Los Claveles

Started by TedC, April 14, 2016, 11:35:51

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TedC

I am an owner at Los Claveles in Tenerife. It was developed in 1990 by Wimpey Leisure SA and has 106 apartments, the first 24 being sold as Escritura and the remainder as Club Trustee system. There are three bodies responsible for the efficient running of the resort, the Timeshare Community (made up of Escritura owners), the Development Owners Association (DOA) (responsible for the common areas) and the Club members. Both types of owner contribute to the management costs via the maintenance fee. Currently the total makeup of owner's is15% Escritura owner and 85% Club member as Wimpen have been selling unsold Escritura weeks as Club since 2006.
In the 1990 Club constitution there are 2 founder members, the Management Company and Wimpey Homes Holdings Ltd. Upon the Management buyout by Wimpen in 1998, they installed themselves as Founder member in place of Wimpey Homes Holdings. Research has now found that Wimpen's buyout did not include Wimpey Homes Holdings but that this company changed its name to George Wimpey UK and later to Taylor Wimpey UK who say they do not want to be involved.
At our previous combined AGM's both types of owner have been allowed to vote on expenditure of funds for refurbishing the common areas. The position of Chairman of the Development Owners Association was also a joint vote by both types of owner under Wimpey but less than 2 years after Wimpen bought out Wimpey Leisure Management in 1998 this was changed to Escritura only vote.

In January last year, Wimpen was bought by Onagrup resulting in Club members being concerned about their intentions and subsequently voted at the AGM to terminate the management contract with Wimpen. Escritura owners voted to extend Wimpens contract. Since then Wimpen have refused to hand over the Club member's database to the Committee and have continued to hold onto and use the jointly held bank account.
The Club committee and members have been voluntarily funding the legal fight to remove Wimpen. Onagrup successfully applied pressure to our Spanish lawyer to withdraw from representing the committee by offering them more lucrative work.
Even the Club Trustee FNTC originally backed the committee but, as they still represent Wimpens other resorts changed tack and sided with Wimpen. This culminated in FNTC ignoring the Club constitution and calling an SGM in January which resulted in a court injunction to prevent as the agenda was deemed by our lawyers as being in Wimpens favour. Complaints were made to the Isle of Man Financial Services Authority about FNTC as Philip Broomhead of FNTC is also a director of Alanda Club Marbella SA, one of Onagrups resorts and thus created a conflict of interest along with FNTC's involvement with Wimpens other resorts.

We now have a situation where Wimpen have called an AGM for Escritura owners (the timeshare community) and the DOA but say they cannot include Club members. At this AGM approval is being sought of the accounts and budget (which are combined Club and Escritura) so Wimpen can proceed with expenditure on refurbishment

All owners pay maintenance fees which includes the upkeep of the common areas and yet only Escritura owners are allowed a say. As I understand the Law of Horizontal Property, all deed holders should be entitled to vote on matters concerning the common areas. Club member's deeds are held in Trust with FNTC by Los Claveles Owning Companies and it seems the votes associated with those deeds have never been used, for who would be eligible to vote on behalf of the Owning company? Our committee have repeatedly raised this with our management company over the years but have been given short shrift.

Is this legal since 85% of contributors to the refurbishment fund do not have a say on how that money is spent? In fact is the dual system in operation legal, since Club members are not treated equally with Escritura owners? Are Club members not adequately safeguarded by the Law of Horizontal Property?

TedC


Marvin

The member called jcorrea-lawyer would best to be able to help you.

http://www.correaguimera.com



being a proper Spanish lawyer and all.

Personal message him on this site or through his web site
I'd rather be in the minority and right, than in the majority and wrong. After all I only have to live with myself!

TedC

I have been informed by the current Chairman of the Development Owners Association (DOA), Ivan Pengelly (former owner of Wimpen), that the Law of Horizontal Property is not applicable to Club schemes and its members and that it is only at Wimpens discretion that Club members have been allowed to vote on matters concerning the DOA, such as expenditure.
Surely this cannot be correct? Club members contribute to the financial upkeep of the common areas and should legally have a right to decide how their fees are spent in that respect.

