The ResortClubs

CloudNine ResortClubs is a premier boutique resort company unlike any in the world. Specializing in the development and management of handcrafted, intimately sized country and urban condominium resorts, CloudNine has taken the lead in blending the personalized service and amenities of a Private Residence Club with the business dynamics of a boutique five star condominium hotel.

Using its proprietary ResortClub ownership plan, CloudNine redefines the luxury vacation home experience by offering a flexible and affordable alternative to traditional vacation condominium ownership – ownership in a full service, luxuriously appointed residence at a world class resort.

A guiding principal for our group is that we can only assure long term quality and consistency through our personal involvement as Hoteliers. As a result, each ResortClub is designed and managed to our exacting standards to assure that we create masterfully tailored vacation experiences; full of life and wonder with a “sense of place”, which embrace the culture, the heritage and the people of the local community. CloudNine ResortClubs commitment to personalized service ensures years of carefree vacations for its members and guests.

Q: Why has CloudNine ResortClubs pioneered this product?

A: In the past five years there has been a rapidly growing trend world wide to incorporate private vacation home ownership into resort developments. The founder of CloudNine ResortClubs has been involved since 1990 in pioneering the systems and procedures that have been used to integrate condominium residences into a luxury resort properties. These efforts resulted in one of the first operating model, Robert Redford’s Sundance Resort, which incorporated the specialized requirements of deluxe condominium vacation home ownership with the full range of personal services, luxury guest amenities and operational standards of a high end boutique resort.

As the marketplace for deluxe vacation residences continues to mature, and the consumer demand for services and amenities continues to increase, the need for a new type of upscale vacation home ownership is at hand. The ResortClub Membership Model answers that need. CloudNine ResortClubs has taken the lessons learned over the past thirty years in the development and operation of five star boutique resorts, prestigious private country clubs, and vacation condominium property management to create a new fully integrated vacation real estate ownership model.

Q: What is unique about the ResortClub program?

A: In developing the ResortClub model, CloudNine identified the most desired consumer features found in boutique resorts, private country clubs, and prestigious vacation residences and integrated them into a seamless vacation lifestyle ownership program that:

• Provides members with the broad range of personal services, guest amenities, and entertainment options found only in upscale boutique resorts.
  
  
• Creates the sense of community, security and prestige associated with being a member of an exclusive private club.
  
  
• Offers a new type of vacation home ownership program with the benefits of a long term investment value, the “worry free” ownership of a professionally managed resort, and the option to offset annual investment costs via a dynamic hotel rental program.

Q: What are the core values and objectives of CloudNine ResortClubs?

A: Our culture and focus is based upon four fundamental beliefs:

• Our members and guests come to us to rejuvenate, to reconnect, and to experience life at its very best.
  
  
• Our resorts are “theaters” where members and guests create their life memories. As such, each resort must be not only physically beautiful but have a sense of richness and vibrancy that is rooted in the local culture.
  
  
• Our service team members, with their spirit and care, provide the essential element to ensure that each and every member and guest leaves our resorts longing to return.
  
  
• Our resorts must not only provide outstanding emotional experiences for our guests but must provide long term financial value to our owners.

Q: How does CloudNine ResortClubs assure that the services and amenities of the resort will remain at a high level for the long term?

A:CloudNine ResortClubs believes that the only way to assure long term quality and consistency is through our personal involvement as Hoteliers and Investors in the resort. As a result, we are able to create masterfully tailored vacation experiences; full of life with a “sense of place” which embrace the culture, the heritage and the people of the local community. CloudNine ResortClubs personal and financial commitment to each resort ensures years of carefree vacations for its members and guests.

Q: What are the advantages of being an owner at a CloudNine ResortClub compared to ownership of a luxury home or traditional Private Residence Club?

A:Ownership of a residence at a CloudNine ResortClub provides not only the benefit of an investment in a prestigious boutique resort but the lifestyle derived from being a member of the ResortClub. In addition to enjoying the luxurious appointments of their residence, members are afforded:

• A dedicated club concierge staff to handle all aspects of their vacation planning.
  
  
• In residence check in upon arrival.
  
  
• Priority reservations at resort restaurants, spa, and recreational facilities.
  
  
• Complimentary resort shuttle services
  
  
• 10% discount upon check out on all services and purchases at the resort.

In essence, being a member of a ResortClub is living the life of the owner of a very exclusive, boutique resort – without any of the headaches.

Q: Is the ResortClub similar to a typical Private Residence Club development?

A:No. Typical Private Residence Clubs provide deeded ownership of a specific residence but rely upon a member vacation usage system similar to reserving golf tee times at a prestigious country club. In effect, a member of a Private Residence Club is afforded reserved use of a particular type of unit (i.e. a three bedroom residence) rather than their personal vacation home. The ResortClub provides guarantees that your reserved vacation time will be spent in your own personally selected vacation home.

Q: Is the ResortClub similar to a typical Condominium Hotel?

A: No. Typical Condominium Hotels are sold only in whole ownership, restrict the buyer’s personal usage time to less than six weeks, and require that the remaining unused days be given to the hotel operator. The ResortClub provides you with the flexibility, via its ownership interests, of tailoring your investment in each resort to fit your individual investment strategy. In addition, each ownership interest provides you with five guaranteed weeks of usage per year – which you can allocate at your option to personal use or rental income.

