TTD-120-420 Posted November 6, 2012 Share Posted November 6, 2012 http://pointbuzz.com/NewsStory.aspx?id=1828 "Cedar Fair CEO Matt Ouimet said in a conference call today that the company will invest between $45 million and $60 million over the next three years on improvements that will will include upgrades to Cedar Point's hotel properties." I love what Mr. Oiumet is doing. Quote Link to comment Share on other sites More sharing options...
shark6495 Posted November 6, 2012 Share Posted November 6, 2012 I wish they would buy the great wolf lodge down in Cincy. Last I heard, which was months ago, Great Wolf was looking to sell most or all of its properties... Is this still true or did it changed. Quote Link to comment Share on other sites More sharing options...
beastrider97 Posted November 6, 2012 Share Posted November 6, 2012 Great. When I stayed at the Breakers last time I was disappointed in the quality of the room. Sure, we didn't spend much time in there, but the least they could do is not have TVs from 1985. 1 Quote Link to comment Share on other sites More sharing options...
HTCO Posted November 6, 2012 Share Posted November 6, 2012 Keep in mind, Ouimet has hotels in his background. Or foreground? 2 Quote Link to comment Share on other sites More sharing options...
The Interpreter Posted November 6, 2012 Share Posted November 6, 2012 I wish they would buy the great wolf lodge down in Cincy. Last I heard, which was months ago, Great Wolf was looking to sell most or all of its properties... Is this still true or did it changed. Apollo Global, the company that would have bought out FUN for $11.50 a unit had Dick Kinzel had his way, owns Great Wolf now. I'm quite certain they'd happily sell the Mason lodge or the entire company to FUN for the right price. That price might or might not be quite high. 2 Quote Link to comment Share on other sites More sharing options...
TheBEASTunchained Posted November 7, 2012 Share Posted November 7, 2012 I wish they would buy the great wolf lodge down in Cincy. Last I heard, which was months ago, Great Wolf was looking to sell most or all of its properties... Is this still true or did it changed. Apollo Global, the company that would have bought out FUN for $11.50 a unit had Dick Kinzel had his way, owns Great Wolf now. I'm quite certain they'd happily sell the Mason lodge or the entire company to FUN for the right price. That price might or might not be quite high. I can already hear the news.... "Cedar Fair Entertainment Company has now re-opened what used to be Great Wolf Lodge of Mason OH, It is now The ALL NEW Kings Island Lodge .... 1 Quote Link to comment Share on other sites More sharing options...
The Interpreter Posted November 7, 2012 Share Posted November 7, 2012 Castaway Bay? Quote Link to comment Share on other sites More sharing options...
TTD-120-420 Posted November 7, 2012 Author Share Posted November 7, 2012 Re-opened? Is it closed? Serious question Quote Link to comment Share on other sites More sharing options...
shark6495 Posted November 7, 2012 Share Posted November 7, 2012 maybe terp is refering to the idea that before it was Castaway Bay it was another type of Hotel? And thanks for the info Terp about GWL. Quote Link to comment Share on other sites More sharing options...
flightoffear1996 Posted November 7, 2012 Share Posted November 7, 2012 Last year we tried to stay on resort property but since we were leaving on a Monday and the park was closed we couldn't get a room there instead we stayed at Khalari. I would like to see that change. Quote Link to comment Share on other sites More sharing options...
luff Posted November 7, 2012 Share Posted November 7, 2012 This summer I stayed at the Breakers for the first time in about 5 years (Breakers east). I was really dissapointed in the quality of the room. It appeared that no maintenance had been done in the last 10 years. The common areas were still nice, but the room was well worn, especially for the price we paid. Quote Link to comment Share on other sites More sharing options...
CedarPointer Posted November 7, 2012 Share Posted November 7, 2012 We stayed at Breakers Express in 2006. It was really nice, but it'd be nice if they had a real breakfast at that price point. 1 Quote Link to comment Share on other sites More sharing options...
