The village at Northstar.
KSL Capital Partners and East West Partners announced their partnership this past monday, April 4, 2011. KSL owns Squaw and has promised to put $50 million into Squaw in the next 5 years. In Tahoe, East West owns The Village at Northstar, The Highlands at Northstar, Old Greenwood, and Gray’s Crossing.
KSL and East West are both Colorado based companies.
East West has declared that this partnership will not effect Tahoe. At least, not in the short term. I think it’s pretty clear that this partnership will have some lasting Tahoe implications in the future. Read more…
What are they going to do together? According to Eric Resnik, KSL co-founder, it sounds like they are going to build a bunch more second homes:
“Although resort real estate has been negatively impacted by the recent economic downturn, we believe long-term demographics support continued second home ownership growth in unique and memorable destinations,”
East West’s recent track record:
– Filed Chapter 11 Bankruptcy in March 2010
– Barclay’s, a British banking company, bailed them out with $10 million
– Bank of America filed a notice of default against Northstar’s Ritz-Carlton, an East West managed establishment, on 3/31/10. The Ritz was quickly bought to give East West time to get back on it’s feet.
– In 2011 East West appears to be recovering financially.
– East West manages 200 homecare condos and homes, 30+ homeowner associations, and 300 rentals in Colorado.
What do you guys think this partnership is going to mean for Lake Tahoe and Squaw Valley?
Great article in the Sierra Sun about the partnership: www.sierrasun.com
More about East West: www.ewpartners.com.
KSL’s press release about the East West partnership: www.kslcapital.com