"Cold Wars Update" Topic

Just got the following:

The HMGS Board of Directors (the "BoD"), would like to provide another update on the recent auction and potential sale of the Lancaster Host Resort (the "Host").

The Auction:

As was previously communicated, on December 3, 2015 it was announced that the Host was listed for auction. The auction started on December 14, 2015 and ended on December 16, 2015. Through several sources, the BoD had learned that at least six parties were interested in buying the Host. We further found that several of these buyers had the intention of redeveloping the site to focus on a shopping center, while others were interested in renovating the existing hotel structure. The bidding opened at $2.7 USD million, but there was an undisclosed minimum sale price which also needed to be met. We learned that this minimum price was $9.1 USD million. Bidding on the Host was sporadic until the last hour which saw the price rise to $8.3 USD million. At that point, Milestone Hospitality, the owner of the Host, saw that the minimum price would not be met and concluded the auction without a sale.

Therefore, as of right now, the Host has NOT been sold.

Our Actions:

When the BoD learned of the auction, we made preparations in case a sale was completed. To this end, we stepped up our efforts to find a viable alternative site to the Host. We called each of the alternative venues on our short list to find out if they had any available convention dates in March or April 2016. Several still had open dates and could accommodate us. In addition, some venues extended a courtesy by waiving the normal deposit and have marked us in their calendar. However, if another party wanted to book the venue, we would have to commit with a deposit or lose the date. It basically just gives us a head's up or right of first refusal.

What's Next:

Although the auction did not result in a sale, Milestone Hospitality is still trying to negotiate a deal with two of the potential buyers. These negotiations could take days or weeks. They can be successful or unsuccessful. While we do not know the buyers at this point, we have been informed that they are the ones who were interested in renovating the hotel. We were also contacted by the management of the Host this morning to confirm that as of right now, the hotel is still operating.

We have also reached out to Milestone Hospitality to see if there is a possibility of amending our contracts to give us some additional options in case a sale is still made. We have yet to receive a response, but will continue our efforts.

I would have liked to report some concrete results at this point, but there is still some uncertainty. As this is the case, until we learn otherwise, Cold Wars 2016 is still on schedule to be held at the Host. We will have another update to the membership as soon as any new relevant information is received.

Respectfully,

John Spiess
Director of Communications
HMGS, Inc.

Great job John!!!
Regards
Russ Dunaway

I received the email as well and however this works out, John, you and the Board are doing as good a job of communicating as I've seen since joining HMGS.

Thank you.

Thanks for the update!

Hopefully there'll be a conclusion soon, and planning can continue accordingly.

An e-mail was sent ? Never received it.

I did.

Looks like an e-mail was sent to members of the Yahoo group. The announcement was also posted to the HMGS ym site.

Thanks muchly to John, Paul, and company for the updates.

Scott

I got the email, and am not a member of the HMGS Yahoo Group. Maybe because I'm a Cold Wars GM?

A very nicely done, timely, and much appreciated update on the situation! Well done!

+1 to the comments by Russ D. and McKinstry.

Thanks again, John.

To you and the entire HMGS BOD: keep up the good work.

P.S.--Just a reminder to all GMs that today is the last day to send in games for the Cold Wars PEL deadline.

Be optimistic and send in some games.

The HAWKs plan to have their full slate of games submitted for the PEL

I got the email, I assume because my email is part of my registration profile with HMGS. If I joined the Yahoo group, it would have been in 2006 and I have never looked at it since.

If there are to be new owners of the Host in the next few/several weeks I wonder if they, or the current owners, will be required to correct and/or repair the numerous building and fire code violations currently on file with the city/county of Lancaster before they can complete the sale, re-open, continue operations, or obtain the new operating license for the hotel?

Much like when you buy a pre-owned home, and have a home inspection certain things that need repair must be done before closing, or the buyer has an out of the deal, or signs a waiver. I'm sure the rules/laws for businesses may be different, so I don't know how that works.

I only wonder because last year, or so when the current owners were trying to justify having the property taxes reduced I did some digging after reading some of their justifications in the local paper. At that time there was a fairly long list of violations, and recommendations for immediate repairs prior to re-inspection.

So I guess the main question is, if there is a sale will the new owners need to temporarily close to make any required repairs, or will they be allowed to keep the place open while repairs are made?

Well, I've been on the Yahoo group and am on the YM group
but no e-mail…

A few people notified me of the same issue. The list comes from the contact e-mails on file in the YM website. I sent Paul a note with the names so we can get it sorted out. Thanks,

John Spiess
HMGS Director of Communications

I wonder if the Gm registration is down?
If there is a Cold Wars, I expect to be there.

Received the e-mail just after midnight.

Thanks, John and Paul for excellent response !

Excellent communication. Thank you to all on the HMGS BOD. We obviously elected people with the "Right Stuff".

Interesting article about the Host in today's Lancaster newspaper………….

link

Well that article helps explain why the big money developers out of New York and Jersey had no interest in the property!

