Business and Organization

12 Months Ended

Dec. 31, 2016

Accounting Policies [Abstract]

Business and Organization

Business and Organization

CNL Lifestyle Properties, Inc. (the “Company”), was organized in Maryland on August 11, 2003. The Company believes it has operated and has elected to be taxed as a real estate investment trust (a “REIT”) for federal income tax. In November 2016, the Company determined it needed to accrue a provision for income tax in connection with retaining its REIT status, as described further in Note 2, "Significant Accounting Policies." The Company generally invested in lifestyle properties in the United States that were primarily leased on a long-term (generally five to 20 years, plus multiple renewal options), triple-net or gross basis to tenants or operators that the Company considered to be industry leading. As a result of tenant defaults, the Company engaged third-party managers to operate properties on its behalf until the point in time that the properties are re-leased. The Company engaged CNL Lifestyle Advisor Corporation (the “Advisor”) as its advisor to provide management, disposition, advisory and administrative services.

In March 2014, the Company engaged Jefferies LLC (“Jefferies”), a leading global investment banking and advisory firm, to assist the Company’s management and its board of directors in actively evaluating various strategic alternatives to provide liquidity to the Company’s stockholders. In connection with this process, between 2014 and 2016, the Company sold 118 properties and used the net sales proceeds from the sale of these properties to repay indebtedness and also provided stockholders with partial liquidity when it made special distributions to stockholders during 2015 and 2016. As of December 31, 2016, the Company owned 36 lifestyle properties within the following asset classes: ski and mountain lifestyle and attractions.

In November 2016, the Company entered into a purchase and sale agreement for the sale of its remaining 36 properties (the "Sale Agreement") for approximately $830.0 million. In connection with the transaction contemplated by the Sale Agreement, in November 2016, the board of directors approved a plan of liquidation and dissolution ("Plan of Dissolution").

In January 2017, the Company mailed a proxy statement to its stockholders requesting approval of, and at the March 24, 2017 stockholders’ meeting, the stockholders approved the sale of the Company’s remaining 36 properties pursuant to the Sale Agreement. The stockholders also approved the Plan of Dissolution, including the complete liquidation and dissolution of the Company following the closing of the sale of its remaining assets.  Refer to Note 17, "Subsequent Events" for additional information.