Breckenridge Real Estate

USA Pro Cycling Challenge comes to Breckenridge

2011-08-22T09:34:00.000-07:00

On August 27th, 2011, Breckenridge will be host to some of the best cyclists in the world as the USA Pro Cycling Challenge ends it's 105 mile trek from Steamboat Springs. This might possibly become the most watched sporting event in US history as over 500 miles of Colorado highways will become virtual grandstands for cycling and sports enthusiasts.

The race will take place in six stages: 1. From Salida to Crested Butte, 2. from Gunnison to Aspen, 3. Vail time trials, 4. from Avon to Steamboat Springs, 5. from Steamboat Springs to Breckenridge, and 6. from Golden to Denver.

The town of Breckenridge is sure to receive quite a lot of national media coverage, which will surely improve Breckenridge's already world-class position among resort areas.

Breckenridge Records Record Annual Snowfall

2011-04-22T10:22:00.000-07:00

This article is from the Denver Post, April 22, 2011, reported by Tom McGhee.

Breckenridge resort broke a seasonal snowfall record Thursday, while Vail has broken a 10-year mark and will probably reach an unofficial all-time high before the week is out.

As of Thursday afternoon, 502 inches of snow had fallen on Vail Mountain this season, making it the best snow year in at least 10 years and maybe longer.

By the time the resort closes Sunday, the total could blow away a record set higher up the mountain, where the resort measured snow during its first 39 years — 505 inches during the 1977-78 season.

With more snow expected overnight, Vail skiers could find another 3 inches this morning. There is a chance of snow showers today and again Saturday, according to the National Weather Service.

The resort's previous record set mid-mountain was 458 inches during the 2007-08 ski season.

The snowfall record at Breckenridge crumbled Thursday morning, when the resort reported 507 inches, with more snow expected through the weekend.

The previous record at Breckenridge was 504 inches in 1995-96, said Amy Kemp, a spokeswoman for Vail Resorts, which owns and operates Vail, Beaver Creek, Breckenridge and Keystone.

The snow that has buried Colorado's mountains this year is the result of a La Niña weather pattern, said Matthew Aleksa, a meteorologist with the National Weather Service in Grand Junction.

Snowpacks are near or above average in all but the Upper Rio Grande Basin, which was at 78 percent of average, and the combined San Juan, Animas, Dolores and San Miguel basins, at 89 percent of average.

Barry Smith, emergency-management director for Eagle County, said flooding is always a possibility when warm weather arrives.

"We will be monitoring stream flows like we always do and be prepared to deal with any issues that come up," he said.

Tom McGhee: 303-954-1671 or tmcghee@denverpost.com

Weekly Real Estate Update: March 13, 2011

2011-03-14T10:47:00.000-07:00

Week of March 13, 2011:How’s the market?

Active Listings Down 12%

The inventory is lower than last year by 192 or buyers have 12% fewer listings to
take into consideration. Today we have 1,371 active residential Summit County listings and last
March 15^th we had 1,563.

Sold YTD: Up 8.7%

Through March 13^th in Summit County there have been 137
residential listings that have sold resulting in an 8.7% increase in the number
sold as compared to 2010 through March 13^th. Last year at this time
we were 26% ahead of 2009. The sales in 2011 started off with a bang and lately,
notice the NUCs on the graph located on the 2011 Real Estate Weekly, we are
coming in just under 09’s weekly NUCs (new under contracts).

Average Sold Price Down 6.4%

Through March 13^th our Summit County residential average
sold price is $497,995 and last year (through March 13^th) it was
$532,125 resulting in a 6.4% decrease.

Average Active Prices (!)

The average list price of all Summit County residential active
listings is $730,737 and the average list price of all the listings that are
under contract is $604,456.

How’d our market do this past week?

New Listings: Up

We had 64 new this past week and in 2010 for the same week we had 50 and in 2009
we had 92.

NUCs Up

We had 20 this past week and in 2010 we had 17 and 2009 we had 7.

Sold Listings: Down

We had 10 sell this past week and in 2010 we had 11 and in 2009 we had 11.

Showings: Up

Still up company wide and even if we remove associates that were not with us last
year at this time the number of showings are up about 10%. Actual activity year to
date for showings is about the same as last year or a bit less yet the number
of RE/MAX listings that have sold or gone under contract this year so far is
127% greater in 2011 than it was in 2010! The average number of showings a property is
shown before it is sold this year is at 21.81 and last year it was at 28.18. Another point is
the average list price of the RE/MAX listings that have been shown and sold
this year is at $433,375 and last year for the same time period that average
was $540,100 – a definite change in where the buyers are looking and buying.

Weekly Update

New school superintendent for Summit County

2011-03-14T09:59:00.000-07:00

This article is from the Summit Daily News, March 10, 2011, reported by Kathryn Corazzelli and Janice Kurbjun.

The search for a superintendent of Summit School District culminated Tuesday night with the selection of Dr. Heidi Pace, currently the deputy superintendent of Academy School District 20 in Colorado Springs.

“She brings a wealth of knowledge and leadership from that district,” said school board president Jon Kreamelmeyer.

The vote followed two site visits conducted for finalists Pace and Kerry Buhler, currently principal at Upper Blue Elementary School in Breckenridge.

“Both candidates are top-notch, talented administrators with a strong commitment to kids. I want to emphasize that Kerry Buhler is an amazing lady. This was a very difficult decision for all of us,” Kreamelmeyer said.

“This process has brought to light Kerry's amazing accomplishments, dedication and leadership. Kerry Buhler is no longer the best-kept secret in this district,” said board member Margaret Carlson.

Contract negotiations are next, and Pace will start her new position in July.

“I'm very excited,” Pace said. “Summit County is a great match for my background and experiences, and everyone I've met there has been just wonderful. I can't wait.”

A long resume

Originally from Chicago, Pace holds a bachelor of arts in history and a master's in elementary education from Colorado College. She earned her Ph.D. in leadership and public policy at the University of Denver.

Pace has worked in the Academy District 20 for 26 years, where she has held a broad range of positions. She started out as a teacher, and has since worked as director of human resources, assistant principal and principal. She said she has held a leadership role in virtually every department in District 20's central office, and has worked on initiatives similar to those the Summit County School District is currently working toward — like the International Baccalaureate program. A few of her recent
responsibilities have included oversight of district math and reading initiatives, the expansion of language immersion programs and development of a principal supervision program and Leadership Academy for principals, management of district and school strategic planning.

Pace said when she had the opportunity to tour Summit County schools, she was impressed not only by the leadership within the schools, but with the students.

“They were polite, they were articulate, they seemed happy to be there, and had genuinely good character,” she said. “It was very impressive to me, and I thought this would be a great team to join.”

Solar Panels get first not from Breckenridge town council

2011-03-14T09:58:00.000-07:00

This article is from the Summit Daily News, Marc 10, 2011, reported by Caddie Nath.

Solar arrays at Riverwalk Center a hot topic for community.

BRECKENRIDGE — The Breckenridge Town Council gave initial approval on a proposed set of solar panels to be located at the Riverwalk Center along Park Avenue in a 5-2 decision at Tuesday's work session.

The 18-foot arrays would save Breckenridge thousands of dollars a year on energy costs, but their potential visual impact on the historic town has raised concerns for many.

