CNL Owns, Boyne USA to Operate, Sugarloaf and Sunday River
SAM Magazine-Orlando, Fla., Aug. 8, 2007-CNL Income Properties Inc., a real estate investment trust (REIT) focused on lifestyle properties, has acquired the assets of Sugarloaf and Sunday River, Maine. In a simultaneous transaction, Boyne USA Resorts acquired the stock of the American Skiing Company subsidiaries owning the resorts and sold the assets to CNL, which leased the resorts back to Boyne.
The purchase raises the number of resorts owned by CNL to 10. "These are key New England ski resorts, which are an excellent addition to our lifestyle real estate portfolio," said Byron Carlock, president and CEO of CNL. "With our capital and Boyne USA's experience, we believe these properties have potential to improve on their long- standing tradition of being among the most popular ski destinations in Maine."
"CNL Income Properties offers long-term capital to significant operators, such as Boyne USA Resorts, which allows them to operate and run the business they know so well at even higher levels of efficiency and innovation," Carlock added.
With a 2,820-foot vertical drop, Sugarloaf is the third largest ski resort in the Northeast by that measure, and 11th-largest in New England in terms of skier visits, with approximately 352,000 during the 2005-2006 ski season. Based on skier visits, Sunday River is the fourth largest ski resort in New England, with an average of 505,000 skier visits per year over the last five years.
"We have great respect and enthusiasm for this region, these fine properties and their surrounding communities," said Stephen Kircher, president of Boyne USA Resorts' eastern operations. "With CNL Income Properties as our capital partner in driving these resorts forward, we couldn't be more excited about their futures. As well, the loyal customers of these two resorts should rest assured we will be honorable stewards of these properties for many decades to come."
In addition to Sunday River and Sugarloaf, CNL also owns, and Boyne USA operates, Brighton, Utah, and Cypress Mountain B.C. CNL's winter resort portfolio also includes Bretton Woods and Loon, N.H.; Mountain High, Northstar-at-Tahoe and Sierra-at-Tahoe, Calif.; and the Summit at Snoqualmie, Wash. In all, it owns 71 lifestyle and recreation properties in the U.S. and Canada, focused on golf courses, ski resorts, marinas, campgrounds, merchandise marts, destination retail and entertainment centers and attractions. It is based in Orlando, Fla.