Land & Buildings Issues Letter to Six Flags Entertainment Corporation (FUN)

M.Cap: $2.1 billion |Six Flags Entertainment Corporation owns and operates regional theme and water parks under the Six Flags name.

Land & Buildings Investment Management

On December 21, 2022, Land & Buildings Investment Management (3%) issued a presentation detailing why it believes the Company is significantly undervalued and how Six Flags could unlock substantial value by executing a strategy to monetize its real estate while driving an operational turnaround. Key takeaways from the presentation include: (i) Six Flags could add $11 per share today by unlocking its real estate value, (ii) The Company is poised for an operational rebound, (iii) There are clear precedents for monetizing Six Flags’ real estate, (iv) There are attractive partners for sale-leaseback transactions, (v) Land & Buildings is optimistic that discussions with management can remain constructive.

On September 26, 2025, Land & Buildings Investment Management issued a public letter urging the company to unlock substantial trapped value in its real estate by monetizing these assets through a REIT spin-out or sale, potentially attracting multiple bidders and valuing the real estate up to $6 billion. This approach, combined with driving an operational turnaround post-merger with Cedar Fair, could deliver immediate significant upside—estimated at over 75%—to the current depressed share price. Land & Buildings highlights that spinning off a REIT would allow shareholders to capture value while preserving operational growth upside and suggests evaluating sales of non-core parks as well. With the company’s stock down over 50% due to merger integration issues and poor weather, the proposal presents a clear path to realize fair value after years of underperformance.

H Partners

On January 16, 2020, H Partners (6.51%) stated that it is concerned by the recent deterioration in the company’s operational and stock price performance. To address these concerns, H Partners have engaged in discussions with the Board regarding suggestions aimed at improving the governance of the company, including the addition of a representative of H Partners to the Board. Source

On January 30, 2020, H Partners entered into a Cooperation Agreement with the company regarding the membership and composition of the Board. Pursuant to the Cooperation Agreement, the company appointed Arik Ruchim to the Board as a director, and Mr. Ruchim was appointed to the Nominating and Corporate Governance Committee and the Compensation Committee of the Board. The company also committed to appoint three additional independent directors to the Board. H Partners will be permitted to present to the Board a list of up to eight candidates who are not affiliates or representatives of H Partners for consideration for appointment to the Board as a New Independent Appointee.