Leland Wykoff Posted November 7, 2012 Share Posted November 7, 2012 The conference call announcement of a three year capital investment in hotel properties at Cedar Point of between $15 and $20 million annually focused on a "refreshment program" and developing a three tiered room and pricing strategy characterized as good, better, best. Focus groups and other intelligence strategies will be employed to better understand guest expectations and attending price points.Cedar Fair also announced the removal and relocation of employee dorms from the Point to free up valuable property for future development. That nature of that development was not clear. Hotels, attractions, or ride expansions were not specified.What was clear was the search for dynamic pricing knowledge and strategies to allow for hotel revenue and profit maximization. Cedar Point was identified as having an inventory of 800 rooms. Refreshment costs would run from $56,250.00 to $75,600.00 per room. These are significant costs for a program which is not identified as a rebuild or remodel program. Construction costs for budget/economy hotels are currently estimated at $56,100.00 [excluding land costs].*With talk of suites on the conference call it is not clear if the 800 room inventory count will increase, decrease, or remain steady. One wonders if hotels outside the gates could be acquired at prices similar to the cost of planned refreshments. In any event this announcement represents a major project is on the horizon. Given Cedar Fair could build budget/economy rooms as cheaply from scratch it represents a major undertaking.Refreshment may not be the right term to characterize the plans.*http://www.hvs.com/Content/3235.pdf Leland Wykoff 2 Quote Link to comment Share on other sites More sharing options...
CoastersRZ Posted November 7, 2012 Share Posted November 7, 2012 It will be interesting to see what exactly happens with this in the next few years. Could hotels be on the way to other parks that currently do not offer any form of on site accomodations? What about campgrounds? Matt Ouimet certainly seems like he knows what he is doing. Its going to be a fun ride the next several years. Quote Link to comment Share on other sites More sharing options...
westcoaster Posted November 7, 2012 Share Posted November 7, 2012 Places like Kings Island needs their own campground/hotel . And really is great wolf for sale all of them or certain ones? Quote Link to comment Share on other sites More sharing options...
KI-ORIG-EMP Posted November 7, 2012 Share Posted November 7, 2012 It would be great if Kings Island would put in another camp ground to replace the old one they used to have. There is plenty of good land that could be used with good access to the road and to the park. I work in the pet care and we used to be almost 75% filled on a regular basis and half full during the week. We still do get a lot of guests that board their pets that had to camp someplace else near Lebanon. The former camp grounds were constantly busy and filled on a regular basis. I heard rumors that Paramount was interested in a new camp ground but was nixed during the Cedar Fair purchase. Wonder if Cedar Fair would be interested in constructing a new camp ground in the future? Quote Link to comment Share on other sites More sharing options...
The Interpreter Posted November 7, 2012 Share Posted November 7, 2012 Places like Kings Island needs their own campground/hotel . And really is great wolf for sale all of them or certain ones? Apollo Global is an investment group. Anything and everything it owns is for sale any time at the right price, whether it is actively being marketed or not. 3 Quote Link to comment Share on other sites More sharing options...
Jr for Birdy Posted November 7, 2012 Share Posted November 7, 2012 I like the Breakers during Halloweekends just the way it is,the price comes with real large spiders and real ghosts!!! People think KI is haunted but you couldnt pay me to stay alone for a night at Breakers while the parks closed. Quote Link to comment Share on other sites More sharing options...
Avatar Posted November 7, 2012 Share Posted November 7, 2012 Will be interesting to see the developments over the next few years. I do not mind paying the price for onsite accommodations but they need to be up to par otherwise it leaves me with the impression on what and where else are they letting things get neglected and outdated. Basically Image is important. I believe the right person is in charge to get the price point right with the guest expectation on different price levels. 1 Quote Link to comment Share on other sites More sharing options...
westcoaster Posted November 7, 2012 Share Posted November 7, 2012 It would however be so cool if they bought the Cincinnati lodge next door, made it Kings Island themed, maybe Snoopy camping? Then a real camp ground out back, where you could use the water park, and real cabins ! 2 Quote Link to comment Share on other sites More sharing options...
Maverick00 Posted November 8, 2012 Share Posted November 8, 2012 I could see Cedar Fair buying Great Wolf Lodge resorts. I think that would actually be good for the company. Now no one make fun of me, I've never been in one but is it something similar to Castaway Bay? Quote Link to comment Share on other sites More sharing options...
TheCrypt Posted November 8, 2012 Share Posted November 8, 2012 Great Wolf Lodge is an indoor waterpark resort, based around on the cliché central theme of wolves and wilderness. The Kings Island version's overusage of chlorine is extraordinary. Quote Link to comment Share on other sites More sharing options...
shark6495 Posted November 8, 2012 Share Posted November 8, 2012 Great Wolf Lodge is an indoor waterpark resort, based around on the cliché central theme of wolves and wilderness. The Kings Island version's overusage of chlorine is extraordinary. Well thats one opinion... Its called Great Wolf Lodge, most expect it to appear as if one is camping in a... lodge.... in the wilderness... near a wolf.... For the use of chlorine... well that keeps things clean... bleachy clean Quote Link to comment Share on other sites More sharing options...
