $1.2 billion in real estate sales and recently joined forces with The Elan Collection to market "Casa del Mar," a breathtaking 4,000-square-foot oceanfront property in La Jolla, Calif. For our ”Market Sharing” series, we asked Marti to share her insights on her hometown, the local luxury housing market and what makes Casa del Mar such a desirable vacation home.

The Elan Report: Why is La Jolla such a desirable vacation spot?

Marti Gellens: It’s not only a great place to vacation, but it’s a great place to live because it feels like you are on vacation. The climate is never too hot and never too cold; the views are unbelievable; and there is so much shopping, great restaurants and different kinds of beaches. It’s like the French Riviera…La Jolla has a very European feel.

TER: What are the most popular amenities your affluent clients ask for?

MG: In general, they prefer homes that are newer. They also want big master bedroom and big closets. If it’s a second home purchase, they want to be on the ocean, near the ocean, or close to town… those are the qualities that are really important to them.

TER: So, how much does a view really play into a purchase decision for a vacation home?

It’s huge. If someone wants a vacation home in La Jolla, they usually want a view.

TER: Where do your clients typically come from?

MG: We have many buyers from Texas, Nevada and Arizona, who want to escape the summer heat. They usually start arriving in June. When it comes to buying second homes, we also have a heavy influx of Canadian buyers.

TER: What’s ahead for the overall luxury market in La Jolla?

MG: La Jolla will always be a destination spot. Although all markets have struggled in this recession, vacation destinations like La Jolla are usually the first to turn around. In 2010, we’re already starting to see a comeback in sales in the overall housing market. We are very much looking forward to our summer buying season starting in June.

TER: Describe the best elements of Casa del Mar for us.

MG: The architecture of the house is spectacular, and it’s located right on the ocean with a pool—which is very difficult to obtain today. The master bedroom with the glass upper deck is a very unique feature—perfect for enjoying the views. And, Casa del Mar also has wonderful outdoor entertaining spaces on both the ocean side and non-ocean side.

TER: Why is it a good opportunity in your mind?

MG: There is only so much oceanfront property here. When the market turns around, oceanfront real estate will see the biggest and quickest upswing. It’s the best place to invest your money. As far as the fractional opportunities offered through The Elan Collection, it’s a great way to own a piece of La Jolla oceanfront for a fraction of the cost. Most people who purchase second homes don’t typically use them like they think they will. We think 4 to 6 weeks a year is the perfect amount of time to enjoy a vacation home.

America's Best Beaches: The Elan Collection Will Be There

2010-05-28T10:00:00.000-07:00

Are you surprised? Southampton boasts America's best beach, according to "Dr. Beach,Stephen Leatherman, director of Florida International University's Laboratory for Coastal Research, who has compiled the list for 20 years. Coopers Beach in Southampton, with its pristine, gently sloping white sand, convenient parking and amenities, topped the list of America's best beaches in an annual survey released today to coincide with the start of the summer vacation season.

Main Beach in East Hampton, Long Island, not far from Southampton and Westhampton, where The Elan Collection recently announced plans to add a spectacular two-acre waterfront estate spanning more than 10,500 square feet. Other current and future Elan locations made the top ten list, including Coronado Beach, Calif. (No. 3), near the Casa del Mar residence in La Jolla and Elan's future downtown San Diego penthouse; Kahanamoku Beach in Waikiki, Honolulu (No. 6) and Hamoa Beach in Maui, Hawaii (No. 9). The Elan Collection has plans to add a residence soon at an undisclosed island in Hawaii. (Keep checking the website, blog, Twitter and Facebook for updates.

Which beach are you vacationing at this Memorial Day Weekend? And an even more intriguing question…which beach is on your wish list for next year?

The Elan Collection Unveils First Ski-In/Ski-Out Luxury Mountain Retreat in Vail

2010-05-24T18:42:00.000-07:00

Today, The Élan Collection announced the unveiling of its first ski-in/ski-out luxury mountain retreat with shared interests priced under $1 million: a 3,500 square-foot penthouse located at the top of The Arrabelle at Vail Square.

