Villa Vie’s residents bought a home at sea, then faced requests to keep it running

An early-August Villa Vie presentation discussed distinguishing residents who could not contribute more money from those who were unwilling to do so, according to internal material reviewed by CBS News.

I have little patience for that distinction. Several residents say they had already paid more than $300,000 for suites they could occupy for the ship’s remaining lifetime. Asking them for additional operating money puts the operator’s financial problem at their door. Their willingness to pay more is no substitute for a sustainable operation.

Now those residents are ashore, and Odyssey has left without them.

The ship departed Cambodia’s Sihanoukville port late Tuesday following the suspension of its planned three-year world cruise, provincial tourism director Tang Sochetkresna said Wednesday. Its 203 passengers had been given only hours to disembark on Oct. 28, during what was supposed to be a scheduled port call.

According to a message to residents obtained by CBS News, the vessel is under its lender’s control. No official plans for its future have been announced.

Residents collected their belongings, not a return date

Passengers retrieved their remaining belongings from Odyssey on Tuesday. Many said they did not expect to return.

Nearly 100 passengers remained in Sihanoukville, on the Gulf of Thailand, according to Sochetkresna. Others were traveling elsewhere in Cambodia or had left the country. Most of those aboard had been Americans.

“We don’t get any clear indication from the owners of Villa Vie as to what is happening,” said Mary Ann Demsar, 67, a retired high school teacher from Ontario, Canada.

That lack of clarity is especially serious for an operation sold as a long-term home. Residents need to make decisions about where to live while the company tries to resolve its finances. A vague prospect of resuming the voyage gives them very little to work with.

Sochetkresna said he did not know the ship’s destination. CBS News, citing people familiar with the situation, reported that Odyssey would be moved to Singapore, where it could eventually be auctioned. Crew and other personnel remained aboard, though the number on board at departure was not confirmed.

Villa Vie did not respond to email or telephone requests for comment on the departure.

The fuel bill rose, but financial pressure was already documented

The Florida-based operator attributed the suspension to fuel-price increases associated with the war in Iran. It estimated that monthly fuel costs per cabin in parts of Asia had reached $6,000 to $8,000, compared with a historical average of $1,800.

Villa Vie said it had slowed the itinerary and extended port stays to reduce consumption, but those measures had not offset the higher costs. Restrictions on traffic through the Strait of Hormuz since the war began have constrained petroleum supplies, particularly in Southeast Asia, and pushed up prices.

Those are steep increases on the company’s own figures. But the financial pressure predates the Cambodian stop.

Internal communications reviewed by CBS News showed financial distress stretching back at least three months. Passengers said the operator had been seeking additional contributions for months to keep the voyage running. The August presentation belongs in that context.

A possible restructuring, with no confirmed return

Odyssey, a 24,344-gross-ton vessel built in Valencia, Spain, in 1993, previously sailed as Braemar for Fred. Olsen Cruise Lines. Villa Vie acquired it in December 2023, converted it for residential cruising during a 2024 refit in Belfast, Northern Ireland, and began the voyage from Belfast in October 2024. The ship’s stated passenger capacity was 650. Before the suspension, Villa Vie had also planned another cruise and the purchase of a second vessel for a similar operation.

Founder and executive chairman Mike Petterson told CBS News that Villa Vie hoped to regain Odyssey if it could secure an operational partner.

“This is a 30- to 90-day process, and, during that process, we have time to get a restructure done,” he said.

That may be a timetable for restructuring the company. It is not a return date for the people who paid to make Odyssey their home.