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Avalon Grand Cancun new management

Midwest
Level Contributor
29 posts
47 reviews
78 helpful votes
Avalon Grand Cancun new management

We are members of Avalon Grand Cancun & we are wondering what is going on with the new management. We have not received any information. We found out it is no longer a part of the Avalon Resort group & has been removed from the website. We have tried to contact the vacation club manager, who had nothing to say! We are ready to start a class action suit because we have a contract, and as members, we are kept in the dark about this. Are any of you other members informed?

Alberta, Canada
1 post
71. Re: Avalon Grand Cancun new management

Hello Time sharers.Myself and my husband bought in 2001 and would like to also join in on this class action lawsuit.i haven't heard anything and just reading the above with everybody's nightmare scam.If any info Please contact me. rn-weezie@shaw.ca

thanks Louisa and Bruce

In a Little Cafe...
Destination Expert
for Cancun
Level Contributor
11,280 posts
4 reviews
15 helpful votes
72. Re: Avalon Grand Cancun new management

As mentioned in previous posts, and this information may help some or may not, Michael Kelly, the former owner of the Avalon Grand and other properties and businesses typically operating under the umbrella corporation known as Grupo Kelly, was arrested for a massive fraud scheme in the US and jailed, he has since died and his assets are/have been liquidated by a Federal Trustee (Special Master) for the criminal courts in an attempt to provide some restitution to his victims.

Of note and I'll stick to the former Avalon Cancun for now:

Quoting and editing...

---------------------------------

1) The Avalon Grand Cancun Hotel (the “Grand”), a 119-room beachfront hotel located in

Cancun’s hotel zone, was Grupo Kelly’s largest Cancun hotel operation. In 2009, the average

hotel occupancy rate at the Grand was roughly 51%, the average daily guest rate was $67.70 and

the hotel was unprofitable. The Special Master first brought the hotel to market in early 2011, a

period of slow recovery for the Mexican commercial real estate market. A concern to potential

investors was that Corporativo Nola, S.A. de C.V., the Grupo Kelly Restitution Trust Company

that owned the hotel, had been sued by several former employees prior to the Special Master’s

appointment. After a lengthy negotiation with the eventual buyer, the Special Master and the

buyer agreed to establish an escrow account to be used by the buyer to settle the assumed labor

litigation.

2) Avalon Grand Cancun Hotel

On May 22, 2012, the Court authorized the Special Master to direct the sale of the Grand

to Promociones Urbanas Riera, S.A. de C.V, a Mexican company owned by Spanish real estate

investors. On June 13, 2012, the Special Master directed the closing of the sale for Gross

Proceeds of $10,000,000 and Net Proceeds of approximately $7,890,000.

3) Grupo Kelly relied on a “vacation club” model. An active sales staff sold pre-paid

timeshares to over 7,000 members. These timeshares were separate and distinct from the

universal leases (as defined in the next paragraph) that were charged in the criminal case.

Purchasers of these vacation club memberships paid in advance a lump sum in exchange for a

right to stay at the hotels for a specific time period each year for a fixed number of years. The

Special Master decided to end the “vacation club” program because of few new sales. However,

the vacation club memberships of individuals who had bought them prior to the Special Master’s

appointment had to be honored. Thus, the sale of each of the hotels involved assigning these

vacation club contracts to the eventual buyers.

------------------------------------------------------------------

For many of you, those last few sentences in #3 may be applicable, if you bought a Universal Lease of some type, you may be eligible for restitution at some point and it's not likely to be at 100% and involves the Special Master's financial assignments if any.

Now, if you bought a timeshare subsequent to the sale and are unhappy, you're at war with the new owners along with previous vacation club buyers, just for different reasons.

Good Luck...

In a Little Cafe...
Destination Expert
for Cancun
Level Contributor
11,280 posts
4 reviews
15 helpful votes
73. Re: Avalon Grand Cancun new management

Just a thought on this and there's a variety of ways this could happen but I find it kind of ironic that a resort with 119 available rooms has over 7000 active "vacation club" memberships.

Given that most timeshares/vacation clubs are sold on a weekly basis, 119 Rooms X 52 Weeks equals, um, gulp, 6,188 possible available weeks if my math is correct.

Maybe the members are counted as more than one to a room.

