hopefully the added cash flow will have some sweet results
I want to let you know that the CNL relationship we’ve been talking about for over a year has moved forward. CNL Lifestyle Properties, Inc., a real estate investment trust focused on lifestyle properties, is lending to Boyne Resorts’ for property enhancements at Big Sky Resort. This agreement includes an option to purchase the resort operations within the next two years.
Although the structure at Big Sky is changing the faces are not. Even when the purchase option is exercised, Boyne continues operating Big Sky Resort under a long term management contract with CNL, a relationship that has been honed through seven other similar collaborations between Boyne and CNL. All of us will stay here doing what we do well. Our Big Sky management team and operational model stay in place.
So, then why are we doing this? Simple, the CNL relationship opens a new capital opportunity for Boyne that will produce more property enhancements at Big Sky in the future. These initiatives could include chairlift improvements, expansion of snowmaking coverage, enhancements to the existing village mix of shopping and dining options and improvements to the golf course and clubhouse.
Other Boyne Resorts in the CNL Lifestyle Properties’ portfolio are:
· Brighton Ski Resort (Brighton, Utah)
· Cypress Mountain (British Columbia, Canada)
· The Summit-at-Snoqualmie (Snoqualmie Pass, Washington)
· Loon Mountain Resort (Lincoln, New Hampshire)
· Sugarloaf (Carrabassett Valley, Maine)
· Sunday River Resort (Bethel, Maine)
· Gatlinburg Sky Lift (Gatlinburg, Tennessee)
This model allows Big Sky Resort to continue to thrive and grow with additional capital improvements dedicated to elevating the guest experience. This partnership is a winning combination of financial expertise and capital from CNL, and the long-term vision and operational expertise in Big Sky that all of us offer.
We’re committed to keeping everyone updated on the new Boyne/CNL relationship. You can learn more about CNL Lifestyle Properties by visiting their web site at www.cnllifestylereit.com/about.asp