Tom Gaglardi talks about his Revelstoke investment and his love of the Dallas Stars

Tom Gaglardi (right) checks out Revelstoke Mountain Resort in this Globe and Mail photo. —

Photo courtesy the Globe and Mail

I recently came across two articles on B.C. businessman Tom Gaglardi—one in the Dallas Morning News and the other in the Revelstoke Times Review. There is an interesting contrast between the two articles. Gaglardi and his family own both the Dallas Stars hockey team and the Revelstoke Mountain Resort.

Dallas News: Gaglardi acts like a kid who just bought the candy store when he talks about owning the Dallas Stars. A $267 million candy store. "I think I’m going to have so much fun with that franchise for the rest of my life.  I’ve made it very clear that I don’t plan to make my living owning the Dallas Stars. But I know very well that if we make the right decisions on and off the ice and run our business properly, it’ll work out just fine. Even with the surge in attendance (+31%), the Stars are expected to lose $30 million this season after losing $91.5 million in the previous three."

Revelstoke Times Review: (Gaglardi) is the owner of Revelstoke Mountain Resort, having acquired it in late 2008 when they transitioned from minority lender to the project to the management group. We are spending over $300 million dollars, and half that on the real estate product, and 63 per cent of it’s unsold. We haven’t slashed prices; we haven’t done anything to hurt the market value…I don’t know anybody else who’d have the staying power and that type of ability to say, “We’re in it for the long run.” I think that RMR I wouldn’t call a core holding for us, because we’re not in that business particularly.  I think out of necessity, you have to take a long-term view of it.  Galgardi underscores the financial commitment Northland has made to the city and the resort….$300 million in investment to date and a $17.5 million staff payroll last year alone.

Dallas News: As president of Northland Properties, Gaglardi runs a family-owned company with more than $2.5 billion in assets. Northland owns four restaurant chains (Moxie’s, Rockford, The Chop Steakhouse and Shark Club), has 49 Denny’s franchise units, and it the largest family-owned hotel company in Canada with 8,000 rooms (Sandman, Sandman Signature and most recently Sutton Place Hotels).

Revelstoke Times Review: We’ve got to figure out how to get a Dash 8 in and out of there everyday (Revelstoke).   The highway, it killed us last year with closures—163 over 60 days.  It’s absolutely brutal. I don’t think the resort would be there (without Northland’s significant investment)—I know it wouldn’t be there. The lift company would have come and claimed its lifts, taken them away and we’d be sitting on nothing. There is no promise of summer operations (aka a new golf course); instead the focus is on consolidation of the winter product and long-term planning—with fingers crossed for a real estate turnaround.

Dallas News: So far Gaglardi is in love with Dallas—and not just from an investment side. He says he can’t believe the warm reception he’s received. Beautiful place, wonderful people.

Revelstoke Times Review: "I’ve got to tell you. With what we’ve done for that community (Revelstoke) to have the frustrations of dealing with the city and the demands they’ve put on us.  It is really, frankly disheartening.  It’s one of the biggest challenges we have."