|
What has been known as Intrawest Corporation, the owner of much ski real estate, will soon be no more. The Corporation has been bought out by a New York based investment firm to the tune of $2.8 billion dollars. One of the most prized possessions that will be switching hands in this landmark deal is the Whistler-Blackcomb Resort. The group that is buying out Intrawest is known as Fortress Investment Group LLC and has agreed to pay $35 per share in addition to paying off $950 million in debt.
The deal has yet to be approved by shareholders, but if it does get approved it will mean that the prestigious Whistler-Blackcomb Resort development will become a privately held company. This is a huge deal as this means that much of the ski real estate that has been publicly held land in the past will now be privately owned. Of course, that doesn’t mean that the land will not be usable by the public but it does mean that things could change considerably.
This whole deal started back in February when Intrawest had to seek the help of Goldman, Sachs, & Co. to help them decide what to do with their precarious financial situation. At that point the company was not for sale, but it has since been announced that Intrawest would sell to Fortress to protect the interests of all of the shareholders. Apparently, the buy was selected very carefully and was chosen not only on the best price offered for the company but also for the company that would take the shareholders best interests into consideration as well.
Many that have enjoyed the ski homes and ski condos associated with the Intrawest properties are wondering what will become of their beloved winter getaways. No changes or announcements have been made regarding the actual properties, and it appears that no decisions pertaining to them have been made at this time. It appears as though the investment company realizes the value of ski real estate and would like to stay in the business and build upon what Intrawest has already done, which would provide relief to many skiers. Only time will tell, and Fortress probably is aware that many people are watching them and waiting to see what they will do with their newly acquired properties.
What exactly the investment firm will do with their newly acquired properties remains to be seen. Some have suggested that they are very interested in capitalizing upon the desire for ski homes and ski condos, while others suggest that they will turn away from that a bit. Intrawest has started a good thing, and it would be great to see Fortress take off with the ski industry. It appears that along with new ski homes and ski condos that the company may need some new structure to help it succeed. Yet there will be many happy skiers if business continues as usual for the resorts and properties that are involved in the buy out.
Keywords: ski real estate, ski condos, ski homes
|
