Wolf Creek Golf Resort Ltd. Hits The Market Through MNP Bid Process
- Category: Inside Golf
- Published: 2022-12-07
By Gord Montgomery, Inside Golf
EDMONTON, Alberta — If you’re looking for the perfect gift for the golfer in your life who has more than enough balls, clubs, gloves, and knickknacks imaginable, then may we make a suggestion: How about a 36-hole golf course and RV park?
Alberta’s famed Wolf Creek Golf Resort Ltd. has hit the market and while it may cost a few more paycheques than the last sleeve of ProV1 you gifted that special someone, this is one of those once-in-a-lifetime opportunities — if you have the finances. And if the benefactor of your generosity has some patience as the official exchange will have to wait until the new year.
MNP Ltd. has placed the well-known facility — complete with course maintenance equipment, buildings, a 6-hole practice loop, and pro shop inventory — on the market through a public sales process that is now available for viewing. The course and associated properties went into receivership through MNP on October 13, 2022.
Part of the opening paragraph in the online sales document posted by MNP reads: “In our capacity as the Receiver, we are soliciting offers to purchase the Company’s assets en bloc, namely the golf course property and all of the associated buildings, equipment and inventory associated with the operation of the golf course and the RV Resort all located in the vicinity of Ponoka, Alberta.”
When first contacted by Inside Golf in November in regard to the bankruptcy declaration, Karen Aylward, CIRP, Trustee from MNP provided information that stipulated the properties on the market had an estimated value of $6M (Cdn). However, the online posting clearly states that the Receiver “... does not make any representations or warranties as to the accuracy or completeness of the CIP (Confidential Information Package) and shall have no liability for any representations (be they expressed or implied) or omissions contained herein .... transmitted to prospective purchasers in the course of the evaluation of the assets.”
Anyone who has ever been to an auction, in person or online, knows that often the suggested retail cost of an item may not reach its so-called potential So, in the public sale scenario of this sale it could well be suggested that the suggested dollar amount of asset values may not be reached. It should be noted however that the primary creditor in this action, Cobra Mortgage Services, Ltd., out of British Columbia, has first dibs on any monies collected from the upcoming sale.
A source who is a former employee of MNP, who worked in insolvency, noted that a lowball offer or two may well be tied up in a takeover bid of the two courses and all its assets. But it’s unlikely they’ll be successful if the offer is too low.
“I would think that everyone would be looking for somewhat of a deal, looking for a discounted price compared to the six million valuation,” explained the source. And while that may be the case, there is likely a bottom line as far as any offer that would be seriously considered, and/or accepted, that person continued. “The Trustee would (attempt to) satisfy the mortgage holder’s claim,” which at the time of legal filing stood at $2.9M CDN owed by the course’s previous owner. “And, then they’ll try to recoup as much as they can for all the creditors.”
Tours of the Wolf Creek Golf Resort Ltd. facility can be arranged for interested buyers by appointment only. The deadline to extend an offer to purchase the facility is slated for January 11, 2023, with an estimated selection date of the winning bid on January 18, 2023. The court approval of such as sale, if one occurs, is scheduled for February 28, 2023, with an estimated closing on March 15, 2023.
So if you have a few extra bucks and want something extra special for that special person in your life, go to mnpdebt.ca.
PLEASE NOTE: The stated appraised value (approximately $6.7M Cdn.) of the golf courses, amenities, and RV park that are mentioned in the above article were not provided by MNP spokesperson Karen Aylward. Rather, that number came from the original posting of the receivership of Wolf Creek Resort Ltd. and the Notice and Statement of the Receiver.