The investment management firm is selling off its entire portfolio of golf assets from across the country to Delaware-based CF Arcis X, which has put down a $10 million deposit.
Online records indicate that CNL Lifestyle Properties is planning to sell all 48 properties in the company’s portfolio of golf assets, the Santa Clarita (Calif.)-based KHTS AM 1220 reported.
All official inquiries were referred to an SEC filing, because the deal has not been finalized—but both sides have agreed to terms, said Gary Rosmarin, vice president of asset management for CNL Financial Group, KHTS reported.
Click here to view all properties listed in CNL Lifestyle Properties’ portfolio.
The agreement was reached June 12. Delaware-based corporation CF Arcis X has put down a $10 million deposit, KHTS reported.
“The projected net cash to the company from the sale of the golf portfolio is anticipated to be approximately $208 million after repayment of approximately $89.9 million of debt, including associated prepayment penalties,” according to a form 8-K filing with the Securities and Exchange Commission.
A form 8-k is a form used to give company investors notification of pertinent shareholder information, KHTS reported.
“(CNL) anticipates that the net proceeds of the sale will be used to retire indebtedness, invest in new assets or enhance existing assets,” the form stated.
In March 2014, the company engaged Jefferies LLC, a global investment banking and advisory firm, to assist the company in actively evaluating strategic alternatives to provide liquidity to the stockholders, KHTS reported.
“The company believes that the sale is consistent with the strategic alternatives currently under consideration,” according to the filing.
CNL Financial Group is “a leading private investment management firm providing global real estate and alternative investments,” according to the company’s website. The company’s market capitalization is approximately $1.77 billion, KHTS reported.
An official with the holding company CF Arcis X LLC, which was formed in a May 13 filing, was unable to be reached by KHTS as of publication.
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