Canada's first and largest destination club and a firm that ardently believes in lean and responsible business practices, M Private Residences offers a worldwide collection of $2-$3 million properties exclusively to members.
Created in 2004 and officially selling memberships in 2005, CEO Jim Hilsenteger, COO Paul Poscente, and Vice Presient of Sales Ken MacLean, led the club's executive team at launch.
The club quietly grew within the destination club sector, surpassing the 100 member mark and bringing on properties in British Columbia, Hawaii, Cabo San Lucas, and various other highly sought after destinations. Based on the club's success, a series of other destination clubs based out of Canada emerged, including Diamante Residences, Moncasa Private Club Residences, and The Discovery Club.
Late in 2008, M Private Residences announced some substantial changes to the club's structure as Co-CEOs Poscente and MacLean would step down as the club became wholly owned by members. Prior to the change, the club approached many of their peers to gauge interest in either an acquisition or merger. "Before we decided it was in M shareholders' best interest to buy the management company, we courted and dated most of the major clubs outside of Exclusive Resorts, and talked about merging, acquiring, and selling," said Poscente. "Through that process and without getting into any specifics, we got to see under the sheets of all these companies, and were aghast at the extent that operating costs failed to cover the cost of expenses, generally speaking."
One of the most responsible and forward thinking clubs in the industry, M was well positioned for the economic crisis that claimed High Country Club, LUSSO Collection, One Key World, and Yellowstone Club World amongst others late in 2008 and into early 2009. The lean business operations, magnified by Poscente and MacLean's departure, allow M to be one of a handful of clubs that can continue operations without any new sales. "Let's be very clear," began Poscente. "At M, every dollar is covered by the operating costs. Every light switch, every cup of coffee, all the debt, all the salaries, all the sales, sales incentives, referral programs, every freaking dollar is in the annual dues." MacLean added "Just by general nature, Canadians are convervative! Everyone knows that!"
Since the two founder's departure, the club is now led by General Manager John Beckel, Director of Experience Kim Ogilvie, Controller Karen Watson, and Vice President of Sales Michele Beitel who have continued the conservative Canadian mentality that has suited the club so well.
MEMBERSHIP PLANS
Currently, M Private Residences, Canada's first true destination club, offers three different membership levels, an increase from the two that the club originally launched with.
Share A
Providing 21 nights of annual usage, Share A Memberships are available for $180,000 and annual dues of $16,650 per year. Share A members can have up to three reservations on the book at one time, comprised of two long term reservations and one short term reservation.
Like the other two membership plans within M Private Residences, Share B and Share C, members can make reservations up to two years in advance and can resell their membership for an 8% transfer fee.
Share B
M Private Residences next membership tier, the Share B Membership provides members twice the amount of annual usage from the Share A Membership. Members can make their 42 nights of annual access across up to six reservations. These six reservations can include up to four long term reservations and two short term reservations. Members pay a membership deposit of $275,000 and annual dues of $27,750.
Like the other two membership plans within M Private Residences, Share A and Share C, members can make reservations up to two years in advance and can resell their membership for an 8% transfer fee.
Share C
M Private Residences' highest membership level, members have access to up to 60 nights of travel each year within the M collection of properties. Members pay a $360,000 membership deposit and annual dues of $32,750 and can have up to seven reservations on the calendar at one time, up to two years in advance. The seven reservations can include up to five long term reservations and two short term reservations.
Similar to the other two membership plans within M Private Residences, Share A and Share B, members can make reservations up to two years in advance and can resell their membership for an 8% transfer fee.
Past Membership Plans
When the club launched, the club had only two membership plans, Share A and Share B Memberships. For a brief while early in 2008, M Private Residences transitioned to include a four tiered membership structure, ranging between $195,000 and $485,000 to join with annual dues between $8,000 and $24,800 per year.
Trek Membership
The Trek Membership offered members 15 nights of annual usage. Members paid a membership deposit of $195,000. Annual dues totaled $8,000 per year and members received five space available reservations within 14 nights of the first day of reservation.