“We decided to move forward and send it to planning,” Councilman Jeffrey Bergeron said. “The savings are substantial and there's no outlying expense for the town. There is an aesthetic cost to these (solar panels), but beauty's in the eye of the beholder.”

The project — which would include the installation of 10 stand-alone solar arrays along the outside of the Riverwalk Center parking lot as well as several other locations around town — will be reviewed next by the Breckenridge planning commission. Bergeron said the aesthetics of the panels will be addressed during the planning process, and the public will have an opportunity to comment on the arrays before the proposal comes back to the town council for a final decision.

The proposed solar installations at the Riverwalk Center are expected to generate approximately 23 percent of the building's total power annually, saving the town an estimated $6,700 in energy costs in the first year and reducing the building's carbon output by about 83 metric tons annually.

But councilman Mark Burke, who opposed the arrays proposed for the Riverwalk Center, said the green initiative is not worth damaging the carefully preserved historic look of Breckenridge.

“I am a big supporter of solar panels, but I think the place needs to be appropriate,” Burke said. “Councils long before me have created codes to maintain the historic beauty of Breckenridge. Solar panels will never be historical.”

Reactions from the community have been mixed, but many in Breckenridge say they are opposed to the idea of having the arrays in the heart of downtown.

Peyton Rogers, who works for Great Western Lodging in Breckenridge, said she often suggests the Riverwalk Center as a scenic location for weddings and events to her guests. She said the panels would ruin the vistas from the lawn — where her own wedding photos were taken.

“I just think the town should hold off at this point,” Rogers said. “Instead of possibly deterring guests and visitors from going in to use the Riverwalk Center because of the aesthetically unpleasant look of it.”

Colorado Mountain College gets closer to offering 4-year degrees

2011-03-14T09:56:00.000-07:00

This article is from Summit Daily News, Marc 11, 2011, reported by Kathryn Corazzelli.

Final decision for approval may come in late March.

Colorado Mountain College is making progress in its quest to offer bachelor's degrees. Late last week, the Colorado Commission on Higher Education gave CMC preliminary authorization to offer two degrees: a bachelor of science in business administration and a bachelor of arts in sustainability studies. The college is awaiting approval from the Higher Learning Commission before the
degrees can be made official.

Dr. Stan Jensen, CMC president, said the idea to offer four-year degrees started about a year-and-a-half ago. Administrators at the college started talking to the community to see what the interest was, and then called on the college board to vote on the idea. In November of last year, the board decided to pursue them. Since then, the college has also gained approval from the Colorado Legislature and former Gov. Bill Ritter.

Jensen said exit reviews were very positive from the Higher Learning Commission, which makes its decision at a March 21 meeting. The commission's verdict is the final step of approval before CMC can start enrolling students in the programs. If approved, the college plans on offering the new degrees next fall.

Jensen said he was prompted to pursue the baccalaureates after interest was expressed by students and the community.

“It came out of community need and interest,” he said. “We're very excited about serving our community with these baccalaureate degrees.”

The two degrees being pursued were chosen through student surveys. Business administration was the highest area of interest, Jensen said.

Sustainability studies was fourth on the list. The two studies that came in at two and three — teacher certification for K-12, and a bachelor's in nursing — involve longer processes of approval before the college can offer them. Jensen said CMC is working internally on the logistics of getting the two programs up-and-running, but haven't yet petitioned the state or Higher Learning
Commission. He said the college — which already offers a two-year RN program — has met with and received a glowing report from the National League for Nursing regarding accreditation for a four-year degree. Administrators also have teams working on the teacher certification program.

“We hope that will be the next one,” Jensen said. “Perhaps a year from this fall.”

Breckenridge Resort Chamber looks to boost Central Reservations bookings

2011-03-14T09:54:00.000-07:00

This article is from the Summit Daily News, March 11, 2011, as reported by Caddie Nath.

Town's central booking system struggling, subsidized with town dollars.

As economic indicators begin to point to a recovery for Breckenridge's tourism industry, town and Breckenridge Resort Chamber officials are scrambling to find ways to return the still-struggling Central Reservations to profitability. Central Reservation is a crucial booking agency for Breck's smaller lodging companies.

The reservation system, which generated revenue for the resort chamber up until a few years ago, is a key business driver for smaller lodging companies and is the only booking agency with loyalty to Breckenridge and a well-rounded system to show first-time guests all the town's amenities.

But the recession and the growing popularity of online booking agencies such as Travelocity and Expedia have hit Central Reservations hard, and the system is now heavily subsidized by the Town of Breckenridge with marketing dollars.

“You need to have some viability in Central Reservations to help the small lodging companies because they get lost in the clutter on the Internet,” said Breck Town Councilman Mike Dudick, who sits on the new marketing advisory committee. “We need to, as a group, figure out ways to return (Central Reservations) to profitability so all the money we have for marketing is going out in the market place.”

The town currently allocates $200,000 in marketing funds to help keep Central Reservations going, but the system will likely only need approximately $150,000 this year, according to BRC president John McMahon. McMahon said the goal for the reservations system is not necessarily to turn a profit, but just to break even.

Summit County sees spike in population

2011-02-25T13:36:00.000-08:00

This article is from the Summit Daily News, as reported by Caddi Nath on February 25, 2011.

Summit County's permanent population swelled to more than 27,000 people, according to the most recent U.S. Census data, an approximately 15 percent increase from 2000 counts.

But the Census numbers fall short of county projections, which estimate a 25.8 percent increase in population — a total permanent resident base of more than 29,600 people.

While the correct, exact number is unclear, county planners say it is likely in the neighborhood of 27,000 people. The planners, who calculate county estimates based on information provided by the Colorado state demographer, said they anticipated population counts for 2010 to be a bit lower than initial estimates due to the recession, which likely pushed some residents back toward the Front Range where jobs might be more readily available.

Census data show the Summit County population has aged slightly since 2000, with a current median age of 33 — up from 30.8 10 years ago. The number of residents over the age of 65 has increased from 3.3 percent of the population to 5.3 percent.

Summit has also followed a state-wide trend toward greater diversity, though the county remains predominantly white, according to 2010 Census numbers. Permanent residents who identify as Hispanic or Latino in Summit County have increased to 13.9 percent in 2010 from 9.8 percent in 2000, while over 90 percent of the total population identifies as white.

The county also made strides toward narrowing the gender gap over the last 10 years, although men continue to outnumber women significantly, according to Census numbers. Women made up 41.8 percent of the total population in 2000, but now constitute 43 percent of the total number of permanent residents.

Summit County continues to trend ahead of the state and the nation as a whole in terms of education and income. Summit County residents boast a per-capita income of over $35,000, while the state-wide per capita income is just over $29,500. Nationally, it's just over $27,000.

Approximately 94 percent of Summit County residents over the age of 25 have completed high school or some higher level of education, compared with just shy of 89 percent of people state-wide and 84 percent of people nationally in the same age bracket. Likewise, 48 percent of locals over 25 hold a bachelor's degree or some higher degree while only 35.5 percent of Colorado's population and 27.5 percent of people across the country can make the same claim.

Redistricting Colorado

Census population counts are key to districting decisions and determining political representation at the local, state and federal level, but Summit County Commissioners say within Summit County, the most important function of the data is to help paint a portrait of the county as a whole.

“The more important thing we'll do is look at who (we are) and what services we need to best serve the population,” County Commissioner Thomas Davidson said.

