05/10/2017
This is a detailed report that was posted this evening in the Cove Owners Group which details the damages. Given the extent of the damages, hard to see how they will be ready to reopen by the end of December, but let's hope so.
I will try my best to update you on the status of the Island and the Cove. This is not in any particular order but will cover different topics.
We have about 60 Villas being used by Associates, Police, Otis Elevator repair men and local officials. Generators are working as is the Desalination Plant. Fuel for the generators was delivered recently. They have been able to get diesel but it's hit and miss.
All Associates are ok!!! Most have lost their personal effects. Some have lost their homes. Scott has meet with each associate twice to go over their status. They are about to meet with them a third time. MVC and the Cove management are doing what they need to do to help those that need help. Including housing, meals, water, ice,
Pharmacy (meds) and toiletries. Basically, whatever they need. Some associates have left the Island for other assignments (some temporary), some are going to leave for good and a lot are staying and helping out with the remediation. The remediation company is going to use 30-40 of our associates to help with the cleanup and work. This is 30 -40 people that the remediation company won't have to bring on Island. A win for both!! This will enable our associates to continue to collect checks and keep benefits.
The airport is open with limited flights. They are telling people to be at the airport 5 hours before flight time. They are going through all luggage by hand. Very time consuming.
The Island has about 15 % power, most of which is around the hospital area. The hospital is severely damaged and without critical care. Unknown when it will be operational.
The Island has received 1400 new telephone poles. The problem now is getting the people and equipment to install them. WAPA has told us that they hope to have power to our side of the Island by November or December.
Crime as you can imagine is up. Not safe to be out especially at night. As stated before we have 4 highly trained security guards on property 24/7 to keep everyone safe.
The Port will open to cruise ships on October 15.
The pole lights at the cove are basically gone and no phone or internet. Communication is taking place with a satellite phone used in the upper employee parking lot when the weather is clear and it has been sporadic at best.
Irma came in from the direction of town and caused most of the damage to the Cove.
The pump room of the pool was flooded, not by storm surge but by wind driven rain. The drain over the infinity edge of the pool collapsed and will need to be repaired. The pool needs a lot of work and we had scheduled major work on the pool for 2018. This work will take place sooner, during the remediation. No date yet on pool completion. I will keep you posted on that as well as everything else as I hear updates. The food and beverage area appears to be in good shape. There is basically no sand on the beach and it will have to be rebuilt. The dock held up pretty well but will need some boards replaced.
The roofs are in good shape in general but there are some puncture holes where debris was driven through the metal.
The Villas need a lot of work. Most of the damage was wind driven rain through the sliders. Of the 156 Villas, 119 need substantial work. All need some degree of new carpet and drywall. Limited furniture damage in general.
The other 37 Villas will need some remediation but on a much smaller scale.
The last thing I will touch on is our insurance situation. Each storm has its own deductible. The good news is that Irma did most of the damage and the adjusters were there and took pictures before Maria hit. So while there is a deductible for each storm, it is felt by management that most of the damage will be under Irma. The deductible is a percentage of the value of each building and it's contents. The deductible will run between $470,000 and $550,000 for each building. The total deductible will be about $3.2 million. We do have business interruption insurance as well. Fortunately, Maria came from the opposite direction and the mountain behind the Cove protected it. So as stated before, most of the remediation expense should be with Irma. We will know much more about our years operating numbers and
Insurance coverage by our annual meeting November 2.
Our annual meeting will be held in Orlando this year on November 2 and it would be great to have as many owners as possible at the meeting.
The 2018 refurbishment will be postponed. We will use some of those reserves for our remediation efforts. We have already ordered the carpet which will go with our current Villa design.
Obviously, there will be certain operating cost reductions due to the closing of the Cove, especially housekeeping, which is our largest expense. It's really too early to shake all the numbers out but it's my opinion that there will be a financial impact to the owners. I know that's not the best news but on a good note, the Cove held up far better than any other facility on the Island by a long shot!!!
Sorry for the length of this message. I will keep you updated as I have more information. Thank you all for your donations and for your contributions to this site. I want to add here that when Scott told the Associates about our GoFundMe Account, it brought tears to their eyes. They are very grateful to the owners as we are to have them every time we visit!!
The Board and Management would like to see you all at the annual meeting. Best to all!!! Richard