Quest Membership
The middle tier in the M Private Residences' collection of memberships, the Qwest membership was available for a one time membership deposit of $385,000. Annual dues of $17,000 per year provided members 35 nights of access. Like both the Odyssey Membership and the Odyssey Two Family Membership, members could make seven nights of space available reservations within 30 nights of travel.
Odyssey Membership
Similar to the current Share C Membership, the Odyssey Membership allowed up to 60 nights of annual usage within the club. Members paid a one time membership deposit of $485,000 to join, a higher price to today's Share C Membership, and $20,700 in annual dues, a reduced price from today's Share C Membership.
Members could make space available reservations for up to seven nights within 30 nights of travel.
Odyssey Membership - Two Family
For all intents and purposes, a shared ownership package for the Odyssey Membership. Members received 42 nights of annual usage, but unlike the regular Odyssey Membership, multiple users could travel on the membership. Members paid an identical $485,000 like the standard Odyssey Membership, but a slightly increased dues structure of $24,800 per year.
MEMBERSHIP PRICING
Canada's largest destination club, M Private Residences offers three different membership plans currently. During their time in the industry, M has also offered several other membership plans with their own unique pricing model. Please feel free to review both the current and past membership plans and associated pricing below.
Share A
Providing 21 nights of annual usage, Share A Memberships are available for a one time membership deposit of $180,000. Share A members can have up to three reservations on the calendar at one time, made up of two advanced reservations and one near term reservation.
Like M Private Residences two other membership plans, Share B and Share C, members can make reservations up to two years in advance and can resell their membership for an 8% transfer fee.
Share B
The next tier with the M Private Residences' series of membership plans, the Share B Membership provides members twice the amount of annual usage compared to the Share A Membership. Members can reserve their 42 nights across up to six reservations at one time. These six reservations can include up to four long term reservations and two short term reservations. Share B members pay a one time membership deposit of $275,000.
Share C
The highest membership level available to members, a Share C Membership provides members up to 60 nights of travel each year within M's collection of properties. Members pay a $360,000 membership deposit and can have up to seven reservations on the calendar at one time, up to two years in advance. The seven reservations can include up to five long term reservations and two short term reservations.
Like the Share A and Share B Memberships, members can make their reservations up to two years in advance and can resell their membership for an 8% transfer fee.
Past Membership Plans
When the club launched, the club had only two membership plans, Share A and Share B Memberships. For a period early in 2008, M Private Residences transitioned to include a four tiered membership structure, with membership deposits ranging from $195,000 and $485,000.
Please feel free to learn more about these expired membership plans below.
Trek Membership
For a one time membership deposit of $195,000, Trek members were provided 15 nights of annual access. Members also received five space available reservations within 14 nights of travel.
Quest Membership
The middle tier within the M Private Residences' collection of Individual Memberships, the Qwest Membership was available for a one time membership deposit of $385,000. Members were allowed 35 nights of annual access across the club's portfolio of luxury vacation properties. Like both the Odyssey Membership and the Odyssey Two Family Membership, members could make seven nights of space available reservations within 30 nights of travel.
Odyssey Membership
Similar to the current Share C Membership, the Odyssey Membership allowed up to 60 nights of usage within the club each year. Members paid a one time membership deposit of $485,000 to join, a higher price to today's Share C Membership.
Odyssey Membership - Two Family
A version of the Odyssey Membership that allowed for extended family access for two families, the Odyssey Two Family Membership gave members 42 nights of annual usage, 18 less nights than the standard Odyssey Membership. Also like the Odyssey Membership, members paid a one time membership deposit of $485,000.
PROPERTIES
The global collection of properties available to M Private Residences average between $2 and $3 million each, and include both free standing vacation homes and condos.
Based out of Calgary, M Private Residences does have a significant portion of their portfolio in Canada, but also a strong beach presence with properties in Mexico, the Caribbean, and the United States.
