Carl G. Berry - Recent Press

For Immediate Release

Contact: Georgi Bohrod (619)255-1661

Carl Berry (415)519-1015

Eight Questions Every Developer Should Ask

Should I add fractions to my existing project?

Possibly. Having existing infrastructure, amenities, built product, proprietary databases, brand awareness and marketing and sales organizations are tremendous advantages in getting into the fractional ownership or Private Residence Club business. However, as noted below, there are well-established criteria for success.

Under what circumstances does fractional make the most sense?

There are some well-accepted criteria which seem to be consistently present in successful projects. Among them are location in a well-known resort destination; a diminishing supply of high-end whole ownership real estate; rapidly increasing prices of whole ownership real estate; a high incidence of repeat affluent visitors; ease of access and a sufficient number of high-season weeks. As demographics and vacation patterns have changed we feel criteria such as drive-to locations, mid-market pricing and certain lifestyle niches also have tremendous potential.

How do I plan the best fractional project?

The most important fact you need to know is “is there a market for my proposed fractional product?” As simple as it sounds we recommend asking your potential owners, and have developed the Star Marketability Assessment Report (SMART) for this purpose. The Report will make recommendations on fraction size, project scale, use plan, unit size, pricing, market depth, and a host of other critical considerations necessary for the go-or-no-go decision.

Who are the buyers for fractional real estate?

Affluent leading edge baby-boomers who are repeat visitors to a location and who are smart investors. When correctly positioned as a “part-time second home,” fractional ownership offers an intelligent option to families of some means to own a vacation home in a favored destination for far less than whole ownership.

How can I improve sales in today’s economy?

Create exceptional value, mine your existing database and create new owner benefits from existing amenities. There are undoubtedly households out there who, when they previously said “no” actually meant “not now.” They have already indicated an interest in purchasing your project.

Can a fractional program “save” an otherwise troubled project?

Occasionally, yes. Most likely, no. First you must ask yourself “If this didn’t work before, what makes me think it will work as a fractional?” Great location, bad product? Great product, bad location? Overcrowded market? Overpriced product? Difficult to get to? Lack of amenities? You built it and they didn’t come? All that said, there can be circumstances where fractions can overcome unsuccessful whole ownership offerings. Lower price points. lower annual dues, niche markets, bundled owner benefits, exchange programs and higher levels of personal service are all possibilities to explore.

How has the downturn in the housing market affected the market for fractional real estate?

Today’s housing market has impacted fractional ownership in three ways. One, in the short-term sales have undoubtedly flattened. Two, in the mid-term we believe that good projects will rebound more quickly than the economy in general because (a) there is a greater acceptance of fractional ownership in many different project categories and (b) there is a substantial amount of discretionary wealth sitting on the sidelines. And three, the economic downturn has created a rare window of time for experienced developers to plan an exceptional fractional offering without missing the market.

For more information: www.carlgberry.com www.starresortgroup.com

For Immediate Release

Contact: Georgi Bohrod (619)255-1661

Carl Berry (415)519-1015

What Consumers Should Know About Shared Vacation Ownerships

Star Resort Group Clarifies Differences in Products

SCOTTSDALE, AZ -- Carl Berry, CEO of Star Resort Group and pioneer in the shared ownership resort industry, acknowledges that consumers are still “baffled” by the various vacation opportunities offered in today’s changing second home/vacation club marked. To simplify matters, Berry’s Star Resort Group (Scottsdale, AZ), a leading developer, marketer and seller of resort real estate in North America, offers a concise question and answer platform to help consumers decide what kind of product best suits their needs.

1. When owning your vacation property, how important is the security of your investment to you?

The most solid shared resort ownership model is a fractional purchase. It fills a void for both consumers and developers: it has a great image; it offers a variety of products and locations; and many major hospitality brands have jumped aboard. It is fully deeded and secure, just like any other form of real estate. The bottom line is that it meets a need and it works! Today’s Fractional Real Estate Owners and developers have benefited by the legal frameworks designed for Timesharing: they are protected with deeds and title insurance, have the ability to obtain consumer loans; they can even re-sell their property.