Nestled at the base of the Vail ski resort and just footsteps from the Eagle Bahn gondola, The Arrabelle Penthouse features en suite bathrooms in all four bedrooms, hardwood flooring, Viking appliances, luxurious furnishings and fixtures, as well as views of Vail Square and the best of Vail Mountain. But it's not just the penthouse itself that makes this vacation property a must-have... it's all of the value-added amenities too:

The Arrabelle hotel services such as valet parking, luxury fitness center and spa, ski and boot storage, daily housekeeping, room service, etc.
Vail Medallions (fully transferable for year-round recreation at five ski resorts and five golf courses)
A dedicated 24-hour concierge staff
Travel accommodations
Limousine services and luxury vehicle to use when in residence
Included private jet service
Personal item placement inside the penthouse
Option to exchange use rights for other properties within the Élan network

A luxury penthouse with all of these A-list amenities and all of Vail right at your fingertips for under a $1 million? Now that's elan... for more information about this opportunity, contact residence specialist Liz Leeds at lizizleeds@msn.com or (970) 331-1806.

The Haute Side of Mud Season: Less Crowds, More Privacy, Warmer Vacations

2010-05-21T10:04:00.000-07:00

In most parts of the world, springtime means warmer temperatures, longer days, lighter home decor, and a chance to break out that new pret-a-porter sundress you saw on the runways. But in the best and poshest of ski resort towns, spring brings something called "mud season." (Isn't there a classier name for "mud"? The French say "la boue.") While most ski areas have shuttered their lift operations for the year, there are still luxury vacations to be had in Vail and Big Sky, Montana (two fabulous Elan mountain destinations).

The slopes are still open in Vail and Big Sky, of course... but if you're only a cold weather skier, the mud season offers a chance to explore your Elan hometown in a new light. Crowds are smaller; valet parking won't be full; fine restaurants offer too-good-to-pass-up prix fixe deals; and when the sun comes out, you can hike snow-sprinkled trails, watch the rivers rise or witness nature at its best--perhaps an elk being born or wildflowers sprouting in the meadows.

"Our mud season may not be our popular time of year, but it is a special time," notes Cathy Gorman, Elan residence specialist for The Big EZ Lodge in Big Sky. "We have so much wild life activity here. To see elk, deer and moose living so close among us is a rare and exciting thing. You can experience just how dynamic the outdoor world is."

With The Elan Collection, you can enjoy a luxury mountain retreat during the peak winter season, but sometimes the hautest vacations are best enjoyed in the quiet and privacy of the off-season.

Pebble Beach Summer Vacation: Golfing, Classic Cars and Luxury Homes

2010-05-13T21:16:00.000-07:00

In Pebble Beach, serious golf aficionados and classic automobile collectors have their choice of premier events to suit their fancy this summer: golfers have the U.S. Open Championship (June 14-20, 2010) and classic automobile collectors have the Pebble Beach Concours d’Elegance (August 11-15, 2010).

Both events are considered the pièce de résistance of their respective circles, and take place on the renowned Pebble Beach Golf Links—just steps from The Elan Collection's newest vacation home in Pebble Beach. This 6,200-square-foot Mediterranean-style estate is set on an acre lot overlooking the 15th and 16th holes of Pebble Beach Golf Links and Stillwater Cove. The residence boasts four master bedroom suites, five baths, a large media room, wine cellar, private guest suite, three-car garage, butler's pantry and has recently been completed to offer breathtaking views from almost every room. Can golf lovers think of anything better than spending a pleasant summer day watching Tiger Woods and Phil Mickelson sink a putt right from their own terrace? And can classic car enthusiasts imagine anything grander than taking a leisurely stroll (or even better...driving their Ferrari 250 GT SWB Berlinetta or 1933 Duesenberg SJ Speedster) from their vacation home to the Concours d’Elegance and admiring the historic automobilia and automotive art?