- Kelowna, British Columbia
- Bear Mountain, British Columbia
- Whistler, British Columbia
- Victoria, British Columbia
- Big Island, Hawaii
- Gold Canyon, Arizona
- Las Vegas, Nevada
- Paradise Valley, Arizona
- New York City, New York
- Oahu, Hawaii
- Rancho Mirage, California
- Estancia, Cabo San Lucas
- Estrellas 101, Cabo San Lucas
- Estrellas 201, Cabo San Lucas
- Provence, France
- London, England
- Barbados, British West Indies
Priding themselves on being one of the most financial stable clubs in the destination club industry, M Private Residences uses over 90% of new member's capital towards real estate.
According to the club's literature, "The properties in your M portfolio have been chosen to provide incomparable travel experiences. We consider location, the “Wow factor” of the residence, seasonality, amenities such as golf and spa memberships, potential for appreciation, and of course, the desires of our membership. That’s why M properties are incredible destinations that will raise your expectations of what travel can mean to you and your family."
USAGE
M Private Residences offers three different membership plans, ranging between 21 and 60 nights of annual access to the club's portfolio of luxury properties.
To maximize availability, M Private Residences models their real estate acquisition schedule to purchase one new property for every 275 days of usage that are sold or a maximum of every seven new members.
Share A
The introductory membership tier with M Private Residences, members receive 21 nights of usage annually. Members are allowed a maximum of three reservations, composed of two long term reservations and one short term reservation. As with each of the other two membership plans, members can make their reservations up to two years in advance and have one space available booking.
Share B
Doubling the access from the club's introductory membership, Share B Memberships provide 42 nights of annual usage. Members can make up to six reservations, consisting of four long term reservations and two short term reservations. Like the other two membership plans offered at M Private Residences, members can book properties up to two years in advance and have one space available booking.
Share C
The highest of the three membership plans offered at M Private Residences, Share C members can travel up to 60 nights per year within the club. Members can make up to seven reservations, consisting of up to five long term reservations and two short term reservations. Like the lower two memberships, Share C members can make their reservations up to two years in advance and have one space available booking.
To learn more about the costs of membership, please visit our M Private Residences Pricing and Annual Dues pages.
Every destination club has their own set of usage rules and regulations, outlining how members can access the club's amenities. Understanding these rules and how they will affect your travel habits is often one of the primary items on potential member's due diligence checklist.
MEMBERS
M Private Residences is Canada's first and largest destination club. Currently, the club boasts nearly 150 members and is one of the longest tenured clubs in the sector.
Late in 2008, two of the club's leading executives, Paul Poscente and Ken MacLean, stepped down and effectively made M Private Residences shareholder owned.
"The shareholders in M are fortunate to move forward with basically the same crew, except for Ken and I, that has been operating the company since its inception," said former President Poscente. "It really isn’t a loss for shareholders in terms of management. There were obviously things I was working on as CEO, and Ken in sales and marketing, that we will continue to work on, of course. We are a quasi-public club and we believed this was a necessary change to the club, and also an evolution of the industry."
"We wanted the people who want to stay in the club, to run the club," added Poscente.
M Private Residences has referred to themselves as a "de facto public company" and prides themselves on the financial disclosure provided to shareholders. Over 90% of new membership capital goes towards real estate and annual dues cover all of the club's expenses.
"Let’s be very clear, at M, every dollar is covered by the operating costs," said Poscente. "Every light switch, every cup of coffee, all the debt, all the salaries, all the sales, sales incentives, referral programs, every freaking dollar is in the annual dues."
Due to the success of M Private Residences, a growing number of other destination clubs are launching out of Canada.
RESIGNATION
Experimenting with different redemption models during their existance, M Private Residences currently uses a model that charges an 8% transfer fee for each of their three membership plans. In effect, members receive 92% of the current value of their membership if they resign.
The club had previously used a model where club members was allowed to set their own price for how much they would be willing to sell their membership for. In a unique redemption model, new members came to the club and made an offer to the club for the membership plan they sought. The club would then go to the first person on the club's resignation list to see if that member would accept or deny the offer. If they member accepted the offer, they would sell their membership for that price and the new member would join the club. If the member denied the offer, it would go to the next person on the resignation list for the same process. If the offer was not accepted by anyone on the resignation list, the process could start again with a new offer.