I also asked him to categorically confirm that the operation of two schemes on one site (Escritura and Club), and in some cases in the same apartment, complied with Spanish law, he replied that he believed it did.

lawnmower60

Has  the club fixed weeks or floating if they are floating they are illegal and if they have a fixed week and apartment I should think they would be classed as timeshare owners by the courts and should be able to vote
Brian

TedC

Los Claveles is a fixed week resort.
It has been very well managed in the past, with relatively low fees etc. and because of this most owners have never bothered about the nitty gritty of the running of the resort and have been content to let things happen. Up to last year's AGM, only about 17% of owners bothered to vote.

It was only the sale of Wimpen to, what was to us, an unknown company, which included the contract to manage our resort without the knowledge or consent of the Committee and owners that led many to start researching the new company. This research revealed a lot of information that provoked cause for concern. We also started to take a more pro-active involvement in how things have been and are run and this highlighted many things that don't seem right.

Jackiee

We too are owners at Los Claveles and have been for over 20 years. We have always voted when asked to but have never attended any meetings in the UK.

I find it odd that out of all the Wimpen Resorts only Los Claveles is the one who is unhappy.  Do the other resorts not have owner's committees? I don't particularly like the way all this came about any more than anyone else. However the way the committee head was rounding people up in the resort when we were there last was very disconcerting. Anyone asking awkward questions at the weekly meeting was given short shrift for not agreeing or having to gall to ask something he didn't like and had no answer to.

We are seriously considering our options here which is sad having been owners for so long.
Jackie

TedC

All other Wimpen resorts are wholly Escritura owned, ie the owner actually possesses the deed of the property for the week/s purchased and only have a representative at meetings. Los Claveles is the only resort I know of where it is dual type ie Escritura and Club. Club members make up 85% of the total ownership but do not possess a deed to the property, only a certificate of membership to the Club that allows them to occupy the apartment for the week/s purchased. The actual deeds for Club weeks are held in Trust by FNTC who, incidentally, refuse to transfer the Trusteeship to Hutchinson as was voted for at the 2012 AGM and the letter of termination duly sent to FNTC.
If a Club member fails to pay the maintenance fees, their Club membership can be easily cancelled and entitlement to use the property forsaken, whereas if an Escritura owner fails to pay the fees, they do not lose the property but are barred from using the weeks purchased until all fees due are paid.
Wimpen have said in the past that all Club weeks cancelled or handed back belong to the Club but it now appears evident that Wimpen have been taking weeks back. They already possess a number of Club and Escritura weeks and as apathy has reigned at AGM's in the past and only 17% of owners/members voted it would be easy for them to enable resolutions to go in their favour.   
As the Club committee is elected for 4 year terms of office it is difficult for them to do anything to gain control for their own benefit, all they have done is highlight the potential for Wimpen/Onagrup to gradually take control by encouraging a scenario where owners/members walk away which, as is evident on this forum, is happening at other resorts.


daveh44

Hi TedC

Your statement re: all other Wimpen resorts are 100% escuitura owned is not correct. I know at least some of them are a similar mixture to Los Clavelles mainly dependent upon the date of timeshare acquisition i.e. early timeshare owners will be escuitura, later (post c. 2000 ) are club membership.
To complicate further some sites have outright owners e.g. purchased villas/appartments.

TedC

Hi Daveh44
Which ones are dual?
I know Bena Vista in mainland Spain is Club but I believe that the Canary Island resorts are Escritura. Sueño Azul has, from the outset I believe, been part tourist and part residential and are run as separate entities and this may also apply to others. My comment that Los Claveles is the only combined Club/Escritura scheme in Wimpens portfolio was based on correspondence with Ivan Pengelly.

daveh44

TedC

I know Las Rosas in Tenerife is dual. I think Las Brisas in Lanzarote is dual.

