Fractional ownership is an alternative to whole ownership and has seen increased interest in recent years in the higher quality end of the shared ownership market.

Many of the leading hotel brands are now including it as part of their product offering to provide more choice, balance their portfolio and improve their overall business performance by

• Increasing customer loyalty
• Attracting new customers
• Maximising profitability
• Increasing year-round occupancy levels

How it works

In its simplest form, a luxury property is sold as a club membership in segments of 1/4, 1/8 or 1/16 providing the purchasers with a fixed or rotating term of annual residence and with the use of all amenities. A one off purchase fee is paid to acquire the fraction together with an annual fee to cover the costs of maintaining the property and any amenities provided.

How the fraction is actually acquired can vary depending on the property’s location and the long term requirements of the developer.

The most common forms include:

• A club membership
• A registered deed
• A share in an owning company

FNTC's legal structures are ideally suited to facilitate Fractional Ownership products and provide both developers and consumers with a wide range of benefits.

For more information on how FNTC can help your business please email info@fntc.com or phone +44 (0) 207 224 3533