Although the many owners are trying to get out of their timeshares every year, such industry in Hawaii still shows resiliency. According to data released yesterday by American Resort Development Association (ARDA), a national timeshare trade association, Hawaii’s timeshare industry kept growing during the severe visitor industry downturn.
In 2009, the statewide occupancy rate for timeshare units averaged 90.8% as compared to 66.5% at Hawaii hotels, as stated by Joseph Toy, president and chief executive officer of Hospitality Advisors LLC, the firm contracted by ARDA to conduct its most recent Hawaii timeshare study. Troy added that the vacation ownership industry continues to grow in importance to our state’s economy, with timeshare owners providing a stable base of visitors to the islands.
Last year, at least 13% of the Hawaii’s visitor accommodations were timeshares and the percentage is growing. In 2009, $138.7 million in capital expenditures went to timeshare development and this year, another $64.3 million was spent. There are currently about 8,600 timeshare units in Hawaii with another 4,881 units or so in the pipeline.
According to Howard Nusbaum, ARDA president and chief executive officer, Hawaii’s timeshare growth has been good for Hawaii and for the vacation industry. The contribution of the timeshare industry on local economies goes beyond the resort footprint. In addition to sales and corporate operations, development of new resorts and renovation projects, it also includes the impact of expenditures from vacationers during timeshare stays.