Tuesday, November 17, 2009

More on the Sale of Copper Mountain - Should help with Intrawest Debt Refinance

On the surface this seems like good news for Intrawest and thus Steamboat. Depending on the purchase price this should make it easier for Fortress to re-finance the debt they took on to purchase Intrawest.

From the Summit Daily News:
SUMMIT COUNTY — Pending approval from the U.S. Forest Service and federal regulators, Copper Mountain will be sold to Powdr Corp in the next few weeks.

Intrawest officials announced what they called a definitive deal Tuesday morning, ending months of speculation on the sale of Intrawest's interests at Copper Mountain. The sale is expected to close in December. Intrawest, the Vancouver-based resort and real estate development firm, ran into financial difficulties about a year ago as the real estate market deflated. Since then, financial analysts have said that the company might need to sell some of its assets to raise the cash needed to refinance loans.

According to a press release from Intrawest, business will proceed as usual at Copper this winter. All multi-mountain pass products covering Copper, Steamboat and Winter Park will be honored, as will all existing reservations. Powdr Corp is based in Park City, Utah. The company owns and operates seven resorts: Park City Mountain Resort in Park City, Utah, Killington Resort and Pico Resort in Killington, Vermont, Mt. Bachelor in Bend, Oregon, Boreal Resort and Soda Springs Resort, both in Donner Summit, California, and Las Vegas Ski and Snowboard Resort outside of Las Vegas, Nevada.

In a letter to Copper property owners, Copper president and chief operating officer Gary Rodgers said the sale will be a positive for the resort and the wider community.

“We believe this transaction represents a positive outcome for Copper Mountain and it will provide numerous benefits to Summit County,” Rodgers wrote. “Powdr Corp operates several ski resorts throughout North America and Copper will be an important addition to their resort family and their first resort property in Colorado.”

For more click back to the Steamboat Springs blog main page.

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