DVC Right of First Refusal Report (ROFR): April ’22
DVC Exercises Right of First Refusal (ROFR)
Year-to-date (YTD), Disney has exercised their right of first refusal (ROFR) on 307 Disney Vacation Club (DVC) contracts, and DVC Resale Market (DVCRM) has sold 1,822, resulting in a 16.8% buyback rate (Contracts Bought Back in 2022/Contracts Sold in 2022). The 2022 waiver rate is 83.2%.
Key ROFR Updates
ROFR activity for April 2022 saw a significant decline as compared to March 2022’s record-setting month. Only 63 contracts were bought back in April, representing a 54% decrease and returning closer to the previous trend that had been emerging for 2022.
Buyback interest so far this year has focused on 6 of the 15 Disney Vacation Club properties, accounting for approximately 91% of all ROFR’d contracts:
- Saratoga Springs – 33%
- Old Key West – 16%
- BoardWalk – 12%
- Animal Kingdom – 11%
- Beach Club – 11%
- Bay Lake Tower – 8%
Noticeably absent in this breakdown as compared to April 2021 is the Polynesian, which has yet to see a contract bought back in 2022. This is likely due to the upcoming construction of the new Polynesian DVC Tower, which is projected to open in late 2024.
What is Right of First Refusal (ROFR)?
For those new to the concept, Right of First Refusal is the option Disney Vacation Club has to purchase any resale contract after a sales price has been agreed upon, and the contract has been executed. Each contract must be forwarded to DVC for review.
DVC typically takes no more than 30 days to review the contract. At their discretion, Disney may step in and purchase the property themselves at the terms agreed upon by the seller and original buyer. DVC then becomes the buyer, and the purchase is complete. Once DVC is the buyer there is not an opportunity to come back with a better offer in hopes of still purchasing the contract.
Highest Monthly Buy Back Numbers by DVC Resort
Highest Buyback Price Per Point by Resort from April 2021 to April 2022:
Disney Vacation Club Resort Resale Contracts Bought Back in 2022
The graph below shows the total amount of buybacks at each DVC resort for contracts sold by DVC Resale Market in 2022:
Buy Back Rates for Disney Vacation Club Resorts in 2022
The table below shows the percentage of buybacks for all 9 different resorts that have had at least one contract bought back in 2022. Note, there have been no buybacks of the following resorts in 2022 thus far: Aulani, Grand Californian, Riviera Resort, Grand Floridian, Polynesian, and Hilton Head.
|Resort||Buybacks||Number Sold||% Bought Back|
|Bay Lake Tower||24||153||15.7%|
|Old Key West||49||134||36.6%|