He said numbers that indicate an older population, for instance, help the county determine what programs need to be provided.

At the state and federal level, Census results impact district lines. A bi-partisan committee of Colorado state legislators is responsible for redrawing U.S. Congressional district lines, reallocating the seven U.S. representatives for Colorado among Colorado's residents.

Rep. Jared Polis, the current U.S. congressman for Summit County, said he expects to see his district shrink by approximately 15,000 people as part of the redistricting process.

“I hope to be able to continue to represent Summit and Eagle counties,” Polis said. “I expect to be able to.”

State representative and senatorial districts will be reapportioned and redistricted by a commission made up of four state legislators and appointees of the governor and the chief justice of the Colorado Supreme Court.

State district lines are drawn based on population and counties' interests. It is an area of concern for Summit County officials.

“That's one thing we have to watch,” Davidson said. “We're interested in districts where we don't get thrown in as an afterthought. That's happened to us in the past.”

Summit County currently belongs to state House District 56, which also includes Eagle and Lake counties, and Senate District 16, a collection of Grand, Gilpin Clear Creek and parts of Jefferson and Boulder counties. It's District 2 for Polis's U.S. Congressional district.

Complete Census data is available online at factfinder.census.gov.

For more information, go to http://www.breck4sale.com/.

Vail Resorts: Skier visits up 10 percent

2011-01-12T12:32:00.000-08:00

This article is from the Summit Daily News, a staff report on January 11, 2011.

In a report comparing spending and visitation from last year to current, Vail Resorts said the numbers were up in all catagories. The comparative periods ran from the beginning of the ski season through Jan.6, 2011, and for the prior year period through Jan. 7, 2010, with both periods including the holiday period through the Thursday after New Year's Day. All numbers were adjusted as if Northstar-at-Tahoe —acquired in Oct. 2010 — was owned in both periods.

Highlights

>Season to date total lift ticket revenue at the company's six mountain resort properties, including an allocated portion of season pass revenue for each applicable period, was up approximately 7.4 percent from last year's numbers.

>Season to date total skier visits for the company's six mountain resort properties were up approximately 10.1 percent. This included higher utilization by season pass holders.

>Season to date ancillary spending at the company's six mountain resort properties increased significantly. Revenue from ski scool is up 11.5 percent, dining is up 13.3 percent and retail/rental is up 17.5 percent compared to last year.

“While the Christmas to New Year's week was negatively impacted by storm related challenges in the Northeast that kept some of our guests at home, as well as two days of unusually cold temperatures in Colorado, we feel great about results to date and the momentum we have going into the remainder of the season,” said Rob Katz, Vail Resorts CEO. “We are pleased with the performance of Northstar-at-Tahoe, as it is showing improved results to date over the prior year.”

For more information about the impact of skier visits to real estate, contact Susan Gunnin, or go to http://www.breck4sale.com/

Early Jan. looking up for Breckenridge lodging companies

2011-01-03T10:39:00.000-08:00

(This article is from the Summit Daily News, January 3,2011, reported by Caddie Nath.)

Occupancy rates pacing 10-15 percent higher than same time last year.

The new year is likely to get off to an excellent start for the Breckenridge lodging community, with reservations for the first week of 2011 trending significantly higher than the same time last year.

As of mid-December, occupancy rates for the first week of January were pacing 10 to 15 percent higher than the same time last year, according to data released by the Breckenridge Resort Chamber. Room occupancy is expected to break 80 percent in the first few days of 2011.

The BRC is chalking the trend up to a recovering economy, lodging deals offered on bookings and an early season snowfall at Breckenridge Ski Resort that has blown away recent averages.

“I think people have to take the snow into consideration,” BRC spokeswoman Rachel Zerowin said of the spiking early January numbers. “It's just amazing conditions, and it's made the news all over the country. Between the snow and the apparent uptick in the economy and these early season deals, we are seeing a lot more people that are willing to travel.”

The ski resort had seen 85 inches of snow in December alone as of Tuesday and a season total of nearly 200 inches. With three days left in the month, December was already the best month on record with the resort in 10 years and was 73 percent above the 10-year average for December.

The slowly reviving economy may also be playing its part in the upswing in early January lodging numbers as skiers and snowboarders return to the slopes to enjoy the powder.

“Skiers and snowboarders are a really dedicated bunch of people,” Zerowin said. “They love their sport. So those people who maybe skipped a year or skipped two years, they're coming.”

More of those expected arrivals appear to be Colorado-based guests at some resorts.

Keeping with the trend, The Lodge and Spa in Breckenridge is expecting a bigger and better January than last year's, and many of those bookings are in-state visitors, general manager Rhonda Profaizer said.

As of Dec. 15, January lodging was pacing to fall off some after the first week of the month, dropping a few percentage points below last year, according to the BRC.

The BRC lodging survey includes 17 Breckenridge resorts, hotels and property managers making up 75 percent of the town's total number of lodging units.

Lending Rules dog condo sales

2010-11-11T17:28:00.000-08:00

This article is reproduced from the Summit Daily News, November 9, 2010, reported by Drew Anderson.

Condominium sales continue to lag, but is the government to blame?

Condominium sales in Summit County trail pre-recession levels, and some in the real estate business place partial blame on guidelines at government-sponsored enterprises like Freddie Mac and Fannie Mae.

Average condominium sales in Summit County from 2000 through 2007 averaged 1,161 units per year, according to data from the Summit County Association of Realtors. In 2008, sales dropped to 653, and one year later sales dipped even further to 413. So far in 2010, only 397 units have been sold with less than two months left in the year.
Local experts expect the market to bounce back, but government restrictions may be unnecessarily depressing the market and reducing competition in the lending industry.

Condominium crisis

Resort towns have unique markets — especially when it comes to condominiums.

A condominium may be a second home, a primary residence, a long-term rental, a short-term rental or what is known in the industry as a condotel — an individually owned hotel room operated by a management company.

Government-sponsored enterprises like Fannie Mae and Freddie Mac cannot purchase condotel loans from lenders. The enterprises exist to increase liquidity in the secondary market for residential loans, and condotels and some short-term rentals are not for purchase, according to Freddie Mac spokesman Brad German.

“We require lenders who sell us loans to take appropriate steps to make sure they don't sell us a unit in a condotel,” said German.

A condotel may be used in certain times of the year by its owner, but generally it's part of a larger network of similar units for rent in a building. These complexes are difficult to differentiate, but often have tell-tale signs such as a front desk, the word “lodge or retreat” in the name or a lack of individual metering by utility companies. Restrictions like these are used by Freddie and Fannie to raise red flags about condotel loans attempting to pass as residential loans. But in instances where a complex has mixed uses, these requirements may be preventing qualified applicants from securing financing for qualified units.

“These restrictions are making it far more difficult, but not impossible, for buyers to get financing,” Colorado Real Estate Company owner-broker Jason Smith said. “I'm not saying we need to loosen restrictions on the borrowers — just on the properties themselves.”

Wildernest Property Management marketing director Jessica Dudley said many of the complexes her company manages throughout Summit County have a mixture of condominium types, and unless owners use the Wildernest Property Management system to list their rental properties, the management company has no way to identify how units are being used.