Not that there's anything wrong with that.... ;-)

Edited: 9 years ago
1 post
74. Re: Avalon Grand Cancun new management

Hi jay and Donna, did you pursue a class action lawsuit ? I am a member of Avalon Grand but upset we can no longer booked at the other Avalon location per the contract. I believe they have breached the contract.

new york
Level Contributor
15 posts
1 review
75. Re: Avalon Grand Cancun new management

Yes, we too have been members for too long, more than 10 years, probably 15. The only good visit we had was our 1st time when they gave us a free week over Christmas. After that, it's all down hill. 1 time when they didn't have the room we reserved available & they were fully booked, after much complaining, they showed us 6 different empty rooms to choose from. All they do is lie. No more members bar, only 1

restaurant & lousy service. Our last visit was 3 years ago, when they were in the middle of ownership change, & after less than 2 days, we were so bored, we left & went next door to the Beach Palace for 5 more days, all inclusive including drinks. Don't expect to ever get any money back & we could've given it away towards another timeshare, but have used it for Interval exchanges & that gives it some value. Luckily we only have to pay maintenance every other year. Any class action include us.

Jeff & Linda Gold

txman22@aol.com

Southern New...
Level Contributor
29 posts
67 reviews
36 helpful votes
76. Re: Avalon Grand Cancun new management

So has anybody stayed here since the new ownership has taken over ? I did see a few post of people that did and they were somewhat possitive. Over all I see many complaints about the property and it's managment. I can understand the frustration many of you have encountered as the resort I am affiliated with has gone through the same situation. My resort was located in the states. we had over 1200 members at one of the buildings that only could accomadate 1050 member weeks. Sueing was not an option as the previous owner was as financially bankrupt as he was morally. Our resort was also given a bad rap due to the incompatant managment, so our once nice resort was in shambles when all of this was dropped in our lap. Since then the resort has been broken up into condo associations for the buildings that were sold out. A major name in resorts has taken over the majority of the resort has dumped hundreds of thousands of dollars into the resort which was good for us condominium timeshare owners. So using the glass half full attitude. If you maintain the extent of your lease at the same rate and the resort is renovated, that is a big plus. I know you loose all of the perks that you paid for originally, but you can still maintain your lease. Depending on you yearly maintenance fee that may still be a good deal. We had to become a condo association and our yearly expense went up and we got absoultely nothing extra for it. So I hope for the best outcome for your situation.

Mainly the reason for my comment was to find out if anyone had stayed here lately. We are planning a trip and I may want to exchange into the NYX as I want to steer clear of the all inclusive places. I do not require an over the top resort, just a decent clean one bedroom suite with a nice pool and beach. I do not drink heavily so the quality of the bar does not effect my decision. Simply I have never stayed at an all inclusive where I felt I got my monies worth. any information would be appreciated. THANKS and GOOD LUCK

White Rock, Canada
Level Contributor
18 posts
26 reviews
25 helpful votes
77. Re: Avalon Grand Cancun new management

Thanks Danger. I am so glad you have an interest in this situation.

That was great work on what is going on lately. I hope you might be able to give us, me, a little more info on the situation. My question is:

Is there an agency members can complain to. Profeco (Mexico) or the Special Master (US address?) so that some action, meaning: At the best get out of these meaningless contracts and maintenance fees. The original contract stated " ANNUAL/BIANNUAL week at the AvalonGrand resort or any of the Avalon resorts." Don't you think there is a default in the original contract that would require some other agreement to be made with the new owners? Sorry, to ask such a legal question.

I understand a class action suit is useless in Mexico. But Kelly's family must still be behind his US shills like

Resort/Com (US). They would appear to be implicate in this as they are threatening credit reporting if maintenance fees are not paid. I know it would be a different law in the US under credit protection but these agencies are extorting funds as a result of their enforcing a fraudulent arrangement.

Sorry to bug you but your thoughts would help. Best regards. Rod

Kitchener, Canada
3 posts
78. Re: Avalon Grand Cancun new management

As a time share member Tried to book my week to stay at the Avalon Grand but no luck . My time is running out. and cannot get hold of Avalon Grand ' Even tried to trade vacation with interval international but need a confirmation number - no luck. Hope someone with additional information can lead me in the right direction. Thanks Sydney

Kitchener, Canada
3 posts
79. Re: Avalon Grand Cancun new management

If anyone have the phone number or email address where I can contact the NYX hotel directly to set up accommodation. for my timeshare week please post on site or send email to 247 sydney@primus.ca

Southern New...
Level Contributor
29 posts
67 reviews
36 helpful votes
80. Re: Avalon Grand Cancun new management

Hi, The number I have I had gotten from their website nyxcancun.com US and Canada 1 800 780 5733. If you Google them they also have http://nyxhotels.com/en/contact-us with this website they have an option for sending them an email as well.

I recently booked my week through Interval International, NYX or Avalon are not my home resort though. Hopefully they come through when I land there in a few weeks.

Good Luck I hope all works out for you

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