Creditors have given the owners of Reynolds Plantation an April deadline to come up with 30-million dollars. Now officials with the exclusive vacation community on Lake Oconee will sell golf courses, clubhouses, and marinas to raise the funds.
Reynolds Properties hopes to sell the assets to their 3,500 property owners or to a private investor.
Reynold’s series of high-end gated communities includes 90 miles of Lake Oconee lakefront. It is a significant tax resource for Green and Putnam counties.
CEO Dan DuPree says despite the upcoming credit deadline, Reynolds Plantation is weathering the recession:
“I mean the good news is that even on this loan, our loan to value is under 60%, which means that relative to other folks we’re under-levered.”
DuPree says property values are off 10 – 15% but the company sold $30 million worth of company-owned land in 2010.
He adds that while the recession has bankrupted other high-end vacation properties such as Sea Island Co. and Country Club of the South, Reynolds Plantation is still growing:
“We expect to continue building additional amenities into the future.”
DuPree says the April deadline comes with a debt extension, which makes property values more secure.