Waldorf Astoria Los Cabos Pedregal Reopens Following Renovation

I used my annual free credit card night here last year. Was upgraded to a four bedroom suite thanks to my Diamond status from the Amex. I looked up the room, which would have run $6000/night. It was the best redemption value I think I have ever had across all hotel programs. So I won’t fault Hilton HHonors at this property one bit.

HHonors execs need a basic inflation 101 course. Over the years they "printed" millions of points that allowed us all to buy up to 480,000 a year for "half off". The result: a huge liability on their balance sheet and constant redemptions at their priciest properties. Like any high inflation market driven by too much cash in the ecosystem, the only thing they could do was raise prices.

I don't know why, but they need to be reminded that points are a currency and you do not devalue your currency. Stop "printing" points and reduce your balance sheet liability. The result: less members with large points balances who you allow to redeem at reasonable rates = a happier and more engaged customer base!

One of the top three Hilton properties worldwide. The hotel is accessed via a tunnel under a mountain. Unique and stunning.

I have 4 nights (on FNC) booked here for this December. Excited to see it post-reno.
Unfortunately they seem super stingy with upgrades as they specified they only offer a view upgrade as complimentary upgrade for Diamond elites.

Gorgeous property but I agree, the devaluation makes me unlikely to stay unless I'm using the free night certificates (and I can afford to book cash, just won't -- if they want to be stingy, 2 can play at that game!)

That’s what they say. On day of arrival you could end up in one of their best suites, but only if they’re at capacity. Otherwise the highest category you’ll get is Ocean View Vista, which is spectacular.

The subject line says that this is about a resort that has just reopened. The article has nothing to do with the resort and is just a Hilton rant. My time? Successfully wasted.

"Based on my valuation of 0.5 cents per Hilton Honors point, redeeming points here isn’t even a good deal anymore, as it’s the equivalent of “paying” $1,250 per night!"

Probably time to revisit your 0.5 cents valuation.

@ Ethan -- "The article has nothing to do with the resort and is just a Hilton rant."

I'm confused, is the post maybe not loading correctly for you? Because I can assure the post has a lot about the resort, and is not just a Hilton rant.

@ FormerHiltonFan -- Yep, that's coming soon, agreed.

Not sure how this equals a deval. Not to go all DCS, but the cheapest room over the next 4 months is $1,285 after taxes. ALL of November is available on points, to include a night that would otherwise be $2800 after taxes. While the utilization opportunities for people seeking to maximize value has decreased incredibly, I don’t see how the “value” of an HH point can be below .5cpp. And if that argument is to be made, the WAPedregal isn’t a good case for it.

Umm….your missing the point here

@ Sel, D. -- So a couple of points. First of all, when comparing the cash rate to the points rate, you have to factor in the points you're forgoing by redeeming points. As a Diamond member paying with the Hilton Aspire Card, you'd otherwise earn a minimum of 34x points per dollar spent. At a valuation of 0.5 cents per point, you'd be forgoing a 17% return. That means that for many nights, paying cash is cheaper than redeeming points.

But that's only the start of it. For example, several programs (Hilton for Luxury, Amex FHR, etc.), have a fourth night free promotion at the property, and that can be stacked with the typical perks, like a property credit, and more. That even more favors the math for paying cash rather than redeeming points.

Sure, there are some nights where you'll come out ahead, but it's a sad state of affairs when the cash rate and the points rate is roughly equal at a portfolio's most aspirational property, since those are typically supposed to offer the most outsized value.

Au contraire, the “HHonors execs” know damn well what they are doing. The same is true for the other so-called loyalty programs of hotels, airlines, etc.

Yes, they are effectively devaluing a currency, but there is no legal protection for those “holding” the currency. The owners of these “loyalty programs” are the actual owners of your points/miles/whatever (i.e., the “currency”) and the actual “owners” of what we tend to think of as OUR points/miles. Read the fine print! Liability on their balance sheet? Feh! They simply devalue them and voila, the liability shrinks potentially to zero.

Over time, the best strategy for holders of such currencies is to redeem them as quickly as possible the avoid the inevitable devaluation.

Ah, I remember the time in the mid-1980s when 90,000 TWA frequent flyer miles would buy you an international round trip for two to Europe or the Mideast from anywhere in the continental USA!

But if they stopped printing points out of thin air to sell at 0.5 CPP, how do you suppose they continue the ponzi scheme? The unspoken truth in this game is that modern loyalty programs are giant ponzi schemes.

During the pandemic, most of these Corpos used their loyalty programs as collateral to acquire loans. They sold off billions of points upfront and relent the cash to its operating entities. Problem is, the operating entities kept burning cash. Now, the loyalty programs are stuck with giant liability balance sheets and loans from related parties that are unpayable.

How do they service those liabilities? By devaluating their points currency to keep attracting new cash into their fund. It's a ponzi scheme 101 except this one is legal.

Fantastic location with the best sunset views and tons of privacy.

If you genuinely believe that this hotel is worth $1,250 per night, I have a unicorn to sell you. My asking price is $10 Quadrillion dollars. I only take face value. No counter offers please.

@Lucky okay okay all good points. I remember when it was 54x often times. I had the hotel go grab me an extra suitcase, and I could pay cash or an extra 10% fee to charge it to the room. That was an easy decision.

I got upgraded to a three bedroom villa last year. I wasn't even a Diamond member then. It was a really good surprise. December might be tougher for a big upgrade though--I went in September which is a low season.

The room design really doesn't look very impressive IMHO.

I can rent an entire home on the Pedregal mountainside for under $1000 per night,with 3-5 bedrooms, a private pool ( not a plunge pool) and included in that is a full time chef and housekeeper.
If it’s the sunset I’m seeking I can pay a little more and get a home near the beach.
Why would I waste my money on this horribly overpriced hotel?
A: I don’t and won’t

The property made the free “standard award” night available, and then fully tripled down with the over the top upgrade for being Diamond. And they don’t request to be on the “exception list” for these redemptions. What point am I missing?

Still no swimming

Where would I find something like that?