Billionaire Picks Up Frederica Development
The Frederica Club on St. Simons Island has an equestrian center, a freshwater lake of more than 300 acres and one of the top golf courses in the world. Homesites available in the development start at just under $1 million.
The announcement comes days before Sea Island's other remaining assets including the Cloister hotel, Sea Island Beach Club and four golf courses head up to auction on Monday. Oaktree Capital Management and Avenue Capital Group have offered a $197.5 million "stalking horse bid." They are expected to face competition from a partnership between billionaire Philip Anschutz's Anschutz Corp. and an affiliate of Starwood Capital Group. The majority of the proceeds are to go to the company's lenders.
Most of the proceeds from the sale are earmarked for the company's lenders. Sea Island, located in St. Simons Island, Georgia filed for bankruptcy protection in August with more than $500 million in debt, much of it related to the massive renovation and expansion of the resort in 2006 and 2007. The company has been owned for six decades by the family of William "Bill" Jones III.