It’s hard to find anything negative about Vail’s acquisition of Park City Mountain Resort. The purchase removes the uncertainty surrounding the upcoming season and operations at PCMR, which has been a source of anxiety among local businesses, resort employees, residents, and visitors alike. Beyond solving the immediate crisis, Vail promises only good things for Park City and its commercial, development, and residential real estate.
As a publicly traded company with an impressive trackrecord of financial solvency and growth, Vail has the wherewithal and intention of improving upon both of its Park City resorts. Its Epic Pass is immensely popular and promises a new and international demographic of visitors. While international buyers have previously only accounted for less than 1% of our marketplace, Vail’s presence and its Epic Pass are likely to catalyze an influx of foreign visitors, investors, and home buyers that Park City would otherwise have a hard time attracting.
>From a real estate standpoint, Park City will see substantial development activity in upcoming years as a result of this sale. There is currently over 4 million square feet of developable land at the Canyons: 2.7 million square feet at the base and 1.3 million square feet at Red Pine. At PCMR, there is 650,000 square feet of developable land on and around the existing parking lots.
Further, our listing of the Mayflower parcel at Deer Valley allows for the potential new construction of 2,400 units and a new commercial village. This newly listed parcel has the potential to double the size of Deer Valley Resort and its skiable terrain, providing yet another unique opportunity to be involved in a local resort's evolution. We look forward to seeing Deer Valley build upon its already established reputation as a the 5 time winner of the "Best Ski Resort in North America" according to Ski Magazine readers.
New builds, commercial centers, and cultural venues will bring fresh life to our town. Berkshire Hathaway Utah represents more developments than any other Park City real estate agency and looks forward to playing a role in the responsible growth of our town.
While we are thrilled to welcome Vail and the subsequent opportunities it brings, BHHS Utah remains committed to preserving the authenticity and local energy of our town. Any future developments should contribute to and support Park City's existing town structure and culture. As part of its campaign to grow and maintain relations with our town and its civic leaders, Vail has given support to numerous local causes and non-profits since its purchase of Canyons. We believe going forward, Vail will prove a considerate and generous community partner.
Vail: The publicly traded company
If share price is any indication of a company's real value, Vail is one healthy company.
Vail has a longstanding history of competitor out-performance in the financial marketplace. According to the latest Wall Street data, Vail has a market cap of $3.2 billion with shares up 17.2% year-to-date. Since the announcement of the Park City Mountain Resort Purchase, share prices have jumped close to 13%. The company boasts 43.85% gross profit margin, which has increased from the same quarter the previous year. Along with this, the net profit margin of 21.71% is above that of the industry average. Further, the net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Hotels, Restaurants & Leisure industry.
Vail: The Resort Operator
Vail has already proven itself a capable operator of ski resorts. With 11 resorts under its management, Vail has the capacity and experience to run a resort and run it well. In its first year operating Canyons Resort, Vail improved on-mountain offerings and guest experience. The Epic Pass has proved highly popular and will bring fresh visitors to Park City. This upcoming season visitors and locals will be able to enjoy joint passes to Canyons and Park City Mountain Resort--over 7,300 vertical feet of skiing! Vail has announced its intention to connect the two resorts via a new system of links, which would allow skiers to seamlessly traverse the majority of the Park City range.
Park City visitors and locals will now have the chance to ski legendary Deer Valley, with its proven quality mountain service, and the largest ski resort in America.
The Epic Pass is a multi-mountain, multi-destination ski pass that allows its owners to ski at 21 resorts in 5 different countries. Epic Pass holders have the opportunity to extend their skiing and riding adventures globally with up to five consecutive free days at the renowned mountain resorts of Les 3 Vallées, France (Courchevel, La Tania, Méribel, Brides-les-Bains, Les Menuires, Saint Martin de Belleville, Val Thorens and Orelle) and Verbier, Switzerland, and five consecutive free days at Niseko United, Japan.
The Epic Local Pass, which just added Park City Mountain Resort to its roster of included ski resorts, grants pass holders access to skiing and riding at Canyons, Breckenridge, Keystone, Afton Alps, Mt. Brighton, Arapahoe Basin, Heavenly, Northstar & Kirkwood, and Park City Mountain Resort. The pass also includes a total of 10 days at Vail and Beaver Creek with holiday restrictions. Between these two pass options, locals and visitors will have access to over 7,300 feet of terrain in Utah.
Posted by Berkshire Hathaway HomeServices Utah Properties on
Leave A Comment