It’s a dream holiday reserved for true connoisseurs of art and style, classic cars, world-class golf, and of course… luxury real estate. For more information, contact Steve LaVaute at (831) 241-1434 or slavaute@gmail.com.

The Return of Luxury Spending

2010-05-06T09:44:00.000-07:00

Who, in the world of luxury real estate, hasn’t been looking forward to the return of affluent spending? Experts predicted this day would arrive soon—just maybe not this soon.

According to a new online survey by the Harrison Group and American Express Publishing (via Robert Frank, author of The Wealth Report and Susan Kime at Luxist), more than 1,900 consumers with more than $100,000 of discretionary income (and a mean of $52,000), found that more than 50% are optimistic about their future. Fewer people said they feel guilty purchasing luxury goods (from 54% to 45% in past year) and more say they like it when others recognize them as being wealthy (up from 30% to 42% in past year). Harrison Group also estimates discretionary spending by the affluent and wealthy will rise by $56 billion in the next year, with $28 billion going to luxury, marking a 6% to 8% jump.

Who will reap the biggest benefits? Automotive, travel, and services, according to the report. That said, the new picture of affluent spending won’t look like the spending of years past. Still, Stan Tonkin, vice president of international marketing and sales for The Élan Collection, finds all of this news encouraging amid recent reports that fractional jet operators, private aviation companies and other luxury fractional clubs announced positive first-quarter results: “It shows that there is still a sizable appetite for luxury fractional vacation opportunities, especially a new generation of shared ownership properties like The Èlan Collection. We are redefining the luxury vacation experience by bringing the benefits of shared interest home ownership to the exclusive world of private residence clubs. We see it as a win-win for those travelers who still want their vacations, but don’t want to tie up all of their financial assets in one home.”

What’s the picture of luxury spending you’re seeing?

Market Sharing: A Q&A with Montana’s Cathy Gorman, Élan Residence Specialist

2010-04-30T14:40:00.000-07:00

For our second ”Market Sharing” Q&A series, we invited Cathy Gorman, 20-year real estate veteran and Élan Residence Specialist in Big Sky, Montana, to share her thoughts on the local luxury housing market and what makes The Big EZ Lodge such a standout vacation property in The Élan Collection.

What makes Big Sky such a unique vacation destination in your mind?

The Big Sky area stands out as Montana’s finest recreational area. The fact that this corner of Montana is extremely beautiful, with vast wilderness areas and a sparse human population makes it very special. The Big Sky area offers the “Biggest Skiing in America” at Moonlight Basin Ranch and Big Sky Resort, without the crowds typically found at other ski r

esorts. In addition, the area has two private resorts, The Yellowstone Club and The Club at Spanish Peaks. Other outdoor activities include fly fishing in one of three blue ribbon trout fisheries, whitewater rafting, Nordic skiing, snowmobiling, hiking, camping, mountain biking, horseback riding, climbing, hunting, golf and tennis. Wildlife abounds as big game mammals migrate in and out of Yellowstone National Park, just 12 miles south of Big Sky.

Can you tell us a little about The Big EZ Lodge? Why is it a trophy property in your opinion?

The Big EZ property sits on 60 acres in saddle facing East and South with sweeping views of the Gallatin Range and the Spanish Peaks. The Big EZ Lodge was designed by Montana’s premier architect and built from log and stone by two true craftsmen. The fact that no expense was spared in any aspect of the property is evident from the moment you drive through the gate to the moment you step inside the lodge. The property is truly ideal for use as a corporate retreat or as a family compound.

Why are you optimistic about selling fractional shares at The Big EZ Lodge?

It is true that second homeowners rarely spend more than a month each year enjoying their investment. In this economy, the concept of shared ownership will be attractive because it means shared financial responsibility as well. To only have to pay for the time you spend at your vacation home is very attractive.

