What is fractional ownership?
Fractional ownership is a powerful new business model, combining the quality and guaranteed availability of ownership at a fraction of the price. It is also a much better proposition to rental/charter where costs are often high and quality mixed. Fractional ownership lowers the threshold for access to expensive and typically under-utilised assets such as jets and high-end real-estate (e.g. holiday villas). In the private aviation space, NetJets’ pioneer programme now offers access to the world’s largest private jet fleet. The YachtPlus programme applies, for the first time, fractional ownership to luxury yachts. Instead of owning a boat and having the cost and maintenance headaches associated with full ownership. Whilst YachtPlus competes to some extent with traditional yacht ownership or charter, our “third way” yachting solution opens a whole new market for access to a yacht as a hassle-free lifestyle asset.
While Fractional Ownership is a new concept in the world of limousine travel, sharing expensive assets is not. This concept has been a proven and accepted method of ownership for private jets, vacation homes and more recently, yachts. This concept provides all of the advantages of ownership, at a fraction of the cost and without the day-to-day management, maintenance, staffing, downtime and scheduling concerns. These programs are designed to appeal to businesses and individuals who enjoy the benefits of ownership, but cannot justify purchasing a luxury asset solely for their own use. Rather than full ownership, an individual or business can purchase a fraction or “share” of a luxury asset entitling them to the use and full benefits of that particular asset. Fractional Ownership saves a significant amount of money when compared to owning an entire asset and in some cases, can be used to supplement an individual’s or business’ existing fleet or inventory of luxury assets. Owners can expe
Fractional Ownership Properties, also known as Private Residence Clubs, are exclusive properties typically located in world-renown resort destinations. Many are currently in western ski areas such as Aspen and Jackson Hole, and other locations such as Cabo san Lucas and the Caribbean. Fractional sizes vary, but ownerships of 1/9th to 1/13th seem to be most common. Our Program offers a 1/12th ownership option. Simply stated, fractional ownership fills the gap in the market between whole ownership and timesharing. It appeals to people who want a luxurious second home but can’t justify the high cost of ownership and maintenance for something they will realistically only be able to use a few weeks of the year. Fractional ownership allows for more services and amenities than whole ownership, while ensuring that your property is professionally maintained and ready for your arrival.
Fractional ownership is essentially partial ownership of a property. With fractional ownership, a property is owned and shared by at least two, and often several, individuals. This type of ownership is popular with vacation properties and resorts. To understand fractional ownership, consider a large, and expensive, property that may be difficult to purchase and care for on your own. Instead of becoming the sole owner of the property, you purchase a share of it, as do 15 other people. Now, you own 1/15 of the property and have others to share in the burden of maintenance and taxes. Though this option is popular with larger properties, it may be used with smaller, lower cost properties as well. Often, people confuse fractional ownership with timeshares. Both fractional ownership and timeshare situations are common with vacation and resort-type properties. With a timeshare, however, you would purchase a specific amount of time to spend at the property, such as 3 weeks out of every year. Y
