New York, NY— Paul Hastings, a leading global law firm, announced today that the firm represented the Toronto-based privately held global real estate company Talisker Corporation as it agreed to lease its Park City, Utah property Canyons Resort to mountain resort operator Vail Resorts, Inc.
The initial term for the long-term lease is 50 years with six 50-year renewal options. The lease calls for $25 million in annual fixed payments, which increase each year by an inflation linked index of CPI less one percent, with a minimum of two percent per annum. It also includes participating contingent payments to Talisker of 42 percent of the amount by which EBITDA for the resort operations, as calculated under the lease, exceeds approximately $35 million, with such maximum amount increased by an inflation linked index and a 10-percent adjustment for any capital improvements or investments made under the lease by Vail Resorts.
Talisker retained development rights for four million square feet of real estate, but Vail Resorts is taking over the resort’s operations.
Real Estate partner Bruce DePaola led the Paul Hastings team, which also included associates Daniel Blaser, Heather Lockheart, and Alyssa Lust.
Paul Hastings LLP is a leading global law firm with offices in Asia, Europe, and the United States. We provide innovative legal solutions to financial institutions and Fortune 500 companies. Please visit www.paulhastings.com for more information.