Where do you think potential owner-members at The Big EZ Lodge will come from?

Geographically, I think they will come from the West Coast, the South—particularly Florida, Georgia and Texas, as well as New England and Minnesota.

Where do you see the luxury market in Big Sky heading in the next two years?

I think that we will see a slow return of the luxury market of five years ago. I believe that the high-end buyers will come back to the Big Sky area because it is such special place. Instead of investors, we will see buyers who come for the love of the area and the quality of life that is unique to Big Sky.

Why Buy a PRC: An Elan Q&A With Stan Tonkin

2010-04-27T09:14:00.000-07:00

The mainstream media is finally catching on to the fractional real estate industry’s renaissance this year. Inman News, Smart Money, and MSN recently ran articles on the subject, yet misconceptions still remain about the advantages of shared ownership. We asked Stan Tonkin, Vice President of International Marketing and Sales for The Élan Collection, to clarify a few points. Here is a snapshot of our interview with him:

The Élan Report: What are the benefits of joining a private residence club like The Élan Collection?

Stan Tonkin: Private residence clubs, or PRCs, are a loosely configured co-op of fractional owned properties. Many PRCs offer trade use rights and other benefits, but differ widely in type of ownership, ownership costs, and periods of use. Research shows that typical owners of vacation residences only use their properties four to five weeks out of the year on average. Keeping that statistic in mind, a PRC owner-member can experience the same realistic use of a vacation residence at a fraction of the price.

ER: How do PRCs differ from timeshares and destination clubs?

ST: Private residence clubs are often confused with timeshares and destination club membership, where an owner-member typically buys a non-equity membership with a company that provides access and use to a wide range of vacation properties. In general, a private residence club provides its owner-members with actual ownership rights in a specific property—not a company. This owner-member status offers reciprocal use rights in either other properties owned by the PRC or through share agreements with other similar properties. By definition, The Élan Collection is a PRC that offers shared-interest ownership in an exclusive collection of luxury vacation residences. However, affiliation with The Élan Collection offers its owner-members amenities managed by Élan and the reciprocal use of spectacular properties within The Élan Collection worldwide, through our exchange network.

ER: Ok, bottom line: what’s the number one reason why people buy into a PRC?

Actual ownership of the shared interest in a property, as well as the fact it is sellable or transferable are key advantages. Sharing the cost of operating a property is also beneficial, notwithstanding the benefits of real estate ownership.

Future Élan Vacation Destinations

2010-04-22T12:19:00.001-07:00

TEASER ALERT! For many affluent travelers, it’s not a question of how they’ll purchase their next vacation home, but a question of where. The Élan Collection answers the latter question by feverishly adding the most luxurious vacation residences to its growing portfolio of properties. Here’s a sneak peek at the property locations you can expect from The Élan Collection in the coming weeks and months:

Westhampton Beach, Long Island, New York

Montecito, California

Sedona, Arizona

San Francisco, California

Manhattan, New York

Tuscany, Italy

Aspen, Colorado

Hawaii

Los Cabos, Mexico

Which destination are you most excited about? Is there another vacation haute spot you'd like to see on this list? Please share it with us (we're listening)!

The Elan Collection Adds The Big EZ Lodge in Big Sky, Montana

2010-04-13T00:05:00.000-07:00

Question: what could you possibly do with 60 acres overlooking Montana's awe-inspiring Gallatin Mountain Range or a sprawling 19,500-square-foot luxury mountain hideaway? An even better question: what could you not do?

The Elan Collection's newest property at The Big EZ Lodge in Big Sky, Montana quite literally expands the notion of luxury vacationing in the West. Whether future Elan owner-members envision using it as a corporate retreat center for team building, the location for their next family reunion, or the site of their daughter's wedding, The Big EZ Lodge makes it all possible with 13 bedroom suites and 15 bathrooms, as well as a great room in the main lodge, elegant western furnishings, a game room wit

h a billiards table, exercise room, wrap-around decks, caretaker's quarters, a large garage and a western-style barn. The award-winning lodge also features two stocked trout ponds, an 18-hole championship putting course, a grotto-style hot tub, wine cellar, fire pit, Bocce ball and croquet courts, as well as numerous hiking trails.

