Former Ritz-Carlton Hawaii Timeshare Resort Sold for $100M
Tuesday, February 5, 2013
An affiliate of Dallas-based Lantern Asset Management (which is owned by Centerbridge Capital Partners) bid a reported $100 million to purchase the former Ritz-Carlton Hawaii timeshare and fractional at Kapalua Resort in Maui. The Hawaii timeshare and residence resort was previously branded as a Ritz-Carlton Club and Residences
Bidding at the foreclosure hearing for the former Ritz-Carlton timeshare property began at $58 million after a lending entity, known as Island Acquisitions Kapalua LLC originally bid $55 million at a December 3 foreclosure auction. Lantern Asset Management is said to have outbid both California-based Westbrook Management and David Merage. Merage is the head of Consolidated Investment Group and with his brother, co-founded Chef America Inc., a brand that includes Hot Pockets, and that later sold to the Nestle corporation for $2.6 billion.
The former Ritz-Carlton Hawaii timeshare resort includes residential and commercial units as well as deeded club interests.” Vacation ownership in The Residences at Kapalua Bay is held as one-twelfth fractional ownership interests. Floor plans for the luxurious three- and four-bedroom whole ownership units range from 3,002 to 4,271 square feet. The 62 fully furnished, two- and three-bedroom
former Ritz-Carlton Kapalaua fractional residences range in size from 1,912 to 2,257 square feet. Interior décor of the units is designed to celebrate Maui’s history.
Timber Resorts Management of Former Ritz-Carlton Hawaii Timeshare and Fractional Resort.
In December, Timber Resorts took over management of the property from Ritz-Carlton Management Co., which is a subsidiary of Marriott International. Timbers Resorts is based in Carbondale, Colorado, and is recognized as one of the country’s largest independent developers and operators of private boutique resorts and residence clubs.
At that time John D. Chaney, President of Kapalua Bay Vacation Owners Association, was quoted as saying, “We are extremely pleased that we are able to retain a management company with the reputation and service level of Timbers Resorts and we are really looking forward to working with them in 2013. We hope to duplicate the success here that they have achieved at so many of their other resorts around the world.”
Robert E. Parsons, President of the Association of Apartment Owners of Kapalua Bay Condominium, added, “The Residences at Kapalua Bay is a luxury private residence club coupled with a collection of stunning wholly-owned residences within the world-class Kapalua Resort. We feel that it has the ability to become an even more important hospitality contributor to Hawaii and are excited to work with Timbers Resorts as our partner in reaching these goals and taking this resort to even higher levels of service and luxury.”