Daveh

Gail2005

Quote from: TedC on July 22, 2016, 21:54:32
All other Wimpen resorts are wholly Escritura owned, ie the owner actually possesses the deed of the property for the week/s purchased and only have a representative at meetings. Los Claveles is the only resort I know of where it is dual type ie Escritura and Club. Club members make up 85% of the total ownership but do not possess a deed to the property, only a certificate of membership to the Club that allows them to occupy the apartment for the week/s purchased. The actual deeds for Club weeks are held in Trust by FNTC who, incidentally, refuse to transfer the Trusteeship to Hutchinson as was voted for at the 2012 AGM and the letter of termination duly sent to FNTC.
If a Club member fails to pay the maintenance fees, their Club membership can be easily cancelled and entitlement to use the property forsaken, whereas if an Escritura owner fails to pay the fees, they do not lose the property but are barred from using the weeks purchased until all fees due are paid.
Wimpen have said in the past that all Club weeks cancelled or handed back belong to the Club but it now appears evident that Wimpen have been taking weeks back. They already possess a number of Club and Escritura weeks and as apathy has reigned at AGM's in the past and only 17% of owners/members voted it would be easy for them to enable resolutions to go in their favour.   
As the Club committee is elected for 4 year terms of office it is difficult for them to do anything to gain control for their own benefit, all they have done is highlight the potential for Wimpen/Onagrup to gradually take control by encouraging a scenario where owners/members walk away which, as is evident on this forum, is happening at other resorts.


An interesting read. I have an elderly friend who is trying the exit El Marques which he owns with his deceased wife under an Escritura.

If he stops paying the fees, will Wimpen/Ona repossess?  He hasn't used it or exchanged it for many many years.

 

TedC

Gail2005.
In the past, Wimpen have said they cannot accept Escritura weeks back because of the time and cost of transferring the deed.  According to a 2010 article on their website blog, http://www.wimpen.info/timeshare-property-holding-company/  Wimpen have formed Holding Companies in which owners can transfer their Escritura and then enter into a new private contract. Once this is done, an owner still has all the rights of ownership but can walk away at any time. This isn't cheap, costing in the region of £1000 and if one of the joint owners is deceased, it rises to £1500.
I know that Las Casitas and Las Rosas have Holding companies but I am unsure about El Marques.

Gail2005

Quote from: TedC on August 30, 2016, 20:08:44
Gail2005.
In the past, Wimpen have said they cannot accept Escritura weeks back because of the time and cost of transferring the deed.  According to a 2010 article on their website blog, http://www.wimpen.info/timeshare-property-holding-company/  Wimpen have formed Holding Companies in which owners can transfer their Escritura and then enter into a new private contract. Once this is done, an owner still has all the rights of ownership but can walk away at any time. This isn't cheap, costing in the region of £1000 and if one of the joint owners is deceased, it rises to £1500.
I know that Las Casitas and Las Rosas have Holding companies but I am unsure about El Marques.


hat is very helpful TedC.  I shall pass that on to my neighbour.
 

daveh44

Hi Gail

Just to echo what Ted has said.

I have been told of conversations between owners and the sales rep for El Marques where exactly that solution has been proposed.

If the owners are willing to pay for the escritura to be converted to club ownership (£750-1000), they can give notice to hand the weeks back at no cost.

Suggest the owners talk to on site sales rep or email him

Daveh

Gail2005

That's good news. Do you by any chance have an email address?
 

Gail2005

Quote from: Gail2005 on August 31, 2016, 12:22:49
That's good news. Do you by any chance have an email address?


It's alright. I've found it now!
 

Worldtraveller

Re TedC post of 14th April 2016

Taylor Wimpey plc (formerly Taylor Woodrow plc) is one of the largest British based housebuilding companies. It is listed on the London Stock Exchange and is a constituent of the FTSE 100 Index. Its corporate headquarters are in London and its UK operational headquarters are in High Wycombe.
The company was created from the merger of rivals Taylor Woodrow and George Wimpey on 3 July 2007.

There is no earthly reason why this plc should be involved in the matter that you raised in April 2016.

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