U.S. Rep. Jared Polis, whose district includes Summit County, has sponsored a bill to amend certain language in the guidelines for condominium loan purchases by government sponsored enterprises like Freddie and Fannie. The Workforce Housing Opportunity Simplification Act, H.R. 6079, would remove some of the guidelines, but only in instances when a potential buyer can prove they are part of the workforce in the community. Real estate agents see the bill as a step in the right direction, but believe the revised guidelines should extend to any purchaser.

Local lenders and competition

As Smith said, it's difficult, but not impossible to secure loans in these buildings. The trick may be in the underwriting.

Colorado State Bank and Trust loan officer Jennifer Cleary said her department was having no problems securing loans for qualified buyers. Cleary said the bank's underwriters are the key. Colorado State Bank and Trust's underwriters know the local market and can identify textbook condotels. Lenders outside of resort communities may not be as apt at making this distinction, and therefore err on the side of caution. As a result, loans are stacking up at Colorado State Bank and Trust.

“It just depends on how other lenders' underwriters view properties up here,” Cleary said. “Our underwriters know the projects and know the difference between condotels and condos.”

Real estate firms say the lack of national competition could lead to increased costs and longer wait times on loans.

“In terms of the building, if guidelines can be changed that help allow more people to lend against that item as collateral, that's a good thing in my opinion,” said Daniel Webster Johnson, broker associate at Resort Brokers Real Estate.

Mortgage lender and principal of Resort Lending Bob Kieber said the problem was not with the guidelines, but with under-qualified applicants believing home ownership is a right.

“We shouldn't be loosening the rules, we should be making them tighter,” Kieber said. “Not everybody should be a homeowner. Not everybody is responsible enough.”

He also believes the market will pick up when potential second-home owners are ready to start pulling the trigger again. Because they constitute a majority of condominium owners, bills like Polis's will have little impact on the market.

SDN reporter Drew Andersen can be contacted at (970) 668-4633 or drewa@summitdaily.com.

Peak 6 Expansion still moving ahead, but slowly

2010-10-06T10:07:00.000-07:00

This article is reproduced from the Summit Daily News, October 6, 2010, reported by Caddie Nath.

BRECKENRIDGE — The Summit Board of County Commissioners and Breckenridge Town Council delayed approval Tuesday on an agreement with Breckenridge Ski Resort to support a proposed Peak 6 expansion.

The agreement, a Memorandum of Understanding (MOU) discussed Tuesday in a joint work session of the BOCC and the Council, is aimed at resolving some of the social and socio-economic concerns surrounding the expansion.

Members of the Council and the BOCC expressed concerns that the agreement was too vague and didn't include enough solid commitments from the ski resort. Members said they did not want to send the message to the community and the Forest Service that all of their concerns with the project had been resolved by supporting the memorandum, which stated that the social and socio-economic issues had been “addressed.”

“I wasn't really comfortable at this time giving whole-hearted support,” said Councilwoman Jennifer McAtamney.

One area of contention between the town and county and ski area owner Vail Resorts is the financial responsibility for the increased burden the Peak 6 expansion will likely put on the county's social services, as well as parking and housing in Breckenridge.

The memorandum states that “the goal is to avoid negative impacts,” to the availability of social services, housing and parking, but does not address how negative impacts will be avoided or who will bear financial responsibility for negative impacts on those services as a result of the expansion.

While asking for clearer language in the final agreement, members of the BOCC and council acknowledged that it would be hard to quantify the commitments they were looking for from the resort.

“At some point we trust the ski business to take its part in the community, contribute its share to the community and there ain't no way to quantify that,” said County Commissioner Bob French.

The Peak 6 expansion is expected to create about 20 new jobs within the resort. It would include 450 acres of downhill ski terrain, one new lift and possibly a restaurant. The resort has agreed not to develop the base of the mountain.

The MOU was drafted based on the findings of a community task force formed after the proposal for lift-served skiing on Peak 6 was criticized by some members of the community.

Vail Resorts agreed to add more affirmative language to the memorandum in response to the stated concerns over the lack of concrete commitments in the agreement.

“We're very appreciative of all the time and work that people have put into getting to where we are today, from the task force process to pulling together the MOU,” said Vail Resorts spokeswoman Kristin Williams. “I think we got some very good feedback today that will allow us to continue to move the process forward.”

While revisions of the MOU may be discussed by both the Council and the BOCC over the next few months, it is unlikely that plans will move forward until the Environmental Impact Statement (EIS) on the expansion project is released by the U.S. Forest Service, according to Breckenridge spokeswoman Kim DiLallo. The EIS is expected in January of next year.

Some tips on pursuing a case in small claims court

2010-10-06T10:02:00.000-07:00

This article is reproduced from the Summit Daily News, October 6, 2010, by permission of author Noah Klug.

Many potential clients come to me with cases that are not economical to pursue with an attorney given the relatively small amount in dispute. I often advise these people to pursue their cases in small claims court. Here's an overview of the small claims court process.

Small claims courts do not have authority to hear every kind of case. The jurisdiction of small claims courts is limited to claims that do not exceed $7,500 plus costs and interest. Small claims courts generally only decide cases for money damages or concerning enforcement of restrictive covenants.

A plaintiff commences a small claims case by filing a complaint against the defendant using a standard form available at the courthouse or at http://www.courts.state.co.us. The complaint must be filed in the county where the defendant lives, works, goes to school at a college or other institution of higher education, or has a business office. Two exceptions are security deposit disputes and restrictive covenant disputes, which can be filed in the county where the property at issue is located. The plaintiff must pay a fee at the time the complaint is filed.

The complaint form requires the plaintiff to describe the nature of the claim in plain language. The plaintiff should be certain that he is suing the correct person or entity such as a limited liability company or corporation. The complaint must identify the “registered agent” for an entity, which is a person authorized to accept service of legal papers. Information about entities and registered agents is available at http://www.sos.state.co.us.

Once a complaint is filed, the clerk of the court will complete the form and indicate the date set for trial. The plaintiff must then serve a copy of the complaint on the defendant at least 15 days before trial, or the trial will be rescheduled. The plaintiff can choose to have the complaint served (a) by a person over the age of 18 who is not involved in the case or is not a family member of someone involved in the case; (b) by the sheriff's department; or (c) by having the clerk send the complaint to the defendant by certified mail. Service by certified mail is complete if the defendants accepts or refuses to accept the mailing.

After service, the defendant must file a response and pay a fee on or before the trial date stating in plain language why he believes the complaint is not valid. The defendant's response can include a “counterclaim,” which is a claim against the plaintiff. If a counterclaim is for more than $7,500 the case may need to be transferred out of small claims court to a court that has jurisdiction to hear all the claims.

While a plaintiff in small claims court cannot initiate the case using an attorney, the defendant can choose to be represented by an attorney by filing a notice with the court. The plaintiff is also then permitted to have an attorney. There are other special rules about when attorneys are permitted to appear in small claims court.

When the parties show up for trial, they may first be required to meet with a neutral mediator to discuss settlement. If the parties do not reach settlement, they will proceed to trial, which is typically before a magistrate instead of a judge. The magistrate will permit each side to explain its side of the case. It is important for the parties to be organized and prepared to present relevant evidence. At the completion of the trial, the court may enter judgment against one of the parties. The winning party can then attempt to collect the judgment.

Small claims court provides an effective way of resolving disputes without the parties incurring unnecessary expense. For more information, I recommend reviewing the materials on the court website referenced above.

