Perkins Coie Closes $1.4 Billion Deal for Client KSL Capital

CHICAGO (December 28, 2006) – A team of Perkins Coie attorneys successfully closed a $1.4 billion CMBS/mezz financing on behalf of KSL Capital Partners in connection with an acquisition by a KSL-sponsored acquisition of ClubCorp, Inc. ClubCorp, Inc. owns or operates approximately 100 golf courses, 60 business clubs as well as the Barton Creek and Homestead Resorts.

The transaction involved the restructuring of the ownership of approximately 170 golf courses, business clubs and two resorts. The mortgage financing is secured by mortgages on 61 of the company's golf courses as well as its two resorts and the mezzanine financing is secured by a pledge of equity in connection with a large number of business clubs and golf courses.

The Perkins Coie team began working on the transaction in mid-September when KSL Capital Partners (KSL), a leading private equity firm with $1 billion of committed capital in the resort and leisure industry, announced that it had entered into an agreement to acquire ClubCorp, Inc., the world leader in delivering premier golf, private club, and resort experiences.

Among ClubCorp’s nationally recognized resort and golf properties are Barton Creek Resort & Spa in Austin, Texas (site of two Canadian Tour events), and The Homestead in Hot Springs, Virginia (America’s first resort founded in 1766); Firestone Country Club in Akron, Ohio (site of the World Golf Championships – Bridgestone Invitational), and Mission Hills Country Club in Rancho Mirage, California (home of the Kraft Nabisco Championship). The more than 60 business clubs and business and sports clubs include the Boston College Club, City Club on Bunker Hill in Los Angeles, Columbia Tower Club in Seattle, Metropolitan Club in Chicago, and the City Club of Washington, DTC.

Citigroup Corporate and Investment Banking acted as MOA advisor, and Simpson Thatcher & Bartlett LLP acted as MOA legal advisor to KSL. Perkins Coie LLP served as lead finance counsel and Brownstein Hyatt & Farber, P.C. represented KSL in connection with real estate matters related to the acquisition. Citigroup Global Markets Realty Corp. led the financing for the acquisition.

The Perkins Coie team involved in the transaction was led by Bruce Bonjour of the Chicago office and included attorneys in its Chicago, Seattle, Washington, DC, Phoenix, Portland and San Francisco offices.