The stunning property is located just minutes from Big Sky Ski Resort in Montana, and about 30 miles from Yellowstone National Park.

MarketWatch: Sales of Vacation Homes Rose Last Year

2010-04-02T17:27:00.000-07:00

APRIL 6, 2010 UPDATE: Compare these MarketWatch numbers to the numbers from the 2010 The Shared Ownership Resort Real Estate Industry report by Ragatz Associates released last week, and it's interesting to note that the sales volume for the fractional ownership industry was still an impressive $860 million in 2009. In general, experts in the resort real estate industry believe that shared ownership resort real estate will rebound more rapidly and strongly than whole ownership as the economy recovers.

According to MarketWatch today, sales of vacation homes rose 7.9 percent in 2009. It was the first uptick in sales in the vacation home sector since 2006, reported the National Association of Realtors' Lawrence Yun, chief economist for NAR, in a news release:

"The typical vacation-home buyer is making a lifestyle choice, with nine out of 10 saying they intend to use the property for vacations or as a family retreat," said Yun.

These numbers underscore The Élan Collection mantra: buyers who are in the market for a vacation home value their experience and their time just as much as their money. Fortunately for them, The Élan Collection is not only committed to creating memorable vacations, but also redefining the luxury vacation home ownership experience by bringing the benefits of shared interest home ownership to the exclusive world of private residence clubs.

Are you encouraged by the 2009 sales numbers from NAR? Why or why not?

Affluent Fractional Buyers: Time As Precious As Gold

2010-03-31T13:55:00.000-07:00

Once upon a time, there was a successful real estate investor named Charles who would have balked at the idea of sharing his vacation house with 12 other millionaires.

Fast forward to 2010. The conspicuous consumption of the mid 2000s has turned into conscientious consumption; and whole ownership for the affluent has taken a backseat to experience. Charles doesn’t want to tie up all of his financial assets in a multi-million dollar summer vacation house that his family is realistically only going to use 4-6 weeks out of the year. Ultimately, he wants more time with his family and enjoy the memorable experiences that are made possible by the fruits of his labor. He still wants the most desirable vacation home money can buy without the headaches and stresses of absentee home-ownership. Yet, he wants to be smart with his money, only buying what he will use.

Charles may be a fictional character, but his story illustrates the mindset of many affluent travelers. They still value their leisure time—just as much as (if not more than) their money, according to a 2009 report called “The Affluent Shared Ownership Buyer: A Market Profile.”

Shared ownership, or fractional ownership, in private residence clubs such as The Èlan Collection, remains a “smart” vacation option. If Charles were to buy a $1.25 million share in an oceanfront property in La Jolla, for example, he would get four weeks guaranteed use, amenities and services ranging from a luxury vehicle to private Èlan concierge, the option to exchange his use rights for flex time at another Èlan property, and the peace of mind of knowing that The Élan Collection takes care of all of the details associated with typical home ownership (and is dedicated creating memorable vacations).

Have you encountered a Charles while selling whole ownership vacation properties? Do you agree that time and experience are just as precious as gold in today’s vacation home market?

Elan’s Best Places for Vacation Homes

2010-03-19T14:23:00.000-07:00

When Steven Sears of The Wall Street Journal declared last week that “the market for luxury real estate is coming back to life,” it was hard for those of us in the high-end real estate industry not to take notice. Could the summer buying season be starting early this year? Is the luxury real estate market truly warming up?

Says Stan Tonkin, Vice President of International Marketing and Sales for The Èlan Collection: “Our residence specialists continue to find that interest is heating up among their affluent clientele. We think it’s going to be a great summer to buy a vacation home, especially one that costs a fraction of the price and comes with a list of world-class amenities attached.”