Noah Klug is principal of The Klug Law Firm, LLC, a general law practice in Summit County emphasizing real estate and business law. He may be reached at (970) 468-4953 or Noah@TheKlugLawFirm.com.

Mountain Law: Realtors have new power to collect unpaid commissions

2010-07-28T15:03:00.000-07:00

This article is reproduced from the Summit Daily News, June 2, 2010, by permission of author Noah Klug.

Until recently, if a Colorado real estate broker earned a commission for finding a commercial tenant and the owner did not pay the commission, the broker was generally obliged to sue the owner personally to collect the commission (or, in the case of a broker working with the tenant, to submit the dispute to arbitration with the listing broker). A new statute effective in August will give commercial real estate brokers the power to encumber the leased property with a broker lien that can be foreclosed to recover the commission. Here is an overview of the statute.

1. Commercial Real Estate. The broker lien is available for commissions relating to leasing any real property except (a) residential property containing four or fewer units or (b) residential property leased on a unit-by-unit basis. To give a few examples, it appears the lien could be claimed for leasing a vacant lot, commercial condominium unit or commercial building, or water rights. It would apparently not be available for leasing a single residential condominium unit, a group of residential condominium units that are leased on a unit-by-unit basis, or a single-family home.

2. Written Agreement: The broker lien is only available if there is a written agreement between the broker and the owner giving the broker the right to a commission for leasing or attempting to lease the commercial real estate. A broker working with the tenant cannot claim a lien if the owner paid the commission to the listing broker (although the broker could still arbitrate the dispute with the listing broker).

3. Mediation. A broker cannot claim the lien unless the broker first delivers a request to the owner's last known address asking to submit the dispute to mediation. If the dispute is not resolved within 30 days after such request, the broker can proceed with claiming the lien.

4. Notice of Intent to Lien. In addition to attempting to mediate the dispute, a broker must serve on the owner a notice of intent to record a notice of lien (“notice of intent to lien”) containing specified information. The request for mediation and notice of intent to lien can (and should) be combined into one document that is delivered to the owner personally or by registered or certified mail addressed to the owner's last known address.

5. Record Notice of Lien. Thirty days after delivering the request for mediation and the notice of intent to lien, a broker can record a notice of lien in the office of the clerk and recorder in the county where the leased property is located. The lien cannot be recorded more than 90 days after the commission is earned or the tenant takes possession of the property, whichever is later. The lien becomes invalid if a copy of the recorded notice of lien is not sent to the owner by registered or certified mail within 10 days after it is recorded. If a commission is due in installments, the broker can record a new lien each time an installment comes due and remains unpaid.

6. Commence Lawsuit. The lien becomes invalid if the broker does not file a lawsuit to foreclose the lien within six months after the lien is recorded. Unlike some liens, the broker lien is not given any special priority by statute. That means the lien's priority against other liens is based on the time of recording, and a broker lien will be junior to any existing liens at the time of recording (which has important implications for the foreclosure process).

The new broker lien law does not apply to all transactions … and brokers must carefully satisfy its requirements to enforce their lien rights … but, where the law is applicable, it may prove to be an important tool for commercial real estate brokers to obtain their earned commissions.

Noah Klug is principal of The Klug Law Firm, LLC, a general law practice in Summit County emphasizing real estate, commercial law and litigation. He may be reached at (970) 468-4953 or Noah@TheKlugLawFirm.com.

Mountain Law: Know your notices under the mechanics' lien statute

2010-07-28T14:59:00.000-07:00

This article is reproduced from the Summit Daily News, May 5, 2010, by permission of author Noah Klug.

The Colorado mechanics' lien statute was enacted in 1899, and has remained relatively unchanged since. The purpose of the law is to protect contractors who supply labor, materials, or services during construction projects (these people are all referred to in the statute as “mechanics”) by giving them a lien against the property for unpaid sums. The statute also affords certain protections to owners. One feature of the statute is that it provides for various notices, which have significant legal consequences, as explained in this article.

• Government Notice: When a county or town issues a building permit, it is required to send a notice to the address of the property for which the permit was issued to advise the owner that contractors could file liens if they are not paid for the work. This notice is purely advisory.

• Recorded Contract. Once an owner and contractor enter into a contract, the owner can record the contract in the public records. The recording of the contract will restrict the contractor (or any subcontractors under him) from claiming liens for more than the contract price. If the contract is not recorded, contractors are entitled to a lien for the value of the materials, labor, and services they furnished to the property, which may be more or less than the contract price.

• Disburser's Notice: Construction funds may be disbursed by the owner or an agent of the lender. Whoever is acting as the disburser is required to file a notice of that fact in the public records before the first disbursement. This notice informs contractors whom they should ask for payment.

• Stop Notice: A person entitled to a mechanics' lien may give the disburser a “stop notice” advising that the person has provided materials, labor or services for the project, or will do so. The disburser is then obliged to withhold enough funds to directly pay the person providing the stop notice (rather than paying the funds directly to the general contractor). The disburser may be liable for not withholding the funds.

• Notice of Nonresponsibility: It sometimes happens that work is performed on a property for which the owner has not agreed to be responsible (a common case is work requested by a tenant that is not approved by the landlord). The owner can post a “notice of nonresponsibility” at a conspicuous place on the property within five days after the owner becomes aware of the unauthorized work, and this will prevent the property from being subject to a lien for the work.

• Notice of Intent to Lien: A contractor who wishes to claim a mechanics' lien must give the owner and general contractor a “notice of intent to file lien” at least ten days before recording the lien in the public records. Failure to send the notice prior to recording the lien renders the lien invalid.

• Notice of Extension: A person who wishes to claim a mechanics' lien must typically do so within four months after the person performs the last substantial work on the project. The person can file a “notice of extension” within the four-month window, which will extend the deadline for filing the lien until four months after the completion of the project or six months after the filing of the notice, whichever occurs first. If the project is not completed within six months after any notice of extension, the lien claimant can file amended notices of extension, which will again extend the deadline until four months after the completion of the project or six months after the filing of the notice, whichever occurs first.

Construction professionals should be aware of the various notices that may be filed under the mechanics' lien statute and their legal effect. The form, timing, and delivery of all these notices must meet certain requirements contained in the statute; consult a real estate attorney for more details.

Noah Klug is principal of The Klug Law Firm, LLC, a general law practice in Summit County emphasizing real estate, business law and litigation. He may be reached at (970)468-4953 or Noah@TheKlugLawFirm.com.

Mountain Law: New law protects tenants in foreclosures

2010-07-28T14:55:00.000-07:00

This article is reproduced from the Summit Daily News, March 10, 2010, by permission of author Noah Klug.

In the recent economic downturn, many landlords lost their properties to foreclosure … and this resulted in many tenants being evicted with little notice by new property owners. To address this critical problem, Congress recently passed the Protecting Tenants at Foreclosure Act (PTFA), which slows down the eviction process after a foreclosure as discussed in this article.

Overview of state law before PTFA: Under Colorado state law, a completed foreclosure results in a new deed for the property being given to either the high bidder (which is often the foreclosing lender) at the public foreclosure sale or the redeemer of a junior lien. I discussed this process in more detail in my April 29, 2009, article entitled “Lien priority fundamentals.”

