News

DENVER, Colo. - April 13, 2011 - KSL Capital Partners, LLC announced today that it has acquired The Royal Palm Hotel in Miami’s historic South Beach district for $130 million at closing, or roughly $318,000 per key, from an affiliate of Sunstone Hotel Investors, Inc. (NYSE: SHO). Opened in 1939, in 2002 the hotel underwent an extensive renovation that added two towers and increased the size of the hotel to 409 rooms. KSL intends to completely renovate and reposition the hotel under The James brand as The James Royal Palm.

The hotel is managed by Denihan Hospitality Group who will remain in place following the acquisition and who will manage the planned renovation.

"South Beach is one of the strongest and most desirable hotel locations in the United States. The very successful James brand is a natural addition to South Beach. Following the renovation, The James Royal Palm will be the premier luxury boutique hotel in South Beach," said Bernard Siegel, a Principal of KSL.

The renovation plan includes improvements to all of the guestrooms, guest baths and public areas of the hotel, including new restaurants, a spa, outdoor spaces, and furnishings to bring the hotel up to the exacting standards of The James brand. The renovation is scheduled to be completed in late 2012.

Mr. Siegel added, "South Beach is not simply a vacation spot, but a historic and vibrant community. The Royal Palm was originally constructed at the height of the art deco movement in Miami. The planned renovation will preserve the style and history of the hotel, while improving virtually all aspects of the Royal Palm with a new level of luxury and sophistication. We are very pleased to be part of this exciting project and a part of South Beach."

The Royal Palm is located on nearly two acres in a prime beachfront location between 15th and 16th Streets on Collins Avenue in Miami Beach.

About KSL Capital Partners‍

KSL Capital Partners is a private equity firm specializing in travel and leisure enterprises in five primary sectors: hospitality, recreation, clubs, real estate and travel services. KSL Capital Partners has offices in Denver, Colorado and New York. For more information, please visit www.kslcapital.com.

KSL s current and prior investments include some of the premier properties in travel and leisure, including Grand Wailea Resort Hotel & Spa, Arizona Biltmore Resort & Spa, La Costa Resort and Spa, Hotel del Coronado, the Claremont Hotel Club & Spa, the San Francisco Bay Club and its sister clubs, as well as ClubCorp, the world s largest owner of private golf and business clubs. KSL also owns other premier recreation businesses, including Squaw Valley USA, one of the leading ski resorts in North America, Western Athletic Clubs, the owner and operator of luxury fitness clubs on the West Coast, and Orion Expedition Cruises, a luxury expedition cruise operator based in Sydney, Australia. In addition, KSL’s predecessor owned and operated the Doral Golf Hotel & Spa from 1992 until 2004.

About the James

The James Chicago debuted in April 2006 as the stylish alternative for discerning business and leisure travelers alike. Featuring David Burke’s Primehouse, JBar lounge, expansive meeting and event spaces, exclusive James Club guest lounge, spacious, modern and comfortable guest rooms as well as a seasonally rotated exhibition of artwork chosen in conjunction with Monique Meloche Gallery. The James New York debuted in September 2010 anchoring the southwest corner of Grand and Thompson Streets in SoHo. In continuation of the brand’s support for the arts, The James New York features an exclusive, proprietary collection by emerging artists upon each of their 14 guestroom floors. Unique event spaces and impeccable attention to details are found throughout. The hotel boasts culinary destination David Burke Kitchen, a rooftop pool deck, rooftop bar and lounge, Jimmy, an Urban Garden, Penthouse Loft designed by Piet Boon; and a captivating Sky Lobby, accessible by a signature glass elevator and outfitted with furnishings by Cristina Grajales. The latest addition to The James brand is The James Royal Palm, located in South Beach, Miami, opening in late 2012. www.jameshotels.com

About Denihan Hospitality Group

New York based Denihan Hospitality Group, one of the nation’s fastest growing owner/operators of stylish boutique hotels, draws upon a 50-year family legacy of providing guests with highly individualized service. Denihan’s 13-property portfolio includes upper upscale and luxury brands Affinia Hotels and The James, as well as luxury independent properties The Surrey and The Benjamin, and other independent affiliates. A full-service management and development company, Denihan’s properties are located in some of the most sought after U.S. locations, including New York, Chicago, Washington, D.C., and Miami. For reservations or further information, visit www.denihan.com.

