Destination Clubs Introduce Budget Versions, Sort Of Matthew Staver for The New York Times Philippe Bourguignon is the chief executive of Exclusive Resorts, one of the most established of the top-tier destination clubs. THREE years ago, destination clubs seemed to be struggling for dear life as the economy collapsed. But a couple of the clubs - essentially collections of luxury homes available for short-term use in fancy resort areas - managed to survive. And now, they have come up with new variations that cost less to join but retain the air of exclusivity. Exclusive Resorts, one of the most established of the top-tier destination clubs, made a bid this week to stir people's imaginations of exotic vacations. It unveiled a less expensive version of itself, called Portico, to entice existing and new members - at a comparative bargain. The Portico homes will be slightly smaller, often in second-tier vacation markets, but cost less per night than members pay to be part of the company's flagship brand. Instead of buying a set number of days, members in Portico will pay only for the days they want to travel. The same pay-as-you-go model is used by Inspirato, started last year by a founder of Exclusive Resorts, and by the Quintess Collection, a smaller club, which has added Quintess Beyond for existing members. The new iteration of destination club keeps the companies" upfront costs low by renting instead of owning the properties their members use and sets a nightly rate according to the demand. The timing of these spinoffs raises a couple of questions. With an economy that is still uncertain, why would affluent people want to commit money to a destination club, given that some industry players have ended up in bankruptcy court? And won't members still struggle to book vacations at peak times? The rates for Portico and Inspirato are low by industry standards, but they are certainly not cheap. Portico charges a nonrefundable, upfront fee of $10,000 plus an annual fee of $2,500, while Inspirato charges $15,000 upfront and a $2,950 annual fee. Nightly rates range from $400 to more than $3,000 - the week between Christmas and New Year's Eve is the most expensive. I struggled to get a straight answer as to why this is a good time to start a new destination club. While the operators of these companies sell an image of luxurious living, they are essentially fighting for the same people with the same homes in the same locations. Brent Handler, a founder of Exclusive Resorts who left to start Inspirato, takes credit for this new variation of destination club. He said that he discussed similar ideas in 2009, but that Steven Case, the founder of AOL and chairman of Exclusive Resorts, did not listen to him. So he left. "Obviously, if Steve had agreed with my vision we would not be having this conversation," Mr. Handler said. For its part, Exclusive Resorts pointed to changes in the marketplace. Philippe Bourguignon, who has been chief executive for less than a year, said, "I don't know when and how Brent raised it, or if he did." But, he added, "There is a time for things, and timing was everything." Indeed, Ben Addoms, founder and chief marketing officer of Quintess, said the weak real estate market made this new concept viable. Destination clubs are able to lease high-end homes because their owners cannot sell them and would rather someone commit to a multiyear lease than take the chance of renting it on their own. "The destination club industry was created at a time when luxury home prices were going up very rapidly," Mr. Addoms said. Now, there is a massive oversupply of resort real estate. We've made the assumption that the overhang is going to last for the next three years. He said he feared that all clubs on a lease model would have to raise their rates when property values rose, and members would be upset at having to pay more. Mr. Handler and Mr. Bourguignon acknowledged that they would have to raise rates if lease prices increased. But for now, there seem to be plenty of people who want to join a club without the large lump-sum commitments that traditional destination clubs require. Quintess charges $165,000 on average, and Exclusive Resorts charges $170,000 for 20 nights, both nonrefundable. Inspirato has signed up 1,400 members since its start in January 2011, and Portico attracted 420 in the first week. Still, paying almost $18,000 the first year for the right to pay hundreds, if not thousands, of dollars a night more seems like a lot of money. I remained skeptical of the model until I spoke to some members who went into the new clubs with their eyes open. Pamela and Robert Krupka, lawyers in Southern California, said they had been members of Inspirato for a year and had gone on six trips. They have no regrets. "If Inspirato went bust tomorrow, we'd feel we got our money's worth," Mr. Krupka said. An earlier version of this column incorrectly stated the upfront fee for the Portico destination club. The fee is $10,000, not $15,000.