"We are selling equity," began Co-Founder and President Paul Poscente regarding the new resignation structure. "You need a bid and you need an offer. Arbitrarily setting a price not connected to the market doesn't make sense. Also, in an environment where all you are doing is selling shares, in a low growth environment like we face globally, you want the highest level of liquidity offered to shareholders."
Prior to the resale option, the club also used a format similar to the one currently being used. When a member joined, if they elected to sell that day, they would receive 80% of their original membership deposit. After that, the club would tie the refundable portion of the membership deposit to the quantity of homes in the real estate portfolio. If a member elected to stay until the club reached it's property capacity of 60 properties, they would be able to receive 96% of their membership deposit if they elected to resign.
EXECUTIVES
"M strives for excellence and quality. As a team, we bring the broad range of skills needed to deliver on this promise including hospitality, real estate strategy, property management, sales and marketing, customer service, and technology."
As Canada's leading destination club, M Private Residences features a relatively small executive staff, an outpour of their lean operational mentality. Annual dues paid by club members not only cover the expenses of the club properties, but also the executive salaries, marketing, and other administrative costs incurred by the club.
John Beckel
General Manager
Kim Ogilvie
Director of Experience
Karen Watson
Controller
Michele Beitel
Vice President of Sales
Late in 2008, two of the pillars of M Private Residences left, but remain shareholders with the club.
Paul Poscente
Founder, President, and Chief Operating Officer
Ken MacLean
Founder and Vice President of Sales
In December of 2006, two years prior to the departure of Poscente and MacLean, another founder left the club.
Jim Hilsenteger
Chief Executive Officer
PARTNERSHIPS
Late in 2006, M Private Residences introduced two partnerships to further their "hassle-free vacation philosophy."
Co-Founder Ken MacLean stated, "These two companies will help to make our Members’ travel experience streamlined from start to finish, right from booking the flight, to coming home to a clean house and a stocked fridge."
UNIGLOBE Custom Travel will ensure vacation planning is effortless for Members at M Private Residences. With its dedicated, senior travel counselors who are knowledgeable in MPR’s properties and understand Members’ needs, UNIGLOBE Custom will source the best and most cost-effective way to travel to MPR’s luxury vacation homes. They will also provide a comprehensive range of support services in relation to Members’ travel experience including preferred rate programs, extensive fare search tools and a 24-hour emergency service.
Quest for Time Personal Concierge offers Members the optimum travel indulgence by providing local concierge services prior to departure, during the vacation and upon return. Quest for Time has designed an exclusive program for M Members that includes: personalized transportation to and from the airport, primary residence monitoring and maintenance, personal shopping and errands before you leave and while you’re away and many more exciting options to enhance Members’ vacation.
PRESS RELEASES
As Canada's largest and most tenured destination club, M Private Residences prides themselves on providing members world class services and accommodations in addition to a strong equity based model, or as they like to say "Canadian values."
M Private Residences describes themselves as a "not for profit" and has quietly grown to nearly 150 shareholders. Over 90% of capital raised from new membership sales is dedicated to purchasing real estate and the club is effectively member owned.
Since inception, responsible spending has been a pillar for the club. As such, the club does not have a surplus of press releases, but we invite you to learn more about the club below. For more current information regarding the club, visit our M Private Residences News page.
M Private Residences Announces Strategic Partnerships To Enhance Vacation Philosophy
Date: December 28, 2006
M Private Residences has announced a partnership with UNIGLOBE Custom Travel and Quest for Time Personal Concierge to further enrich the destination club experience for members prior to and while on vacation.
M Private Residences Announces New Vacation Property In Barbados
Date: November 2, 2006
Calgary based M Private Residences is proud to introduce the newest property to their growing collection of luxurious vacation residences, a 2,200 square foot, two bedroom condo at the Crane Resort in Barbados.
M Private Residences Announces New Vacation Property In Rancho Mirage
Date: July 25, 2006
With easy access to world class golf, dining, and culture, M Private Residences has announced their newest residences, a 3,800 square foot, four bedroom, four and one half bath vacation property in Rancho Mirage, California.
M Private Residences Announces New Vacation Property In London May 15, 2006