Many have seen these, but others have not. Read this article and you will see that the MPTV deal has huge potential and their numbers add up. We can see that the average price of $12,500 for MPTV is the norm. We can also see that MPTV's 9152 intervals in Las Vegas will have a HUGE impact.
arda.org
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Nevada Timeshare Industry Reports Sales of $117 Million: Nearly 80,000 New Owners Industry Attracts Upscale Consumers Who Visit Longer and Spend More
WASHINGTON, Jan. 26 -- Nevada timeshare sales totaled $117 million in 1996 as the statewide industry grew at an average rate of six percent per year, according to a study released today by the American Resort Development Association (ARDA) and ARDA-Nevada, the statewide association of timeshare developers. In 1996, 9,300 interval weeks were sold in Nevada at an average price of $12,500 per week.
Nevada timeshare sales in 1996 represent an increase in total dollar volume of approximately $19 million, or 19%, over 1993 sales, as recorded in an earlier statewide study. They also represent an increase of $22.3 million, or 24%, over 1992 sales of $94.7 million. Average interval prices have risen from $10,700 per week in 1993, at a compounded rate of 5.3% per year, to $12,500 in 1996.
"As one of the world's most vibrant and attractive timeshare resort destination markets, Nevada is critical to our industry, and we are privileged to enjoy a mutually beneficial relationship with the state of Nevada," said ARDA President Cynthia Huheey.
Nevada Timeshares Contribute Over $1.2 Billion to Economy
In 1996, the Nevada timeshare industry generated over $1.2 billion in economic impacts in the state, including over 21,000 jobs. Over $517 million of these impacts, including 10,400 jobs, were generated directly by the industry at timeshare resorts, restaurants, and casinos.
"Nevada's rich and varied tourism attractions, coupled with our state's progressive development policies, have helped our industry to grow and flourish. This positive climate has permitted timeshare resorts, in turn, to cultivate an upscale, loyal visitor base and contribute economically through jobs, visitor spending, and taxes,"
said James W. Broughton, RRP, chairman of ARDA-Nevada and chairman and CEO of Las Vegas-based LEXES Enterprises, Inc.
Nevada timeshare owners stay longer and spend more money than visitors to the state overall. Timeshare owners and their guests spend a total of $121.3 million annually in Nevada and, in addition, bring a total of $198.4 million to spend on gaming. The vast majority (89%) of owners gambled during their most recent timeshare vacation, averaging 3.8 hours per day at this activity. The average gambling budget of timeshare owners was $585 for the trip.
Timeshare owners report average non-gaming expenditures of $991 per visitor party during their stay and average $388 on airfare. In 1996, Nevada timeshare owners stayed an average of seven nights. Las Vegas
timeshare visitor parties spend an average of $1,080 per trip, as compared to the average visitor party to the area, which spends $305 per trip. Timeshare visitor parties in Lake Tahoe spend an average of $1,040 per trip, while the average visitor party spends only $535 per trip.
The average Nevada timeshare owner pays property taxes of $14 per week owned. Given the 129,600 intervals in the state of both sold and unsold inventory, this indicates total annual payments of property taxes of approximately $1.8 million by timeshare owners.
Timesharing as "Export" Industry Attracts Upscale Consumers to Nevada
Nevada timesharing is an "export" industry for the state, as only about five percent of Nevada owners reside in the state: 41% reside in the Pacific region; California, alone, represents 35% of Nevada owners. Nevada timesharing attracts the upper end of the tourism market. The demographic profile of Nevada owners include the following: a median household income of $69,000, or nearly twice the
national average; a median age of household head of 53 years; bachelor
degrees or higher attained by 54% of household heads; and married couples accounting for 86%.
Nearly 40,500 timeshare owners, or almost half of those owning timeshare property in Nevada, own in the Las Vegas area. There are 29,400 owners at Lake Tahoe resorts and 13,000 who own in Reno and other areas of the state. (Some households own in more than one region, which is why regional figures sum to more than the statewide total.)
Las Vegas Resorts Lead Statewide Industry with $83 Million in Sales
Consumers had purchased a total of 119,800 weeks of Nevada timeshares as of January 1, 1997. Of these, 51% are in Las Vegas, 32% in the Lake Tahoe area, and 17% in Reno and elsewhere in the state. The study
reports a total of 79,900 Nevada timeshare owners, indicating that many owners purchase multiple intervals.
The state's timeshare inventory includes 31 resorts, including nine in Las Vegas, 17 on the Nevada side of Lake Tahoe, three in Reno, and two in other areas of the state. These include approximately 2,530 units: 1,235 in the Las Vegas area, 850 in the Lake Tahoe area, and 445 in Reno and elsewhere.
Las Vegas has the largest concentration of weeks sold, at 60,800, or approximately 51% of the state total. Lake Tahoe resorts report 38,300 intervals sold, or 32% of the state total. Reno and other areas of the state represent 20,800 weeks, or 17% of the total, with most in the Reno area.
By far the most dynamic region of the state in terms of timeshare development in recent years, Las Vegas experienced approximately $83 million in timeshare sales during 1996, or about 7,100 intervals sold at an average rate of $11,700 per week. This is up from $55 million in 1993, indicating annual compounded growth of almost 15% per year.
As of the end of the year, resorts in the Lake Tahoe area are nearing sellout and reducing sales activity. 1996 sales in the area were reported at $29 million. Consistent demand and limited inventory in the area have caused a jump in price from an average of $16,400 per week in 1993 to $18,100 in 1996.
Sales volume in Reno and other areas around the state totaled $5 million in 1996, representing approximately 600 intervals sold, with prices averaging $8,400 per week.
The study is based on a national survey of 26 Nevada timeshare resorts and 1,143 households that own timeshares located in Nevada. It was conducted by Steven Miner Research Appraisal, and the University of
Southern California, with extensive data supplied by Interval International and Resort Condominiums International. As the professional association of the recreational real estate, resort and vacation ownership industry, ARDA serves nearly 1,000 member companies representing more than 4,000 resorts and is based in Washington, D.C. |