Denver and Avon, Co. (April 1, 2011) – East West Partners (“East West”) and KSL Capital Partners (“KSL”) announced today that they have partnered to pursue resort real estate acquisition and development opportunities throughout the United States. East West and KSL have a 25-year history of working together and developing resort real estate, dating back to their founders’ common time in Vail and Beaver Creek Resorts.

The partnership will be actively looking for existing and new development opportunities in first-class mountain, beach, and second-home resort real estate markets, seeking to capitalize on recent distress in these markets. Specifically, the partnership is targeting projects in need of completion, preferably ones with associated development opportunities.

East West was founded in 1986 with the purchase of a single piece of land in a then emerging resort called Beaver Creek. Today, that development is a world-class destination and the cornerstone for a portfolio of acclaimed projects in the finest resort destinations across the United States. East West’s extensive resort development history includes hotels, condominiums, fractional ownership, spas, golf courses, restaurants, retail, and clubs. In all, East West has successfully developed more than 60 projects comprising more than $3.0 billion of residential and commercial real estate, while protecting and enhancing the existing natural environment.

KSL is a private equity firm specializing in investments in the travel and leisure industries. KSL’s current and prior investments include some of the world’s premier resort properties, including Grand Wailea Resort Hotel & Spa, Arizona Biltmore Resort & Spa, La Costa Resort and Spa, La Quinta Resort & Club, Hotel del Coronado, The Homestead, Barton Creek Resort & Spa, and Rancho Las Palmas Resort & Spa. Many of these resort investments have involved significant real estate development components. Additionally, KSL’s current portfolio includes Squaw Valley USA, one of the premier mountain resorts in North America; ClubCorp, Inc., the largest owner of golf, country, and business and sports clubs in the world, with more than 150 destinations; and, Western Athletic Clubs, an upscale, family-focused fitness club company in California.

“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 has consistently been one of the premier developers of resort real estate for more than two decades. They have a deep and talented team with a proven ability to create and transform resort communities. We are looking forward to an exciting and productive partnership,” stated Eric Resnick, Managing Director and Co-Founder of KSL.

“We have known and worked with the principals of KSL for many years, and we share a mutual admiration for our respective teams’ capabilities and experience. Together, we have the ability to build on each other’s strengths and take advantage of some exciting opportunities,” stated Harry Frampton, Managing Partner and Founder of East West.

About East West Partners‍

East West is a family of related but independent companies devoted to building, selling, managing and supporting high-quality real estate in the communities in which they operate. East West currently is developing resort properties in Vail, Beaver Creek and Summit County, Colorado; Lake Tahoe, California; Deer Valley, Utah; and Charleston, SC. For more information, please visit www.eastwestpartners.com.

About KSL Capital Partners‍

KSL Capital Partners is a private equity firm dedicated to investments in travel and leisure businesses. KSL Capital Partners has offices in Denver and New York. For more information, please visit www.kslcapital.com.

DENVER, CO (February 7, 2011) – KSL Capital Partners (KSL), a leading private equity firm, today announced that Craig Henrich has joined the Firm as a Principal. Previously, Craig was a Senior Managing Director of CW Capital Investments, LLC, where he led their single asset group specializing in the acquisition and management of debt investments, including high yield and mortgage backed securities, and over saw a portfolio in excess of $4.6 billion. Prior to joining CW Capital in 2006, Craig was an eleven year veteran of Deutsche Bank/RREEF and its predecessor Bankers Trust serving as Managing Director and Partner in charge of Mezzanine Investments. His primary responsibilities included his role as Fund Manager of two high yield real estate funds investing over $2.5 billion in distressed debt, mezzanine and other high yielding investments. Craig began his real estate career in 1988 as an Acquisition Analyst for a real estate investment company based in San Francisco. Craig has a B.S. from the University of Pacific and an M.B.A. from Harvard University.