Q: How does a Member reserve the use of a Residence?

A: One of the most consistent consumer complaints with current Private Residence Clubs has been the vacation “owner usage matrix” presented to the prospective buyer. We realize that our members want a simple, easy to understand usage system that provides maximum flexibility.

The ResortClub model addresses this problem with a simple program rooted in our background as Hoteliers. Owners in a CloudNine ResortClubs enjoy their units, and their resort, as members of the ResortClub and their vacation reservations are handled with a reservation system similar to those used by deluxe hotels throughout the world. Management of the resort provides a controlled advance reservation system for members use during peak demand periods and a very flexible, “space available use” system for last minute requests.

Holiday Use – Holiday Use Periods are established for each resort based upon the local national and school holidays and significant local special events. For these vacation periods the members must use their “Holiday Use” time allocation. Reserved Use – In addition to the request for Holiday Use, each member can reserve specific vacation time(s) throughout the year for their reserved use. Should a member have a specific time frame (i.e. an anniversary, birthday, family reunion) that is personally significant, that time can also be requested and assigned during this period. The confirmation system used to fulfill member requests for the Holiday and Reserved Use is: In May of each year a member requests, as defined by the membership regulations, specific holiday and reserved vacation time(s) for the following year. Assignment of these requests is based upon an annually rotating membership priority number within the eight owners of a unit. Each member is notified in June of their confirmed reservation periods. Space Available Use – A member can make unlimited lodging reservations for their residence, or a similar type of residence, within a sixty day time period prior to date of arrival subject to availability. The availability of residences for this extended member use privilege is subject to the overall combined occupancy (owners use and nightly rental) being projected at less than 75%. A member may make a space available reservation for a period of one day to a maximum of five days per visit.

Q: How much reserved time does a member get per year?

A: Members have the right to occupy their personal Residence during the specific days assigned to them during the reservation period. Each Member is guaranteed 35 days of annual use that is allocated as follows:

• Holiday Use – A total of one week per year. There are eight designated holiday weeks in the year and each year each Member is assured the use of one of these weeks.
• Reserved Use – A total of 28 days per year which can be used in increments of a minimum of 3 days to a maximum of 14 days per visit. A member may choose to transfer all, or part, of their Holiday Use allocations to Reserved Use. Member may also elect to book multiple residences with these days but will use up their allocated time in a shorter period.

Q: Which family Members have Membership privileges?

A: Extended families of the Member and their spouse, including grandchildren, children, siblings and parents are entitled to Membership privileges when occupying a reserved unit.

Q: Will Members always stay in the same Residence?

A: Members have the right to occupy their personal Residence during the specific days assigned to them during the reservation period. Members can reserve any available unit that is the same kind as they have purchased (for example, the Member of a two-bedroom unit may request a reservation of any two-bedroom unit) up to 60 days in advance of arrival based upon space availability.

Q: Can Members send unaccompanied guests to vacation in the Club Residences?

A: Yes. You may send unaccompanied guests to your ResortClub home during any of your five reserved weeks. We only ask you give us at least 30-days notice of the guest's arrival. That guest will have all the privileges that you have as a Member.

Q: Is there a daily charge for using the Residence?

A: Yes. During their stay in a ResortClub residence, Members pay a Residence Daily Fee. Since we do not limit how many days our Members may use the Residence, this fee is a fair way of assuring that Members who use the club more often pay their fair share. The Daily Fee covers the costs of housekeeping and staff services associated with the use of the Residence.

Q: Will Members of a ResortClub be able to exchange their vacation times and stay at any other locations?

A: ResortClub Members will be able to place up to two of their reserved weeks in the CloudNine ResortClubs exchange program. To ensure that our members’ vacation experience is equal to their time at their own resort, CloudNine ResortClubs will only provide exchanges with other CloudNine ResortClubs properties or affiliated clubs that have meet our guest standards and service levels.

Q: Do Members pay Club dues?

A: Yes. Members of ResortClub pay club dues, which cover the professional management and operation of the club. Typically, annual Club dues for a Private Residence Club are each Member's pro-rata portion of funds, which include, but are not limited to, staff salaries, supplies, building and landscape maintenance, window washing, trash removal, utilities, and the replacement and/or refurbishment of the facilities and other costs of operating the ownership program.

In the case of the ResortClub, CloudNine ResortClubs management utilizes the unreserved days from the Residences in a hotel rental program to cover many of the costs associated with the operation of club residences. Your annual dues for a ResortClub membership are limited to your pro rata portion of the funds needed to cover the costs of property insurance, club owned common area maintenance, and the replacement and/or refurbishment of the club residences. The net result is substantially lower annual owner costs for each member when compared to a typical Private Residence Club.

Recognizing that our members may not be able to enjoy all of their reserved vacation nights with us every year, our ResortClub ownership program provides you with the option of participating in the resorts nightly rental program. By placing a portion of your reserved vacation days in the rental inventory you will receive a portion of the lodging revenues generated which you can use to further offset your costs of ownership.