Mount Washington Freehold Information

IMPORTANT UPDATE - Mount Washington Announces

Registration for the second phase of the Mount Washington Freehold program begins in October 2011. The offering is open from Saturday, October 1st until Monday, October 31st, with no limit on the number of registrants. Early or late registration will not be accepted.

Please note that this was a voluntary program for existing sub-leaseholders, offered at the discretion of Mount Washington Ski Resort Ltd (MWSR). Under the existing agreement, there is no obligation to sell freehold title to existing sub-leaseholders. The intention of this program was to provide a choice for those individuals wishing to acquire the freehold interest in their properties.

BACKGROUND

Starting in late 2010, Mount Washington Ski Resort (MWSR) began determining the viability of converting existing sub-lease properties to freehold (fee simple) interest.

Until last year, every MWSR property "“owner" was in fact the holder of a long-term sub-lease, set to expire in 2078.* At its own expense, MWSR determined the process of converting sub-leases to freehold.

In December 2010, the introductory round of freehold purchase began. Over 200 units were registered. The end result is that fully a third of all units at Mount Washington are now freehold.

BENEFITS

There are many benefits to purchasing freehold title to a property. Simply put: a lease expires, while freehold is forever. There are also legal and financial complications associated with subleasehold properties.

Legally, it is complicated dealing with the transfer of sub-leasehold property compared to freehold. Furthermore, many lenders are unwilling to finance leasehold interests as they steadily depreciate over time. Prospective or current sub-leaseholders may face difficulty in negotiating a loan or mortgage for their property.

On the other hand, those sub-leaseholders who convert to freehold are likely to realize a marked increase in their long-term property value. Freehold ownership is a valuable asset, and is anticipated to further appreciate as MWSR Ltd. Develops. The increased value of freehold title relative to sub-leasehold can be significant, according to a valuation report commissioned in 2010

Freehold ownership of future developments is necessary for the ongoing growth and sustainability of Mount Washington Ski Resort. Developers are far more inclined to build on freehold land than leasehold property, and any new real estate offerings by MWSR Ltd. will be solely on this basis.

Throughout October of 2011, existing sub-leaseholders have one more opportunity to purchase freehold and invest in the long-term future of their recreational real estate property at Mount Washington.

For documents and more information, please visit www.mountwashingtonfreehold.ca, or contact Freehold Sales Consultant Anya Macleod by email at This e-mail address is being protected from spambots. You need JavaScript enabled to view it or phone 250-702-5564.