If the property is leased at the time of a foreclosure sale, the high bidder at the sale or redeeming junior lienholder can keep the lease(s) in effect by filing a notice with the officer conducting the foreclosure sale (either the sheriff or the public trustee) before the officer issues the deed. If the notice is not filed, existing leases are extinguished by the foreclosure. The new owner can then, upon receipt of the deed, commence an eviction action to regain possession of the property from the tenant(s) as necessary.

Effect of PTFA: PTFA slows down the ability of a new owner after foreclosure to evict an existing tenant. It provides that the new owner must give the tenant at least 90 days' notice from when the new deed for the property is issued before commencing eviction. Subject to the limitations discussed below, every tenant is entitled to the 90 days' notice, even if the lease was entered into after the foreclosure commenced; if there is not a written lease; or if the lease could be terminated at will by the landlord under state law.

In the case of a lease that was entered into before the foreclosure started, PTFA permits the tenant to remain in the property until the end of the lease term. The only exception is that the tenant may be evicted if the new owner sells the property to a purchaser who will occupy the property as a primary residence; however, even in that case, the tenant is still entitled to 90 days' notice before the sale. PTFA unhelpfully does not address the respective rights of the new owner and tenant if the tenant does not pay rent to the new owner during the lease term.

Limitations of PTFA: PTFA generally applies if the lien foreclosed: (1) is not temporary financing (such as a construction loan); (2) encumbers residential property (not commercial property); and (3) is made by a lender whose accounts are insured by the federal government or who is regulated by the federal government (which includes most commercial lenders, but not necessarily all private lenders). There are other special times PTFA applies (or does not apply) as provided in the statute.

To qualify under PTFA:

1. The lease must be “bona fide,” which means the tenant is not the owner of the property or his child, spouse or parent;
2. The lease must be the result of an “arms-length” transaction, which means the landlord and tenant are not on close business terms; and
3. The rent received by the landlord cannot be substantially less than fair market rent for the property (unless the rent is subsidized under federal, state or local law).

PTFA does not limit any greater protections that might be provided to tenants under State, Federal, or local law, for subsidized leases.

Summary: When applicable, PTFA permits tenants to stay in a foreclosed property for at least 90 days after the deed is issued to the new owner, and in some cases longer. The law provides relief to tenants when their landlords lose the property.

Noah Klug is principal of The Klug Law Firm, LLC, a general law practice in Summit County emphasizing real estate, business law and litigation. He may be reached at (970)468-4953 or Noah@TheKlugLawFirm.com.

Mountain Law: Understanding HOA liens

2010-07-28T14:37:00.000-07:00

This article is reproduced from the Summit Daily News, December 23, 2009, by permission of author Noah Klug.

Colorado homeowner's associations have the power to assess their owners for common expenses. If an owner fails to pay a required assessment when due, the HOA can enforce a lien as discussed in this article.

An HOA lien begins to encumber an owner's unit as soon as an assessment becomes due without the necessity of the HOA filing a notice of the lien in the public records. Nonetheless, many HOAs regularly record a notice of their lien in the public records.

HOA liens are given special priority under Colorado law, which has significant implications in the foreclosure process. An HOA lien is senior to all other liens except a first deed of trust and the county's lien for property taxes. A portion of an HOA lien “equivalent” to six months' worth of dues is senior to a first deed of trust. This portion is often referred to as the “priority portion.” The priority portion of the lien need not actually represent monthly dues. For example, if an owner is current on monthly dues of $100 but fails to pay a special assessment of $600, the priority portion of the lien is still $600 (the equivalent of six months' worth of dues).

A senior lien will continue to encumber the property after foreclosure of a junior lien, but a junior lien will cease to encumber the property after foreclosure of a senior lien unless the junior lienholder “redeems” the property by paying the amount of the high bid at the foreclosure sale plus the amount of any lien senior to it that also redeemed.

For example, say that a property is encumbered by a first deed of trust of $100,000 that is in foreclosure, a second deed of trust of $25,000, and an HOA lien of $5,000. The HOA dues are $100 per month, the property is worth $150,000, and the high bid at the foreclosure sale is $100,000.

The liens can be ranked from most senior to most junior as follows:

1. Priority Portion of HOA Lien ($600)
2. First Deed of Trust ($100,000)
3. Non-Priority Portion of HOA Lien ($4,400)
4. Second Deed of Trust ($25,000)

The priority portion of the HOA lien is most senior; it will continue to encumber the property after the foreclosure sale (and could then be foreclosed by the HOA). The non-priority portion of the HOA lien is junior to the first deed of trust being foreclosed; it will cease to encumber the property after the foreclosure sale unless the HOA redeems the property by paying the amount of the high bid at the sale ($100,000). The second deed of trust is junior to every other lien; it too will cease to encumber the property after the foreclosure sale unless its holder redeems the property by paying the amount of the high bid at the sale ($100,000) plus the amount of the HOA's non-priority lien ($4,400) if the HOA redeems first.

In deciding whether or not to redeem, the HOA will have to determine (1) if it has funds available to redeem; and (2) if it is worth paying $105,000 (the amount to redeem plus the amount the HOA is owed) for a property worth $150,000 after taking into account the cost of holding the property (insurance, taxes, HOA dues, maintenance) and the cost of reselling the property (real estate broker commissions, closing costs). Whether or not to redeem is ultimately a business decision for the HOA to make after reviewing the numbers.

If the HOA is not in a position to redeem by itself, it could sell its redemption rights and the purchaser could then redeem the property. If an HOA loses any portion of its lien, it still typically has the option of suing the owner personally for the debt.

If you understand the principles given in this article, you are well on your way to understanding how HOA liens work. This article is written from the perspective of an HOA; in a future column I will write about options available to a homeowner in dealing with an HOA lien.

Noah Klug is principal of The Klug Law Firm, LLC, a general law practice in Summit County emphasizing real estate, commercial law and litigation. He may be reached at (970) 468-4953 or Noah@TheKlugLawFirm.com.

A Tale of Two HOAs

2010-07-28T14:34:00.000-07:00

This article is reproduced from the Summit Daily News, October 28, 2009, by permission of author Noah Klug.

Long Run and Short Run are both older condominium projects in the mountains of Colorado. The units are owned by individual homeowners, but the exterior of each building, including the windows, siding, decks, and parking areas are “common elements” owned by all the unit owners (which is typical in a condominium).

It was the best of times: An HOA With Money in Reserve

Twenty years ago, Long Run recognized some day all of the common elements would wear out or become outdated and need to be replaced. Its board commissioned a study of how long each significant part of the common elements would be expected to last; it then determined how much it might cost to replace each part as needed (adjusted for inflation). It calculated an amount that each owner would be required to pay monthly into a “reserve” account (in addition to the regular dues) so funds would be available to pay for needed renovations in the future. The siding and windows needed replacement this year, and Long Run had the money available in its reserve account for the work. The Long Run owners are pleased with the renovations and thankful that the prior unit owners had the foresight to plan ahead and contributed their share to the replacement costs.

It was the worst of times: An HOA That Relies on Special Assessments

Short Run's board of directors figured replacement of the common elements could be addressed when needed in the future. It did not collect any amount for “reserves”; as a result, it was able to keep the regular dues lower than at Long Run. This year the siding and windows needed replacement. There was no money to pay for this work, so Short Run's board approved a large “special assessment” on each owner to raise the money. Some of the owners can afford this payment, and they are looking forward to the renovations. Other owners are upset because they don't have the money readily available. They are irate that prior unit owners did not plan ahead or contribute their share to the replacement costs. The Short Run board told the owners that they have 30 days to pay and, if they don't pay, the HOA will be forced to take enforcement action. It doesn't seem fair to some Short Run owners that they could be forced to make such a big payment on short notice.

