NEW YORK — Last month, Millennium Partners completed its $80 million purchase of five of the Sports Club Co.'s clubs. Millennium Partners is a real-estate developer and the company's largest shareholder.
Sports Club Co. received $50 million in cash from the sale (before transaction related costs) and two notes from Millennium for the remaining $30 million, the first note of which was due Jan. 31. Concurrent with the sale, Sports Club Co. completed a $60 million financing of the Sports Club/LA — Los Angeles property. Proceeds from these transactions were used to retire the company's $100 million senior secured notes that were due to mature in March.