Skift Take
We always want what we can't have: Investors may salivate over how ski resorts have performed over the span of the pandemic, but owners have little incentive to sell their durable assets.
Opportunistic investors amassed millions, if not billions, of dollars in “dry powder” capital since the Great Recession to deploy on investment opportunities during the next economic downturn.
The coronavirus pandemic presented that long-awaited downturn, and the hotel industry is poised to be the source of many distressed sales — except, perhaps, in ski resort markets.
“Given all the bells and whistles these resorts offer in terms of drive-to [travel] and being able to sustain their performance in a pretty meaningful way, I don’t know what would incentivize an owner to sell because they’re not in a position where it’s that bad,” said Julie Purnell, managing director with CBRE Hotels Advisory.
Colorado ski resorts had a better October in the middle of a global pandemic than they did in 2019, largely due to domestic travelers favoring outdoor-focused resorts and drive-to markets. Leaders at companies like Four Seasons and Marriott point to properties in mountain resorts as some of their best-performing assets during the year so far.
Executives with Four Seasons and Accor indicated desires to expand further into ski markets during separate interviews with Skift over the course of the pandemic. These expansion plans make financial sense.
Business was down