Colorado law gives the board of directors of each HOA the power, but not the obligation, to place money into a reserve account. If an association has conducted a “reserve study” for the common elements, the association must disclose to the owners how the study was done, whether there is a funding plan for the work recommended by the study and, if so, the projected source(s) of funding.

Colorado law does not place any restrictions on the ability of an HOA to impose a “special assessment” for irregular expenses (although restrictions might appear in an HOA's covenants). It is not uncommon for an HOA to approve a renovation project requiring each owner to pay thousands of dollars on short notice; failure to pay can result in the HOA foreclosing on its lien for unpaid assessments.

The moral of the story is clear: Condominium owners and potential buyers should be aware of whether the HOA collects a reserve and that the absence of an adequate reserve may mean that a hefty special assessment is in their future. Perhaps some HOAs should plan now for a different ending to the tale ....

Noah Klug is an attorney with the Breckenridge law firm of Bauer & Burns, P.C. He may be reached at 970-453-2734, or Noah@BreckenridgeLawyer.com.

Tax sales: Nightmare ... and an opportunity

2010-07-28T14:31:00.000-07:00

This article is reproduced from the Summit Daily News, September 16, 2009, by permission of author Noah Klug.

All real property in Colorado is encumbered by a tax lien for real property taxes until the taxes are paid. If the taxes aren't paid on time, the lien can be sold at a tax sale, and the owner can eventually lose his property. Here is an introduction to the tax sale process.

Property Tax Payment Schedule: The county treasurer sends owners tax statements early each year indicating the taxes due for the previous year. Owners have the option of paying the taxes in one payment not later than the last day in April, or in two equal installments on or before the last day of February and the 15th day of June. If payment is not made according to one of these options, the taxes are considered delinquent and pre-sale interest begins accruing at the rate of 1 percent per month. No later than September 1 of each year, the treasurer mails notices to owners who have not paid their taxes indicating the delinquent amounts and the date of the tax sale. The treasurer also posts the notices and publishes them three times in a local paper. (In Summit County, the first publication will occur on September 18, 2009, in the Summit County Journal, and the sale will commence on October 21, 2009.)

Conduct of sale: The treasurer sells each tax lien to the highest bidder at a public sale commencing on the date indicated in the notices. The minimum bid for each lien is the taxes due, plus the pre-sale interest and the treasurer's costs of the sale. Any liens that don't sell become “owned” by the government entities that levied the taxes. The treasurer issues a certificate after each sale naming the new owner of the lien.

Effect of sale: After the tax sale, the owner of the property retains all normal rights in the property, but the property is encumbered by the tax lien, which has priority over all over liens. The holder of the certificate can pay the taxes in subsequent years to prevent new tax liens from encumbering the property, and these amounts are then added to the amount of the lien. The holder of the certificate can also sell or assign his certificate to other parties.

Issuance of tax deed: If the taxes remain unpaid, the treasurer can issue a treasurer's deed for the property to the holder of the certificate three years after the tax sale. Upon receiving a tax deed request from the holder of the certificate, the treasurer gives a notice to persons with interests in the property and publishes the notice in the local paper. The notice must be given not more than five months or less than three months before the treasurer issues the deed. If no one redeems the property before the date given in the notice, the treasurer issues the deed to the holder of the certificate, who then becomes the new owner of the property free and clear of all liens.

Redemption: The holder of the certificate earns post-sale interest on the lien at a specified rate, which is currently 9.5 percent. The owner or any lienholder can redeem the property at any time before the treasurer issues the deed by paying all amounts due to the holder of the certificate, including the amount bid at the sale plus certain allowed costs and post-sale interest. Redemption does not transfer title to the person redeeming; it only prevents title from transferring to the holder of the certificate.

For those unfortunate owners who lose their properties following a tax sale, tax liens are a bad deal; but, in some cases, purchasing tax liens can be a reasonable investment for patient investors.

Noah Klug is an attorney with the Breckenridge law firm of Bauer & Burns, P.C. He may be reached at (970) 453-2734 or Noah@BreckenridgeLawer.com. This article is intended as a general overview; consult an attorney for advice on your particular situation.

Transferring development rights, Summit County style

2010-07-28T14:27:00.000-07:00

This article is reproduced from the Summit Daily News, August 26, 2009, by permission of author Noah Klug

A recent court ruling muddies the waters.

The Summit County District Court recently decided the county could not require a landowner to purchase density through the county's transferable development rights (TDR) program in order to develop his four lots. The court's decision is likely to result in changes to the county master plans and regulations.

In the 1960s, the Stoningtons bought four contiguous platted lots in the Silver Shekel subdivision near Breckenridge. In 1978, the Stoningtons successfully petitioned the county to vacate the lot lines between the four lots to create one large lot. The Stoningtons indicated in their petition that they did not plan to develop the property. Since that time, the county has treated the lots as one lot for purposes of property tax and other matters. Doug Polanski purchased the consolidated lots in 2006 and then applied to the county to re-establish the lot lines. The board of county commissioners (BOCC) approved the request subject to certain conditions, including the requirement that Polanski purchase density for the three recreated lots through the county's TDR program. Polanski asked the district court to review the TDR requirement.

The BOCC said it made its decision because (1) the Stoningtons told the county that they would not develop the lots and (2) the county relied on the Stoningtons' representations to its detriment by foregoing “decades of property tax revenues, and assessments for public improvements.” The court rejected the county's reasoning because there was no evidence that Polanski knew about the Stoningtons' representations when he purchased the lots. The court also found that the Stoningtons' representations were not a promise that they (and future owners) would never develop the lots, but only a statement that the Stoningtons personally had no intent to develop the lots at that time. The court noted that the county could have protected its interests in 1978 by replatting the lots into a single lot or recording a covenant restricting the lots' development (neither of which was done).

The court found these reasons sufficient to overrule the BOCC. Nevertheless, it took the unusual step of identifying an additional ground for reversing the BOCC's decision based on the language of the county master plans and regulations (even though that issue had not been raised by Polanski). Courts don't usually consider arguments that are not raised by the parties to a dispute, but they have discretion to do so in exceptional circumstances.

The court interpreted the Countywide Comprehensive Plan, which provides guidance for development of the county overall, two Upper Blue Master Plans, which provide guidance for development specifically in the Upper Blue Basin (which extends from Hoosier Pass to Lake Dillon), and the County Land Use & Development Code. Taken together, the court found the language of these documents to mean that a property's underlying zoning governs its allowed density, not provisions in the master plans that purport to restrict density. Since the lots at issue were zoned to allow two homes per acre, and they were more than two acres in total size, the court said the county could not require Polanski to purchase additional density in order to recreate the four lots.

Summit County disagrees with the court's decision; but, rather than appealing, the county decided it would be more productive to make significant changes to its regulations and master plans to ensure the continuing viability of the TDR program. It will be interesting to watch this process develop. A copy of the Polanski decision is on my firm's website, www.BreckenridgeLawyer.com, for those interested in reading it.

