Intrawest forms financial partnership to own, manage resort village commercial properties ALL DOLLAR AMOUNTS ARE IN U.S. CURRENCY VANCOUVER, Aug. 12 /PRNewswire-FirstCall/ -- Intrawest Corporation, the world's leading operator and developer of village-centered resorts, announced today that it intends to form a partnership with CNL Income Properties, Inc., a real estate investment trust (REIT), under which CNL Income Properties will acquire an 80 per cent interest in commercial properties at nine Intrawest resort villages. These commercial properties have a total value of $160 million. As part of the venture formation agreement signed yesterday, Intrawest will continue in its role as property and leasing manager of all of the retail and commercial space involved. While tenant groups vary based on location, the commercial component of Intrawest's villages typically includes restaurants, retail and specialty shops. Resort lodging is not included. A conference call is scheduled for Thursday, August 12, 2004 at 9:30 am ET (8:30 am CT, 6:30 am PT) to discuss this transaction. The call will be webcast live on Intrawest's Web site at http://www.intrawest.com/. Access to the call can also be obtained by calling 1-888-458-1598 (media and retail investors) and 1-888-202-2787 (analysts and institutional investors), using the access code 88228 followed by the number sign, before the scheduled start time. A playback version of the conference call will be available until August 19, 2004 at 1-877-653-0545. The password to access the playback version is 242418. "Creation of this partnership is another significant step in our transition to a management-intensive structure from a more capital-intensive one," said Joe Houssian, chairman, president and chief executive officer of Intrawest. "This transaction will provide a significant recovery of capital as well as a partnership for future commercial development. "This is a winning arrangement for both parties," said Houssian. "Our commercial properties are a natural fit for CNL Income Properties, and Intrawest maintains its relationship with the retail and commercial tenants whose presence forms an important part of our resort guests' experiences." Orlando-based CNL Income Properties invests in income-producing real estate with an emphasis on recreation and lifestyle segments, such as golf resorts, marinas, vacation ownership, and ski resorts and adjacent property. The Intrawest commercial property portfolio will be CNL Income Properties' first acquisition. "This partnership is ideal for the lifestyle investment objectives of this REIT," said CNL Income Properties President Byron Carlock. "The properties are in excellent locations and have marked opportunity for growth, and Intrawest is a recognized leader in its field." The agreement currently includes commercial properties at nine Intrawest resort villages: - Whistler Creekside at Whistler Blackcomb, Whistler, British Columbia - Village of Baytowne Wharf at Sandestin Golf and Beach Resort, Destin, Florida - Village at Squaw Valley USA, Lake Tahoe, California - Village at Mammoth Mountain, Mammoth Lakes, California - Village at Copper Mountain, Copper, Colorado - MonteLago Village at Lake Las Vegas Resort, Las Vegas, Nevada - Village at Blue Mountain, Collingwood, Ontario - Village at Snowshoe Mountain, Snowshoe, West Virginia - Village at Stratton, Stratton, Vermont The completion of the transaction is subject to a number of conditions, including finalizing the financing, settling and executing definitive documentation, completion of due diligence, and customary closing conditions. The transaction is scheduled to close before the end of December 2004. There are no assurances that all of the closing conditions will be satisfied or that CNL Income Properties will acquire these properties. Intrawest Corporation (IDR:NYSE; ITW:TSX) is the world's leading developer and operator of village-centered resorts. Intrawest owns or controls 10 mountain resorts in North America's most popular mountain destinations, including Whistler Blackcomb, a host venue for the 2010 Winter Olympic Games. The company also owns Sandestin Golf and Beach Resort in Florida and has a premier vacation ownership business, Club Intrawest. Intrawest is developing an additional six resort villages at locations in North America and Europe. The company has a 45 per cent interest in Alpine Helicopters Ltd., owner of Canadian Mountain Holidays, the largest heli-skiing operation in the world. Intrawest is headquartered in Vancouver, British Columbia. For more information visit http://www.intrawest.com/. Statements contained in this release that are not historical facts are forward-looking statements that involve risks and uncertainties. The closing of the transaction contemplated by this release is conditioned upon a number of factors, many of which are outside of Intrawest's control. There is no assurance that the transaction will be completed at all or upon the same terms and conditions described above. Intrawest's actual results could differ materially from those expressed or implied by forward-looking statements. Other factors that could cause or contribute to such differences include, but are not limited to, Intrawest's ability to implement its business strategies, seasonality, weather conditions, competition, general economic conditions, currency fluctuations and other risks detailed in the company's filings with the Canadian securities regulatory authorities and the U.S. Securities and Exchange Commission. For information contact: John Currie Chief Financial Officer Intrawest Corporation (604) 669-9777 Carolyn B. Gosselin, APR CNL Chief Communications Officer (407) 540-2505 If you would like to receive future Intrawest news releases by email, please contact DATASOURCE: Intrawest Corporation CONTACT: John Currie, Chief Financial Officer, Intrawest Corporation, (604) 669-9777; Carolyn B. Gosselin, APR, CNL Chief Communications Officer, (407) 540-2505; To request a free copy of this organization's annual report, please go to http://www.newswire.ca/ and click on reports@cnw.

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