More Financial Issues For Westgate

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Westgate Resorts has been making the headlines lately for both good and bad reasons, they recently opened a new tower at one of their resorts, Planet Hollywood Towers at Westgate Resort, and just a few weeks ago announced they would be selling off a good portion of their non-timeshare assets, which we commented on in our post entitled “Westgate Planning To Sell Non-Timeshare Assets”. It seems more financial issues have surfaced for Westgate Resorts and its CEO David Siegel. Last week Siegel announced he would be putting his unfinished multi-million dollar mansion in the Orlando area up for sale. The property is 90,000 square feet with 13 bedrooms and 23 bathrooms and has been under construction for the past three years. A few of the amenities include a 20 car garage, three swimming pools, a large boat house, a baseball field, and tennis courts. The listing price for the property is $100 million. It was really interesting to read about the construction of this mansion and the amenities it has, if you would be interested in reading more feel free to visit “Timeshare Developer David Siegel Selling His $100 Million Orlando Mansion”.

In addition to Siegel abandoning his mansion project in Orlando, earlier this week it was reported one of the contractors who worked on the recently opened Las Vegas timeshare resort for Westgate is seeking a settlement of $19.3 million from a contract agreement originally signed in 2007. The company filing this lawsuit and placing a lien on the Las Vegas property is Tutor-Saliba Corp. who is seeking the property enter into foreclosure in order to pay the money owed to them under the previously mentioned contract. The company filed a lien against this property with the Clark County Recorder Office on April 8th and is reported to be one of five liens against the newly opened timeshare property.

The future of Westgate seems to be a little uncertain right now and probably has many owners trying to find answers. Our advice to owners at this time would be to remain calm and let everything play out before letting panic set in. The reason being it really seems like Westgate is making a consorted effort to keep all of their timeshare projects going and making this the main focus of their business instead of being distracted by other side projects. With a company this large with a long business history they will most likely recover from these issues and continue to operate as normal. Also in the past we have reported on timeshare resorts which have gone into foreclosure, most of the time the owner does not see a change in the day to day operations of the resort and in some cases will see improvements in the operation of the resort. The future of Westgate is unknown at this point, however it is most likely they will not be going out of business anytime soon. If you are a Westgate owner please feel free to share your thoughts on these issues with us and others.

Comments

Comment from IGNACIO
Time January 23, 2011 at 11:26 am

I recently purchased or “got suckered” into purchasing a timeshare at the Westgate Planet Hollywood in Vegas. At first I thought it was a really good deal, but as the months have gone by I’ve realized that it’s not such a good deal. the monthly payment is too expensive and the maintenance and taxes are ridiculous. I found out the other day that even though my 2010 maintenance andtaxes were payed, I cannot use my unit until I pay the fee for 2011. …any suggestions out there? …How can I start the process on selling my unit? Please feel free to reply anybody!

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