DVC Right of First Refusal Report (ROFR): October 2023

DVC Exercises Right of First Refusal (ROFR)

Year-to-date (YTD), Disney has exercised their right of first refusal (ROFR) on 8 Disney Vacation Club (DVC) contracts, and DVC Resale Market (DVCRM) has sold 3,848, resulting in a 0.2% buyback rate (Contracts Bought Back in 2023/Contracts Sold in 2023). The 2023 waiver rate is 99.8%.

Key ROFR Updates

October was quite a rollercoaster, especially for The Villas at Disney’s Grand Floridian Resort and Spa. Throughout the month, we saw Disney exercising their Right of First Refusal (ROFR) on three contracts from sales at DVC Resale Market for Grand Floridian, with prices ranging from $143-$146 per point. This activity continued to charge what was already a flurry of speculation among DVC members and prospective buyers.

However, as the proverbial dust settles, the picture begins to sharpen. As of October 30th, Grand Floridian has once again been labeled as “sold out” for direct sales. This means that all available inventory associated with the addition of Big Pine Key has been snapped up.

With this new revelation, the recent ROFR activity at Grand Floridian starts to fall into place. It is highly likely that Disney Vacation Club was likely assembling the points needed in certain units to get the property to this sold-out status, which prompted several buybacks over the past few months.

But, just as one mystery seems to be solved, more questions bubble up to the surface. Does this mean the ROFR Monster is packing up and going back into hibernation? Or will Disney now look to aggressively buy back Grand Floridian contracts and resell them at a significantly higher “sold out” price?

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 October 2022 to October 2023:

Disney Vacation Club Resort Resale Contracts Bought Back in 2023

The graph below shows the total amount of buybacks at each DVC resort for contracts sold by DVC Resale Market in 2023:

Buy Back Rates for Disney Vacation Club Resorts in 2023

The table below shows the percentage of buybacks for the resorts that have had at least one contract bought back in 2023. Note, there have been no buybacks of the following resorts in 2023: Aulani, Grand Californian, Riviera Resort, Polynesian, Bay Lake Tower, Beach Club, Boardwalk, Boulder Ridge, Old Key West, Saratoga Springs, Vero Beach, and Hilton Head.

Access all DVC resale listings and learn more about buying and selling with DVC Resale Market.