How important is vacationing in various locations to you?

Multi-site clubs (Destination Clubs) such as Exclusive Resorts and others offer members many geographical locations for their use. Many of these properties are in the most popular vacation destinations in the world. However, most frequently, club members do not have a deed to the real estate interest backing up his/her membership.

Do you want to own real estate?

Those who buy a membership in a multi-site club are just that, “club members.” They do not own real estate. Those who buy a real estate interest in a private residence club or high end fractional property are owners and members of the owner's association comprised of all the owners at that project. In other words you own your property even if it is just a portion. You are represented by a board of directors of a Homeowners Association.

Do you want to ensure the value of your purchase?

If you are comfortable with a country club style membership which provides luxurious vacations, then a destination club can certainly meet your needs for an expensive buy-in fee. Whatever type of membership or ownership you choose look for credibility in a developer. What have they done before? With who are they associated? Do they know the area? Have they honored the buy-back commitments outlined in contracts? Are your annual dues or fees going to support club operations or are they going to pay the mortgages on the homes in the program? All these elements are keys to a strong, secure investment.

What are you looking for in vacationing?

If you are out shopping for vacation products, what should you look for? Since it is real estate, the first component is always location in a popular vacation destination area. Be sure to decide on the area that fits your family’s needs. Are they skiers? Shoppers? Hikers? Swimmers? Art Lovers? Sightseers? Spa goers? Make your choice wisely and you will be happy with your investment in your leisure time.

Berry emphasizes that these are beginning questions to help consumers sort out the wide array of information available from web sites, developers and consumer advocate groups.

Carl Berry is widely acknowledged as the leading expert in the field of shared luxury resort real estate. Most recently Star Resort Group’s project list includes Northstar Club (Truckee, California), Snowmass Club (Aspen, Colorado), Purgatory Lodge and The Pinnacle (Durango, Colorado), Kirkwood Mountain Resort (South Lake Tahoe), Saguaro Ranch (Tucson, Arizona), and Meriwether Ranch (Melrose, Montana).

For more information: www.carlgberry.com www.starresortgroup.com

FOR IMMEDIATE RELEASE

Contact: Georgi Bohrod (619)255-1661

Carl Berry (415)519-1015

Shared Ownership Pioneer Reacts to

“Guaranteed” Comments by Vacation Club CEO

Fractional Ownership is Only Valid Vacation Club Model with Buyer Protection

Says Carl Berry Star Resort Group CEO

SCOTTSDALE, AZ -- Star Resort Group (Scottsdale, AZ), a leading developer, marketer and seller of resort real estate in North America, has taken a stand to clarify recent statements made by a Telluride Vacation Club CEO.

Carl Berry, CEO of Star Resort Group and pioneer in the shared ownership resort industry, notes that the Colorado-based Epiphany Club’s Tom Fulton calls fractional ownership a “flawed program” and “guarantees that (his) owners will be able to enjoy their property virtually anytime they want.”

Berry says “the ‘guaranteed’ idea leads to difficulties and dissatisfaction. It is my understanding that Tom Fulton was part of the team that designed the original model that pushed Tanner & Haley into bankruptcy. It concerns me that he is again going forward with a similar product.”

Berry questions Fulton’s recent claims that his Club is different from destination clubs providing consumers a form of “whole ownership, without the responsibility and price.”

“Tom and I are both members of ULI (Urban Land Institute) and I hope to engage him on this subject more when we meet in April. In the meantime it is important for the public to know that today’s Fractional Real Estate Owners and developers have benefited by the legal frameworks designed for Timesharing: they are protected with deeds and title insurance, have the ability to obtain consumer loans; they can even re-sell their property. This is not the case with Destination Club memberships.”

For more information: www.carlgberry.com www.starresortgroup.com