Marriott Vacations Worldwide finalizes securitization of vacation ownership loans


Marriott Vacations Worldwide Corporation has completed securitization of approximately $264 million in vacation ownership loans with investors purchasing $255 million of notes in conjunction with the transaction, the company reported Friday from Orlando.

According to the firm, approximately $211 million of the loans were purchased on Aug. 13, by the MVW Owner Trust 2015-1, and all or a portion of the remaining loans may be purchased by the Trust prior to Dec. 31.

Two classes of notes were issued by the Trust: approximately $233 million of Class A Notes with an interest rate of 2.52 percent; and approximately $22 million of Class B Notes with an interest rate of 2.96 percent, for an overall weighted average interest rate of 2.56 percent.

Of the $255 million in proceeds, approximately $51 million will be held by the Trust until it purchases all or a portion of the remaining loans or returned to the investors. In addition, approximately $6 million was used to pay transaction expenses and fund required reserves; and the remainder will be used for general corporate purposes.

Marriott Vacations Worldwide Corporation is a leading global pure-play vacation ownership company, offering a diverse portfolio of quality products, programs and management expertise with 61 resorts. Its brands include Marriott Vacation Club, The Ritz-Carlton Destination Club and Grand Residences by Marriott.

The company upholds high standards of excellence in serving its customers, investors and associates while maintaining a long-term relationship with Marriott International.

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