In honor of luxury real estate’s leisurely return, Sears took note of Barron’s “10 Best Places for Second Homes,” which included lush locales like Maui and Palm Beach, as well as The Hamptons, Aspen and Pebble Beach—which are three (current and upcoming) Èlan destinations.

The Hamptons—Few locales in the world possess the cachet of The Hamptons, long favored as a summer retreat for high-powered New Yorkers. No. 3 on the Barron’s list, The Hamptons is known for grand Colonial estates and beaches bordered by farms, vineyards and meadows. Should it be a surprise that The Èlan Collection will soon be adding a property here to their private residence club?

Aspen—Four major ski hills, the Tom Fazio-designed Maroon Creek Club, posh shopping and an emerging cultural center… Aspen truly has it all. Occupying the fifth position on Barron’s list, Aspen is an ideal year-round vacation spot—which is exactly why The Èlan Collection has plans to soon offer a residence here.

Pebble Beach— The Èlan Collection recently added a stunning view-oriented, one-acre Mediterranean estate on legendary 17 Mile Drive to its portfolio—and for good reason. No. 6 on Barron’s list, Pebble Beach is a golfer’s paradise. The Pebble Beach Golf Course hosted four U.S. opens and The Links are rated the No. 1 public course in America by Golf Digest, while legendary spas, shopping and restaurants are all within close distance.

What do you think about the vacation home opportunities in The Hamptons, Aspen and Pebble Beach? Any cities that didn’t make the list, but should have?

Market Sharing with Vail's Liz Leeds: PART 2

2010-03-16T22:51:00.001-07:00

EDITOR'S NOTE: This is the second part of our "Market Sharing" Q&A series with Liz Leeds, a 17-year Vail Valley native, 25-year of sales and marketing veteran and one of the area's top fractional real estate experts.

TER: What are your affluent clients’ top wants and needs?

LL: Ease of use is their number one desire. They want to be able to come to their vacation property and have all of the services at their fingertips. They also want to be able to travel quickly to their home, so that they can board a flight in the early morning and be on the slopes by noon! A premier location also sits right at the top of their list of wants.

TER: For the first time in 2009, luxury fractionals in Pitkin County, Colorado actually surpassed high-end luxury home sales by a 20 percent margin. Are you encouraged by this report?

LL: There is no doubt that fractionals makes great sense for the buyer who can only visit an area a few times a year. It does not tie up so much financially for them. I see the fractional market only continuing to grow in and around the U.S. The Pitkin County numbers do not surprise me, but I am encouraged that more and more people are thinking along these lines when it comes to owning vacation properties.

TER: Where do you see the luxury market in Vail heading in the next 2 years?

LL: We are already seeing an increase in sales in the Vail luxury market. For example, in January of 2010, we have doubled our luxury sales from January 2009 to January 2010. Properties across Vail in the $7 million to $12 million range have sold during the last few months as well. I am not sure Vail will ever see the inflated prices we had a few years ago, but I see the luxury marketing improving year after year by quite a bit.

TER: Are you optimistic about the luxury shared ownership opportunities in Vail?

LL: Yes, the numbers are showing us that there will always be a

market for shared ownership here in Vail.

TER: Tell us a little bit about The Èlan Collection’s shared ownership opportunity at The Arrabelle.

LL: The Arrabelle at Vail Square is nestled at the base of the Vail ski resort and just footsteps from the Eagle Bahn gondola. The Arrabelle itself was inspired by the classic grand alpine hotels of Europe. The Arrabelle offers a variety of services and amenities such as valet parking, ski and boot storage, a beautiful spa and health club, outdoor ice skating rinks, all surrounded by shops and restaurants. Everything is at your fingertips at The Arrabelle. It’s truly a great fractional ownership opportunity starting at $950,000 per share.