Jay Peak To Be Renamed "New World Order Peak". Discuss...

[JerseyGuy]

Vt. ski resort launches project with foreign money

Associated Press - July 7, 2010 1:35 PM

JAY, Vt. (AP) - Vermont's Jay Peak ski resort is continuing a giant expansion project funded entirely with money from foreign investors who were given U.S. residency permits in exchange for their money.

Resort officials and U.S. Sen. Patrick Leahy, who has promoted the program in Congress, attended a groundbreaking Wednesday for the second phase of the $125 million project that includes an ice arena, two hotels, a clubhouse for a golf course and the largest water park in the Northeast.

The project is being funded with minimum $500,000 investments from about 250 investors from 43 countries.

In exchange for the investment, the investors are granted residency in the United States and it can lead to citizenship.

[Mister Moose]

On one hand, I read where some politician quipped that this program is not "selling green cards". Of course it is.

On the other hand, Jay Peak is getting capital it otherwise couldn't. I'm not sure if over $125 Million Dollars is going to be recovered to the investors given Jay's location, but hey, let the party go on. I'm sure looking forward to this "Biggest waterpark in New England", that sounds great to me this week.

If Jay metamorphosizes into a true destination resort where people go to spend a week at a time both summer and winter they will have accomplished a lot. (355" a year is a great selling point to make the drive if you're going for a week)

Imagine how much trouble Killington will have recovering market share if much of the week end traffic stays at Sunday River, Mt Snow and Stratton, and most of the destination traffic goes to Stowe and Jay if Jay's trail expansion happens. Not that I ever expect Killington to be empty, but they are going to have a much harder time of it than they used to.

[throbster]

If Leahy is involved, it has got to be a bad idea. It seems to me that money shouldn't have anything to do with gaining citizenship.

[trtaylor]

Is this the same program Sugarbush is taking advantage of to fund their continued base development this summer?

[rogman]

It isn't selling admission, it's more like a cover charge.

[andyzee]

Don't matter since we're exporting all of our jobs overseas anyway.

[355inchesofnaturalsnow]

Just caught the whiff via Google alerts. For me, it isn't so much the selling of Green Cards which sort of intimates a wink/nudge sort of program in terms of delivering them; it's more that they're cutting the line as it moves people forward in much quicker fashion. These investors get their money back in two ways (neither of which are they compelled to receive via the offering memorandum)-in 6 years, the units get sold at market value and the receive what compensation is available (less seller/administrative fees and such), and they also participate in whatever upside exists on the front end (after a certain $ amount is acquired, they receive a percentage of sales from certain profit centers). At least for us, we were unwilling to approach the credit markets (nor would any bank in their right mind of been willing to extend terms) to grow, so this seemed like a pretty good program. Bill has been working on this since early 1996 and actually approach Les about it way back when. He wasn't so interested...

Hope you guys are staying cool. As cool as ever I mean.

[JerseyGuy]

Hey, as long as this expansion plan doesn't involve polluting a local river, I'm all for it.

Hope you guys are staying cool. As cool as ever I mean.

But of course.

[355inchesofnaturalsnow]

Be nice.

[Geoff]

Bill has been working on this since early 1996 and actually approach Les about it way back when. He wasn't so interested...

Why go down that path when you can sell junk bonds and lose money on real estate development?

[Mister Moose]

Steve;

Would you care to comment on why Jay chose to (apparently) do all this expansion (2 hotels, ice rink, golf course and club house, water park, etc) without a plan for a "village" as seems to be the trend in some resorts these days? Does Jay feel a village concept wouldn't work well given its location and market, or it it more that Jay has ideas it considers better than a village and wants to be more unique in the marketplace? Or is a village on the slate for the future?

[JerseyGuy]

Be nice.

Don't let the leather jacket fool you -- The Fonz WAS nice!

[355inchesofnaturalsnow]

@Moose, the Village concept just didn't hold much appeal for us. Not to mention that we have spots on either side of us (Montgomery and Jay) that are authentic, albeit small, Villages. It leaves some room for them to grow along with us. We'll have a few more restaurants up this way but don't anticipate adding shopping, theatres, movie-halls or anything along those lines. We're going to have a hard enough time creating an authentic waterpark, we didn't want to worry about creating a Village around it. Our Community has been more than cooperative with us and they deserve the chance to ring the register as well.

[SkiDork]

Our Community has been more than cooperative with us and they deserve the chance to ring the register as well.

POWDR? KSRP? Are you listening?

[skidogg]

NO