Yep, this map explains a lot with the zoning issues:

Let's assume for the moment that somehow, someway the Host continues to limp along…does anyone really have any confidence that conditions for CW would be anything but miserable? I understand as long as they pretend they are still in business we have a contract to honor but what will those conditions be like? I'm as interested as anyone in seeing that there is a CW16 but I will have to seriously rethink my attendance if it's the Host with this cloud hanging over the convention.

There's been a lot of talk about how attendance would fall off if the convention were moved to the FCC but other than the day trip attendees who don't have to worry about staying at the Host I suspect there would be a significant drop in regular attendees who are skeptical that the Host will be anything other than a dumpster fire (perhaps literally and figuratively).

The Host property is a white elephant. 160 acres but only 45 are commercially zoned. I wonder if the golf course will still qualify under the new zoning change to agricultural? Point being, a new owner would have problems selling the other 115 acres off, but are still on the hook to pay taxes on it. The land might be liable for more taxes if it isn't farmed as many states have tax breaks for land used for farming.

I wonder why the property owners wouldn't be able to apply to have it rezoned? That happens all the time. Perhaps the township is worried about over commercializing Lancaster. LOL

If the Host manages to stay open for Cold Wars I will be there. Not crying about the condition since I'm tough enough to take it since I was active military for 4 years during the Vietnam War. I know some folks around here have a rough time handling a little discomfort by seeing a leaky ceiling or reading about some failed test in the kitchen which most restaurants go through.
The Host will prove to have been one of the best and reasonable location for our type of venue. It will be hard to match in the future.
I will be there because I'm not looking for luxury or a family vacation but a clean place to sleep so I can enjoy my friends,the vendors and gaming….

Well said LVG

Well stated LVG! Too many that post here have agendas that are obvious. The Host has been the scene for many fun conventions for me. I have a lot of great memories of enjoyable games and fun times with fellow gamers and friends. It will be difficult to match the venue.

I'll join the folk sticking by the Host. Yeah, it's a little run down, but heck, so are we! :) It seems a very good match for what we do. I've been to quite a few convention sites and none of them have been markedly superior to the Host.

I feel badly for the BOD, what a situation they have to sort out.

If they stick with the Host, is there any guarantee they won't pull the rug out from under us at the last minute?

If they move the convention this late in the game, that presents another batch of problems.

I've taken shots at the Host in the past, not going to lie, but as others have said, it suits our needs pretty well all things considered.

Hoping against hope it stays in business and if it is sold, the new owners keep it open.

Regardless of how it shakes out, I wish the BOD all the best; as a vendor, I'm with them and will go wherever Cold Wars and all futures conventions are held.

Let's all hang in there together and hope for the best.

I agree the Host is fine, despite the immense whining about its condition. However, there has to be a point when the BoD forces the issue and cuts bait. They can't watch their alternate venues disappear only to have the Host cancel at the last minute.

"I wonder why the property owners wouldn't be able to apply to have it rezoned? That happens all the time. Perhaps the township is worried about over commercializing Lancaster. LOL"

It would appear from the map that the golf course is the portion of the property that is zoned rural…depending on the zoning code that might be the only category that use may have fit into…that zone may be the only one that allows for the application of fertilizer, it might be exempted from watershed regulations, if they have any, or most importantly I suspect that zoning classification allows them a very low tax assessment and tax rate. Any or all may apply.

The newspaper piece quoted a town official who said that it would be a waste of time to try and rezone. Ain't gonna happen.

I posted a link on their tax battles from a few years ago.

This from 2012:

"Likewise, Hospitality Associates wants the value of its 173-acre property on Lincoln Highway East – assessed at $17.5 USD million – lowered to less than $11 USD million.

If it wins the appeal, the resort owner's annual property tax bill would fall from $338,000 USD to $212,000 USD, a drop of 37 percent."

Spot on CD. What the staff and attendees need now is certainty to allow planning.

My guess is that the seller wants to close out before the end of the year, but I have no idea what time table a buyer would be following.

Maybe it's just me, but I can't see any good waiting for the resolution of the Host situation because at best you end up with a crippled facility any way you look at it.

I also can't imagine people who work there not urgently looking for other jobs as well.

I have made my reservations for Cold Wars, at another hotel within walking distance of the Host. This Fall-In, after coming home from previous conventions with a serious upper respiratory infection and sinus infection, I made the decision to stay at another hotel within walking distance, as I have an extreme mold allergy that has just gotten worse over the years. I am happy to report that I returned home healthy and got some exercise as well walking to and from the Host. This is not a knock against the Host. It's just a statement of fact that applies to me.

I for one like the Host. The venue itself may be old but I find the amount of space available nice and the carpeting is great to have (even if it is ugly).

As I have said in other threads, I don't stay at the Host, more because of not having reserved parking for hotel guests. I have heard about the various issues and figure that if it is that bad, I can just stay at the other hotels in the area.

I also don't eat there. I would rather save the money and go somewhere off site to eat than spend the cost of food at the Host.