CNL extends deadline for EAGLE rent payments

CNL Lifestyle Properties has extended
for a third time the deadline for EAGLE Golf to come up with a
solution to a shortfall on rent payments for 43 golf courses leased
by the Texas-based operator.

CNL has deferred portions of the $37.6
million in annual rent owed by EAGLE since June. In a Nov. 4 filing
with the Securities and Exchange Commission, CNL disclosed that it
has given EAGLE and its ownership entity, Premier Golf Management,
until Nov. 29 to find an investor or operating partner that can
either help bring existing lease payments current or take over
operation of some of the CNL-owned courses.

EAGLE's failure to make the its
payments stems from last November's blockbuster purchase of 42
American Golf Corp. properties and leases by CNL Income Properties
(now CNL Lifestyle Properties) and EAGLE Golf.

EAGLE has so far been unable to
generate sufficient revenue from its 81- property portfolio of owned
or managed courses to meet rent obligations on the 43 CNL properties.

"We are exploring with EAGLE
alternatives for other operators for some of the existing leases,
although not all," said Rudy Anderson, managing director of CNL
Lifestyle Co..

Joe Munsch, expressed optimism that the
situation with the CNL courses will be resolved successfully.

"We're obviously working things out
with CNL, but I think it will have a positive ending," Munsch said.
"We're working with CNL to find the best solution for them and
for us.

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