The residential cruise ship has left Cambodia under its lender’s control, and a resident-backed plan to buy it fell apart after much more debt turned up.
The ship people bought cabins on to live at sea forever is now sailing somewhere they didn’t pick.
Villa Vie Odyssey has left Sihanoukville, Cambodia, and is headed to Singapore, Cruise Hive reported on Tuesday, Nov. 3. But Villa Vie Residences isn’t the one steering this trip. Its lender is.
CBS News reported on Sunday, Nov. 1, that a message sent to residents said the creditor had taken control of the ship. “The lender has taken possession of the ship, but that does not mean the Odyssey’s future has been decided,” the company told residents. “No sale has been scheduled. We believe there is time to bring forward a viable plan and are working to do that.”
Here’s what life aboard looked like before all this, in a full ship tour from JJ Cruise, posted in July 2025:
How did the Villa Vie Odyssey end up repossessed?
It happened fast. Around Oct. 27, the ship suddenly stopped operating in Cambodia. Residents were told to get off with very little notice. Cruise Hive put it at about a day, and Cruise Radio said it was closer to eight hours.
Authorities counted 203 passengers and 156 crew aboard that day, Cruise Radio reported. Most residents were Americans, CBS said.
Founder and executive chairman Mike Petterson blamed fuel. He told CBS on Oct. 28 that fuel had jumped from about $700 a ton to $2,000 to $3,000 a ton. “For us, when our monthly expenses go up from $400,000 to $2 million, where are we going to get the $1.6 million?” he said.
At the time, he said the plan was to file for Chapter 11 bankruptcy. As of Tuesday, no filing had been confirmed, according to Cruise Radio.
What happened to the residents’ plan to buy the ship?
It collapsed. A group of 169 residents had pledged support for a bid led by Sagar Capital, backed by the ship’s Resident Council, Cruise Radio reported, citing Business Insider.
Sagar ended the talks on Saturday, Oct. 31. In a letter shared with residents, it said, “Our review found substantially more debt than we had anticipated,” according to Cruise Hive.
No outlet has said how much extra debt turned up. The lender that now controls the ship hasn’t been named publicly either.
Is there still a way to save the Odyssey?
Villa Vie says yes. Its message to residents mentioned “DIP financing,” a kind of loan for companies in bankruptcy. It also said, “The debt and legal issues are serious.”
Petterson sounded upbeat to CBS. “This is a 30- to 90-day process, and, during that process, we have time to get a restructure done,” he said.
CBS reported that the lender now covers crew, fuel and operating costs. Multiple sources told the network the ship could eventually be auctioned in Singapore.
How much did residents pay to live on the Villa Vie Odyssey?
A lot. Permanent cabins sold for $119,999 to $439,999, with five-year stays starting at $59,999, according to 24/7 Wall St. Residents had been promised a residency of at least 15 years, CBS reported.
One of them, Joel Greiff of Naples, Florida, told CBS he paid $350,000 for his cabin and lived aboard for 26 days. “I do not feel ill will, I just feel that they don’t know how to run a business whatsoever,” he said. He’s now renting a place in Kampot, Cambodia, for $200 a month.
No refunds have been announced, CBS and 24/7 Wall St. reported.
What is the Villa Vie Odyssey’s history?
The ship is no spring chicken. It entered service in 1993 as Crown Dynasty and went through several names, including a stint with Norwegian. From 2001 to 2024 it sailed for Fred. Olsen as Braemar. It measures about 24,344 gross tons, small by today’s standards.
Villa Vie bought it in 2023, reportedly for about $13 million, plus roughly $12 million for upgrades, Cruise Radio reported. The launch got off to a rough start in 2024, when repairs in Belfast pushed its first departure back about four months. It finally left Belfast on Oct. 3, 2024.
What happens next for the Odyssey and its residents?
That’s the open question. Villa Vie says no sale is scheduled and it’s still working on a rescue plan. The residents are scattered around Southeast Asia and back home, waiting to hear what happens to the homes they paid for.
We’ll watch for a bankruptcy filing, a sale date or refund news.
Article compiled and written by Kambrea Pratt (editor-in-chief), Derek Gibbs (beat editor) and the Pirates & Princesses newsroom. Pirates & Princesses is part of WebReef Media.
Pirates and Princesses is your destination for Disney news, theme park updates, and the pop culture you love. From Disney cruises and travel tips to Disney fashion, food, collectibles, and movie news, PNP covers it all. Visit us at piratesandprincesses.net for daily coverage. Follow PNP on Facebook and Instagram, and listen to the Pirates & Princesses podcast on Apple Podcasts and YouTube.
Hat Tips:
CBS News (Oct. 28 and Nov. 1, 2026), the lender takeover, the company message and the Petterson and Greiff quotes
Cruise Hive (Nov. 3, 2026), the ship’s move to Singapore and the Sagar Capital letter
Cruise Radio (Nov. 3, 2026), passenger and crew counts, the failed bid and ship history
24/7 Wall St. (Nov. 1, 2026), cabin prices and refunds
JJ Cruise (YouTube), Villa Vie Odyssey ship tour
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