Maui Business

Maui Timeshares Averaged 91.3% Occupancy in 2017

May 9, 2018, 12:25 PM HST
* Updated May 14, 8:34 AM
Listen to this Article
4 minutes
Loading Audio... Article will play after ad...
Playing in :00
A
A
A

PC: Westin Nanea Ocean Resort Villas

In Maui County there were 304,951 timeshare visitors in 2017, an increase of 2.7% over 2016, according to new information compiled by the Hawaiʻi Tourism Authority.

Timeshare visitors represented 11% of all Maui County visitors during 2017, which was equivalent to 2016.

Timeshare occupancy averaged 91.3% in 2017, a 1.7 percentage point decrease from 2016.

Contributing to the decline in occupancy was the increase in supply with the opening of the new 195-unit Westin Nanea Ocean Villas in April 2017. Hotel occupancy for Maui County was 77.1% in 2017.

Statewide, Timeshare Occupancy was 89.5% in 2017

ARTICLE CONTINUES BELOW AD

Meantime, Hawaiʻi’s timeshare industry as a whole reported occupancy of 89.5% statewide in 2017, a slight 0.2 percentage point decrease versus 2016, according to data released today by the Hawaiʻi Tourism Authority. In comparison, occupancy of hotel properties statewide averaged 80% in 2017.

ARTICLE CONTINUES BELOW AD

Jennifer Chun, HTA tourism research director, said, “Timeshare properties continue to be a healthy and reliable segment of Hawaiʻi’s tourism industry, with the rate of occupancy for 2017 remaining similar to 2016 even though more total units were added statewide.

“In addition, strong timeshare performance did not come at the expense of the hotel industry, as both lodging segments performed well last year.” Timeshare usage was up by 5.1% in 2017, while hotel usage increased by 4%.

Timeshare in the Hawaiian Islands has maintained a consistently high rate of occupancy for each of the past five years (2013-2017), both at a statewide level and for each island county (Figure 1).

ARTICLE CONTINUES BELOW AD

In 2017, timeshare occupancy statewide averaged 92.6% in the first quarter, 88.2% in the second quarter, 90.1% in the third quarter, and 87.2% in the fourth quarter (Figure 2). By comparison, hotel occupancy statewide averaged 81.2% in the first quarter, 79.1% in the second quarter, 81.4% in the third quarter, and 78.6% in the fourth quarter (Figure 3).

Timeshare occupancy rates statewide decreased overall in the last three quarters of 2017 due to new units entering the market. This included the opening of two new timeshare properties on Oʻahu and Maui, and units being added to an existing timeshare property on the island of Hawaiʻi.

Chun said, “The market absorbed the increase in supply of timeshare units, demonstrating consumer demand for an investment in future vacations to Hawaiʻi.”

The Hawaiian Islands welcomed a total of 839,024 timeshare visitors in 2017, a 5.1% increase over 2016. Of that total, 77.1% stayed exclusively at a timeshare resort, a similar rate to the previous year. The remaining 22.9% of timeshare visitors also stayed at another type of lodging during their trip.

In 2017, timeshare visitors statewide accounted for 9.1% of all Hawaiʻi visitor arrivals and had an average length of stay of 10.2 days. Both figures were comparable to 2016.

Owners of Hawaiʻi timeshare units comprised 57.8% of occupied room nights in 2017, while visitors participating in a timeshare exchange program accounted for 18.4% of occupied room nights (Figure 4). Transient rentals, which also includes rentals of units to timeshare owners and exchangers beyond their allotted stay, represented 16.3% of occupied room nights. The remaining balance, 7.4%, was utilized for sales and marketing purposes.

Timeshare properties participating in HTA’s quarterly timeshare surveys paid a total of $87.1 million in state and county taxes in 2017, with real property taxes encompassing 45.6% of total taxes.

Oʻahu Timeshares:

Oʻahu welcomed 335,337 timeshare visitors in 2017, an increase of 8.3% year-over-year. Timeshare occupancy on Oʻahu was the highest of the four island counties, averaging 91.9% in 2017. However, this was a 1.7 percentage point decrease compared to 2016, due to the increase in supply with the opening of the 411-unit Hilton Grand Islander resort in March 2017. Oʻahu’s hotel occupancy, by comparison, averaged 83.3% in 2017, a 0.7 percentage point decrease.

Kauaʻi Timeshares:

Timeshare occupancy on Kauaʻi averaged 86.7% in 2017, a 0.4 percentage point decrease from 2016. This decline is consistent with a 1.4% decrease in timeshare visitors to 210,904 in 2017. In contrast, hotel occupancy on Kauaʻi rose 3.0 percentage points to 75.7%.

Hawaiʻi Island Timeshares:

Timeshare properties on the island of Hawaiʻi reported occupancy of 85.2% in 2017, a 0.2 percentage point decrease compared to 2016. The decline in the occupancy rate was impacted by an increase in supply, with Marriott’s Waikoloa Ocean Club adding 112 timeshare units in 2017. Hotel occupancy for the island of Hawaiʻi averaged 74.4% in 2017.

HTA’s Hawaiʻi Timeshare Quarterly Report for the fourth quarter and full year of 2017 was prepared by Kloninger & Sims Consulting LLC. The timeshare survey findings for the fourth quarter are based on data provided by 52 individual timeshare properties representing 81.3% of registered timeshare units statewide.

E-Mail Newsletters Receive daily or weekly updates via e-mail. Subscribe Now
News Alerts Breaking news alerts on your mobile device. Get the App

Comments

This comments section is a public community forum for the purpose of free expression. Although Maui Now encourages respectful communication only, some content may be considered offensive. Please view at your own discretion. View Comments