Jeld Wen Selling Resorts

[Pete_Pittock]

Yesterday the Oregonian reported that Jeld Wen is in the processing of selling its destination resorts in Oregon. Eagle Crest near Redmond had two full courses, a short course and  putting course. Brasada Ranch near Redmond features a Jacobsen/Hardy course.
The Running Y Ranch near Klamath Falls and its Palmer course. Jeld Wen has been a sponsor on the PGA and Champions tour. Its owner died earlier this year.

http://www.oregonlive.com/business/index.ssf/2010/10/jeld-wen_puts_eagle_crest_runn.html

[Tom_Doak]

Pete,

I did not realize that Jeld Wen owned all of those places.

They also owned the property for Suncadia Resort and Tumble Creek in Washington, then partnered with Lowe Enterprises to develop it after the first course at Suncadia was almost complete.  I am not sure if they were still a part owner or not.

[Greg Tallman]

They are also the major partner in Chileno Bay here in Cabo which has been mothballed for 2 years. Perhaps they are trying to generate cash to take this one forward.

[Rob Rigg]

Been to Brasada a few times the past couple years - actually a beautiful site with some neat cabins and homes - many of which are for sale. The course itself is quite disappointing from a GCA and walking perspective (read pretty mediocre cartball) but the views are all world.

Can't imagine what will happen to that place if JW pull the plug or stop funding the fitness center, restaurant, horse stables, course, etc. etc.

I would imagine all cash will be used to fund their company ops (ie - bread and butter windows/doors stuff)?

[Michael Dugger]

Tom

The local paper here said JW is still partly invested in Suncadia.

Rob

I am quite sure this is a sign that their business is struggling.  I work in the window and door biz as well, but not for Jeld Wen.  All your building supply companies are just hanging on right now.  One such as Jeld Wen, with so much more overhead than most, is surely having sleepless nights.

I think this selling off of their properties affirms they feel the need to reorganize.

[Joel_Stewart]

They are also the major partner in Chileno Bay here in Cabo which has been mothballed for 2 years. Perhaps they are trying to generate cash to take this one forward.

This is a huge project, with 2 Fazio courses planned. 

I would think it would be too risky to sell all the other resorts to put all of their eggs into one basket?

[Greg Tallman]

They are also the major partner in Chileno Bay here in Cabo which has been mothballed for 2 years. Perhaps they are trying to generate cash to take this one forward.

This is a huge project, with 2 Fazio courses planned. 

I would think it would be too risky to sell all the other resorts to put all of their eggs into one basket?

They could potentially recoup their initial investment with a single hotel deal but the project is stalled for a complete lack of fundiing at this stage and ahs been looking to sell out. We'll see.