TheCrypt Posted November 8, 2012 Share Posted November 8, 2012 I wouldn't mind the theme if it was actually pulled off well, not just management slapping some green wallpaper on the wall and calling it a tree. Just when you enter the enclosed waterpark, you are overwhelmed by the immense fumes of chlorine. Being enclosed in a waterslide with chlorine fumes isn't fun either. I have, however, very sensitive breathing due to some lung issues when I was a baby, which is why I try to avoid certain odors such as cigarette smoke as much as possible. So hey, maybe GWL is using just the right amount of chlorine and I'm in the minority. Quote Link to comment Share on other sites More sharing options...
Leland Wykoff Posted November 8, 2012 Share Posted November 8, 2012 Great Wolf Resorts was the worlds largest operator of indoor water park hotels. Great Wolf was primarily a development company, then the economy went south, they were transitioning into an operating company. They achieved long strides and were about to turn the profitability corner.The wolf arrived at the door. In the guises of a little enterprise called Apollo. The hammered out a tender offer merger agreement calling for the payment of $5.00 per share. They also needed the holders of rather exotic mortgage debt instruments to agree to change in control provisions to debt covenants.Like the deal agreed to by former management at Cedar Fair, Great Wolf's management and board lapped up the milk and licked their chops at the prospect of lucrative management contracts and golden parachutes.Shareholders, much like Little Red Riding Hood, recognizing a great wolf when the saw one, balked at the deal. The shareholders demanded more. Mortgage debt holders wisely refused to surrender protective covenants. The deal day approached to find hardly any shares had been tendered, and frighteningly, zero mortgage debt had agreed to drop change in control restrictions.Mean while Little Red Riding Hood--the shareholders in our tale--agitated for the deal to be aborted if adequate consideration was not offered for shares. A competitive bidding of sorts broke out with Apollo consistently raising the consideration to best the new suitor.The shares took off and Apollo finally won the company with a cash price of $7.85 per share. One of the largest price increases ever in a tender offer merger. Little Red Riding Hood was left to ponder if it was all just silly coincidence two of Richard Kinzel's children had played significant roles at Great Wolf Resorts.So yes, Great Wolf Resorts is on the market, one way or another, as the Interpreter has alluded. It is simply a question of price. Would the new Cedar Fair board, which from all observation takes it's oversight role very seriously, and new FUN management team pay an extravagant premium for the Great Wolf Resort at Kings Island? Not likely given current debt loads, this quarters unexpected revenue miss, and a healthy increase announced to the dividend.Purchase the property at a fire-sale price? No doubt FUN would like to, but less likely Apollo would consider a distress asset sale. However, never say never. The CEO hinted at the possibility of acquisitions in the not to distant future (think two to three years after the balance sheet is cleaned up a bit and the debt due in 2014 has been restructured at lower rates) of attractive assets offering good returns on investment.One clear lesson from our little morality tale; the Wolves (investment firms) are having a harder time leading the Sheep (shareholders) to slaughter. Leland Wykoff 6 Quote Link to comment Share on other sites More sharing options...
markr Posted November 8, 2012 Share Posted November 8, 2012 The only improvements CP needs to make for the resorts is to lower the prices. Quote Link to comment Share on other sites More sharing options...
The Interpreter Posted November 8, 2012 Share Posted November 8, 2012 That's not very likely on an overall basis. From time to time to fill the rooms, yes. Dynamic pricing. FUN hotels management and operation is about to advance 70 years or so...from the Kinzel "take those Blacberry toys away from managers" days of "The Organization Man." 1 Quote Link to comment Share on other sites More sharing options...
Jr for Birdy Posted November 8, 2012 Share Posted November 8, 2012 The only improvements CP needs to make for the resorts is to lower the prices. Try negotiating your price with a manager,i have never paid full price.In fact,i have paid almost half price calling the day before! Dont let my secret out! I should add this doesnt always work,i have stayed at the old Red Roof Inn too Quote Link to comment Share on other sites More sharing options...
The Interpreter Posted November 8, 2012 Share Posted November 8, 2012 Another version of dynamic pricing. Half a room rate is better than zero for management. 2 Quote Link to comment Share on other sites More sharing options...
raptor Posted November 8, 2012 Share Posted November 8, 2012 maybe terp is refering to the idea that before it was Castaway Bay it was another type of Hotel? And thanks for the info Terp about GWL. It was a Radisson Quote Link to comment Share on other sites More sharing options...
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