The Vista Club, Rental Program
Typically condo/hotel rental programs are
set up with a split of unit revenues of about 50% going to the unit owner.
In the Vista Club Rental Program the Unit
Owner receives 100% of the Net Operating Revenues. To calculate Net Operating
Revenue, the Hotel Manager will deduct from the Unit’s gross rental receipts the
direct expenses of renting the Unit including such items as, but not limited to,
housekeeping, reservations expenses, credit card charges, travel agent
commissions, reserve for replacement of furniture, fixtures and equipment,
additional utility costs as a result of occupancy of the Unit and the hotel
management fee. Additionally, the Hotel Manager will deduct the Unit Owner’s
proportionate share of hotel operating expenses that are not directly allocable
to the rental of the Unit Owner Unit that are in excess of the “Shared Costs”
that the Unit Owners pay toward those Shared Costs as part of the Condominium
Association fees: (please refer to the Prospectus and in particular to the
Budgets which are exhibits to the Declaration of Condominium for details of
the “Shared Costs” and other budget matters). The charges to the Unit Owner’s
account in excess “Shared Costs” are proportionate to the amount of revenue that
is generated by the rental of the Unit Owner’s unit in comparison the amount of
revenue generated by the other units in the rental program.
The Vista Club Rental Program is not
anticipated to commence until January 2010. This summary and the sample rental
management agreement reflect the program as presently contemplated by the
developer. The developer does not represent that the program, as enacted, will
be identical to the one described here, and the developer reserves the right to
change the terms of the actual program or to elect not to offer a rental
program.
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