CNL Lifestyle Properties Continues Liquidation
CNL Lifestyle Properties Inc., a publicly registered non-traded real estate investment trust, continues to take steps to liquidate its portfolio.
The REIT, which is working with financial advisor Jefferies LLC to evaluate strategic alternatives and provide liquidity to stockholders, noted that it may consider changing its quarterly distribution policy which currently provides $0.05 per share to investors.
CNL Lifestyle Properties agreed to sell its interest in five resort villages to Imperium Blue Ski Villages for approximately $79 million. The sale is expected to close at the end of next month.
The properties included in the potential sale include the following:
• Village at Snowshoe — Snowshoe Mountain Resort, located in Pocahontas County, West Virginia;
• Village at Mammoth — Mammoth Mountain Resort located in Mono County, California;
• Village at Copper — Copper Mountain Resort located in Summit County, Colorado;
• Village at Stratton — Stratton Mountain Resort located in Windham County, Vermont; and
• Village at Baytowne Wharf — Sandestin Resort located in Walton County, Florida.
Imperium also agreed to buy the REIT’s interest in a number of Canadian resort properties for approximately $24 million.
CNL Lifestyle recently completed the sale of 17 marinas properties for a total of $112.5 million, of which the company netted approximately $86.3 million in cash. The buyer was AIM Marina Holdings.
The company also sold 1,553 acres of land in Granby, Colorado and received net proceeds of $4.3 million.
CNL Lifestyle Properties focuses on lifestyle-related industries. The company’s portfolio is comprised of 43 ski and mountain lifestyle properties and attractions, including its interests in the resort village properties under contract to be sold.
The REIT went effective in April 2004 and raised $2.9 billion in investor equity in multiple offerings before closing in April 2011. In December 2015, the REIT paid a special distribution of $1.30 per share for a total distribution of $422.7 million. The company’s most recently reported net asset value was $3.05 per share. Shares were originally sold for $10.00 each.
