Rental programs operate on a calendar year basis. The standard initial term is [1] year with automatic [1]-year renewals. Owners may opt out by providing written notice during the 60-day period ending September 1 of each year. Without opting out, renewals continue throughout the Hotel Management Agreement term. Alternatively, owners may choose a 2-year initial term with automatic annual renewals thereafter, subject to the same opt-out provisions. Those selecting the 2-year initial term receive an incentive of a more favorable revenue split during this period.
Owner usage is unlimited for reservations requested by September 1 of the prior year for the following year, unless the request conflicts with a pre-existing Peak Date reservation before April 30 of the following year. For current year stays, if the Owner did not request usage before September 1 of the prior year, they may book with 6 months' advance notice if their unit is available and the date is not a Peak Date. Owner usage will also be granted if their unit is reserved but a similar unit is available for transferring the existing reservation.
Unit Owner will be guaranteed availability for occupancy requests submitted [180] days in advance. All requests made after such date will be subject to availability after accounting for hotel guest reservations. Unit Owners must make reservations directly with the property reservation team, not central reservations.
Unit Owner requests within 30 days will be accepted if unit is not already reserved. If the unit has an existing reservation and a like unit is available, hotel operator will move the reservation to the like unit. If the Unit Owner accepts to move the reservation and occupies his/her unit, Unit Owner will not receive rental revenue for that reservation period.
Calculations:
$$ Annual Gross RevenuePerUnit = Average Daily RateOccupancyRate365 $$
$$ NetRevenuePerUnit = GrossRevenue-AdminFee (10 percent) $$
$$ Owner'sRentalShare = (Net Revenue*0.5)-FFE.Reserve $$
$$ FFE.Reserve= 0.05*GrossRevenue $$