It's been more than a decade since my last post -- and longer than that since the debacle of many leading (if not bleeding) destination clubs -- so a little reflection is in order. The appeal of destination clubs was obvious for those with the means to afford more than timeshares.
Sharing a portfolio of homes with fellow members made sense when home prices were rising. Many of the companies that faltered did so following the great recessions spurred by the subprime lending crisis. They would be thriving in today's climate.
However, we also now have easy access to luxurious properties through AirBNB. Sure, we had this a decade ago with VRBO and HomeAway, but AirBNB made it more mainstream. I came back from Pigeon Forge last week, and I was able to stay in a solid 2 bedroom home for a fraction of what a hotel suite would cost.
The missing secret sauce of AirBNB is that the renters don't get any of the spoils of appreciating real estate values. The property owner does, of course, but there's not buy-in. I wonder if there's a middle road that can satisfy both itches. For now we can just lament the destination clubs that buckled a decade ago, and applaud the ones that made the right adjustments to continue thriving in today's kinder climate.
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