July 2010 Developments - 24

Anniversary
Starwood Vacation Ownership: Celebrating 30 Years of Vacations
I
n July 1980, a newly-wed couple from Glastonbury, Connecticut, was honeymooning in Orlando, Florida, to visit Walt Disney World. Edward and Debra Esteves were browsing through a souvenir shop when a salesman from a start-up company called Vistana, Inc., offered them a tour of Vistana Resort in exchange for $15 store credit. It was an offer they accepted, and one that changed their lives. With more than a dozen tennis courts, a swimming pool, volleyball, and acres of beautiful landscaping, Vistana Resort was the ideal Florida vacation destination. And it was part of an emerging trend in real estate: timesharing. “We bought the concept,” said Edward Esteves, who became one of the original resort owners. Debra Esteves added, “We bought a deeded week because we knew we’d have for the rest of our lives, and eventually, we would bring a family or invite friends to come along.” Little did anyone realize at the time, the little resort in Orlando was setting the foundation for the entire timesharing industry that followed.

Christine Baumann

From Past to Present
In its 30 years, Starwood Vacation Ownership has shared many milestones with owners, guests, and associates. Most important in the relationship is the brand qualities and luxuries that come with being apart of Starwood Hotels & Resorts Worldwide, Inc. (NYSE:HOT). Starwood Vacation Ownership leverages the hospitality industry’s most recognized brand collection and the strength of a global organization by operating resorts under the Sheraton®, Westin®, Luxury Collection®, and St. Regis® brands. While it began with just one resort in Orlando, Starwood Vacation Ownership is now a leading developer and operator 24

of 23 high-quality vacation ownership and fractional resorts in Hawaii, Mexico, Colorado, the Bahamas, and the U.S. Virgin Islands (among others). And although it started with just one buyer, there are more than 250,000 satisfied and adventurous owners globetrotting between vacation ownership resorts and Starwood hotels around the world. “We are proud and honored by the continually growing number of vacationers who choose Starwood Vacation Ownership for a lifetime of vacations,” said Chief Executive Officer Sergio Rivera.

Joining Starwood Hotels & Resorts
Between 1980 and 1999, Vistana made huge strides. It went from operating one resort to ten. It expanded vacation ownership in the western United States when it acquired resorts in Colorado and Arizona. It also went public under the VSTN symbol on the NASDAQ—a move

that piqued the interest of several hotel suitors eager to enter the fractional market. In 1999, when Starwood Hotels & Resorts purchased Vistana, Inc., a door to an exciting set of endless travel options opened. The vacation ownership resorts began to fly the Sheraton and Westin flags and then enjoyed the brand recognition that followed. Timeshare owners also began to enjoy the array of Starwood benefits. “The fact that Vistana had the ability to take its rich history, good management team, and loyal owners and marry it successfully to a brand that expanded it globally was huge,” said Howard Nusbaum, RRP, president and CEO of the American Resort Development Association. And expand globally is just what happened. In January 2001, the Starwood Vacation NetworkSM program debuted. The program is an easily accessible exchange system developed to give owners unparalleled flexibility, less travel restrictions, and complete access to every Starwood brand. It would allow owners to exchange into other timeshare resorts and choose from other travel experiences. Most importantly, however, the exchange system harnessed the power of a reward redemption program—the Starwood Preferred Guest® program—to give owners access to the largest collection of upperupscale hotels in the world. Now, owners really began to travel. Two choices are still the most popular today: (1) exchanging into another Starwood Vacation Ownership resort and exploring another destination while still enjoying high-quality villa accommodations; and (2) converting ownership into Starwood Preferred Guest Starpoints® and staying at one of 940 hotels in 93 countries represented by nine unique brands.

Developments • July 2010

July 2010 Developments

Table of Contents for the Digital Edition of July 2010 Developments