Eric Resnick, Managing Director and co-founder of KSL said “We could not be more pleased that Craig is joining our firm. Craig is widely regarded as an expert in hospitality debt investments, particularly the structuring and acquisition of complex loans secured by hospitality investments. This is an area of expertise that is highly relevant in today’s investment environment. Craig’s background will be a terrific complement to our existing team and investment portfolio.”

About KSL‍

KSL Capital Partners is a private equity firm specializing in travel and leisure enterprises in five primary sectors: hospitality, recreation, clubs, real estate and travel services. KSL Capital Partners is headquartered in Denver, Colorado. For more information, please visit www.kslcapital.com.

Notable investments made by the principals of KSL include:

• Squaw Valley USA, a four season mountain resort in Lake Tahoe, CA
• ClubCorp, Inc., the world’s largest owner and operator of golf, country and business and sports clubs
• Western Athletic Clubs, a luxury athletic club operator based in San Francisco, CA
• Orion Expedition Cruises, a luxury expedition cruise company based in Sydney, Australia
• La Costa Resort and Spa in Carlsbad, California
• Barton Creek Resort & Spa in Austin, Texas
• The Homestead in Hot Springs, Virginia
• Rancho Las Palmas Resort & Spa in Rancho Mirage, California
• La Quinta Resort & Club and PGA West in La Quinta, California
• Doral Golf Resort & Spa near Miami, Florida
• Grand Wailea Resort Hotel & Spa on Maui in Wailea, Hawaii
• Arizona Biltmore Resort & Spa in Phoenix, Arizona
• Hotel del Coronado near San Diego, California

OLYMPIC VALLEY, Calif. and DENVER, Colo. [December 6, 2010] - KSL Capital Partners, LLC announced today that it has closed the previously announced acquisition of substantially all of the shares of The Squaw Valley Development Company, which includes all facets of Squaw Valley USA ski operations, the Village at Squaw Valley and related real estate holdings.

"Squaw Valley is the birthplace of the modern mountain resort in the United States with a heritage, history, amenities and perhaps most of all, extraordinary terrain that can never be replicated," said Eric Resnick, KSL s Managing Director.

Recently appointed Squaw Valley President and CEO Andy Wirth will continue in his role. Wirth came to Squaw Valley in August 2010 after maintaining executive level positions with Intrawest, based out of Vancouver, British Columbia and Steamboat, Colorado, and has 25 years of experience in the resort and hospitality industry. "Squaw Valley has already begun a transformation under his leadership and we look forward to working with him and the Squaw Valley team as we usher in a new era." said Resnick.

"The announcement of KSL s completing the acquisition of Squaw Valley is great news for our guests and our team," stated Wirth. "The KSL team has already committed more than $50 million in capital improvements over the next three to five years here at Squaw, clearly supporting their commitment to the mountain and guest experience."

KSL is a private equity firm based in Denver dedicated to investments in travel and leisure businesses. KSL s current and prior investments include some of the premier properties in travel and leisure, including Grand Wailea Resort Hotel & Spa, Arizona Biltmore Resort & Spa, La Costa Resort and Spa, Doral Golf Resort & Spa, Hotel del Coronado, the Claremont Hotel Club & Spa, the San Francisco Bay Club and its sister clubs, as well as ClubCorp, the world's largest owner of private golf and business clubs.

Squaw Valley USA is open for the season. The resort received a record amount of snowfall in the month of November. With over 12 feet of new snow over the last several weeks, Squaw Valley USA boasts superb skiing and riding conditions.

About Squaw Valley USA
Squaw Valley USA was founded in 1949 and hosted the 1960 Winter Olympic Games, the first televised Olympics. Squaw Valley is one of the largest and most diverse mountain resorts in North America, with incomparable outdoor recreational amenities that attract both local residents and visitors from around the globe. For more information, please visit www.squaw.com

About KSL Capital Partners
KSL Capital Partners is a private equity firm specializing in travel and leisure enterprises in five primary sectors: hospitality, recreation, clubs, real estate and travel services. KSL Capital Partners has offices in Denver, Colorado and New York. For more information, please visit www.kslcapital.com.