Noah Klug is an attorney with the Breckenridge law firm of Bauer & Burns, P.C. He may be reached at (970) 453-2734 or Noah@BreckenridgeLawyer.com. He is a member of the Snake River Planning Commission, which may be involved in reviewing the TDR program.

Mountain Law: Enforcing community standards, Six things to know

2010-07-28T14:20:00.000-07:00

This article is reproduced from the Summit Daily News, July 29, 2009, by permission of author Noak Klug

Condominiums and single-family homes are often subject to protective covenants, as well as rules and regulations adopted by their homeowner associations. Even though the association may be primarily responsible for enforcing these provisions, they can usually be enforced by individual owners. Here are six things to know about enforcing community standards:

1. Options for enforcing community standards.

Community standards are best enforced informally. Where informal efforts fail, associations have the power to impose fines for violations (see #4 below) and to enforce a lien (#5 below). Standards may be enforced through legal action. If the cost to remove the violation is less than $7,500, a covenant can often be enforced quickly and inexpensively in small claims court.

2. One-year limit on enforcing some community standards.

If an owner builds something on his property that violates the covenants, such as building a fence when the community prohibits fences, the association and neighbors have only one year to file a lawsuit. A prudent association will confront the situation soon after discovering the violation so that meaningful discussions can take place with the owner long before the expiration of this short statute of limitations. There is no statute of limitations for building or zoning violations; if a covenant violation is also a building or zoning violation (such as building a home that is too tall), the association may have a remedy through government authorities.

3. Attorney fees. In most disputes between an association and a homeowner, the court has the power to award reasonable attorney fees and costs to the prevailing party. If an association sues an owner for a perceived violation and the owner prevails, the association cannot assess the owner for any portion of the association's litigation expenses.

4. Enforcement by imposition of fines. Associations may enforce standards by imposing fines; however, fines are not valid unless the association has a written policy providing the fine schedule. The policy must include a fair and impartial fact-finding process to determine whether an owner should be held responsible. The process must, at a minimum, provide the owner with notice of an alleged violation and the opportunity for a hearing before impartial decision makers who do not have a financial interest in the outcome or personal interests in the outcome greater than general membership of the association.

5. Enforcement by association lien. Homeowner associations may enforce a lien under Colorado law against the property of an owner who does not pay required fines or assessments. The lien exists by operation of the statute and need not be recorded in the public records to be valid (although many associations record a notice of lien anyway). The amount of the lien includes fees, charges, attorney fees, fines, accelerated payments, and interest. Associations may enforce their liens by foreclosing on the property with a sheriff's sale. A portion of the lien has special priority under Colorado law, which makes it a powerful collection tool. (For a general discussion of lien priority, see my April 29, 2009, article titled “Lien Priority Fundamentals”).

6. Dispute resolution policy. Colorado law requires that homeowner association boards adopt written policies concerning how disputes will be handled between the association and owners. These policies often require that disputes be submitted to mediation with a neutral third party before either side can file a lawsuit.

Owners and associations should consider carefully the options available, the risks, and the correct procedures for enforcing community standards. This is one topic I will address at a free class I am teaching on homeowner association law Thursday (July 30). For more information, contact Brooke Roberts, Land Title Guarantee Company, (970) 453-2255.

Noah Klug is an attorney with the Breckenridge law firm of Bauer & Burns, P.C. He may be reached at 970-453-2734 or Noah@BreckenridgeLawyer.com. This article is intended as a general overview; consult an attorney for advice on your particular situation.

5 things to keep in mind on property co-ownership

2010-07-28T14:16:00.000-07:00

This article is reproduced from the Summit Daily News, July 8, 2009, by permission of author Noah Klug

When unrelated individuals share the ownership of a home or condo, it's wise for them to take the time at the outset to prepare a co-ownership agreement. The two most common forms for holding title to co-owned property are (a) holding title to the property in the owners' individual names and (b) forming an entity to hold title, with the entity owned by the individuals. The form used depends on many factors, and affects many issues, including how the property can be financed (if at all), the owners' respective tax benefits and burdens from owning the property, the owners' potential liability to third parties injured at the property, the potential for protection from the owners' creditors, and how the property will pass upon the death of any owner. The choice should be made only with professional advice. Regardless of how title is held to the property, here are five topics that should be addressed in any co-ownership agreement:

1. Usage Rights. The co-ownership agreement should provide firm and fair guidelines for when the property may be used by each owner. Many co-owners create a rotating schedule so that key periods (such as Christmas and other holidays) are allocated equally. A fixed schedule, however, doesn't prevent the owners from informally re-arranging their occupancy periods.

2. House Rules. The co-owners should have a clear understanding of the dos and don'ts of usage. For example, will pets or smoking be allowed? May an owner allow friends and relatives to use the property? May any owner put the property into a rental management program for their use period? Are the owners required to have the property professionally cleaned after each use?

3. Management and Financial Issues. Unless the co-owners hire a professional property manager, the co-ownership agreement should designate the owner (perhaps on a rotating basis) who will handle the bills and other paperwork for the property. The agreement should include a list of these duties, and provision should be made for when the designated manager cannot or does not perform the required tasks.

The likelihood of disputes over money will be reduced if the owners agree to an annual budget in advance, including the anticipated expenses and income (if any), coupled with a schedule of regular contributions from each owner. The budget should include building a cash reserve so funds are readily available to pay for needed repairs and replacement.
4. Making Decisions and Resolving Disputes. It is not uncommon for co-owners to have a difference of opinion on crucial issues, and a well-drafted co-ownership agreement will contain a dispute resolution process. If, for example, a home were co-owned by two couples and one couple wanted to remodel but the other couple didn't, the result could be a stalemate. Many co-ownership agreements include a requirement that disputes be mediated by a third party.

5. Exit Strategy. When co-owners buy a property together, they usually have similar goals. But, sooner or later, their interests may diverge because of changes in their individual financial situations, relocation, divorce, death and other events. The co-ownership agreement should address whether one owner can sell or give his interest to an outside party and whether any owner can force a sale of the entire property or another owners' interest. Co-owners often retain a preemptive “right of first refusal,” with special rules for disposition to a relative.

When co-owners address important issues at the outset, it is more likely that they will have a smooth relationship. For a longer list of issues that should be addressed in any co-ownership agreement, check our firm's website at www.BreckenridgeLawyer.com and click on “Co-Ownership Questionnaire.”

Noah Klug is an attorney with the Breckenridge law firm of Bauer & Burns, P.C. He may be reached at 970-453-2734 or Noah@BreckenridgeLawyer.com. This article is intended as a general overview; consult a professional for advice on your particular situation.

When local government says ‘time out!'

2010-07-28T14:13:00.000-07:00

This article is reproduced from the Summit Daily News, June 9, 2009, by permission of author Noah Klug.

I read with interest a recent article in the Summit Daily News titled “Condo-Hotel Approval Triggers A Look At Zoning,” which discussed Summit County's approval of a new development on Tiger Road. We don't have a pony in the race about the development, but it struck me that the project was apparently approved because it complied with zoning adopted in 1969 despite concerns about how well that zoning meshes with today's community vision. Summit County's hands were likely not tied in the matter. When faced with potentially inadequate regulations, Summit County, like all local governments, has tools at its disposal to halt or slow growth until it adopts new growth-management programs, comprehensive plans, or zoning ordinances. One frequently used approach is imposition of a moratorium.

The leading Colorado case involved a businessman who purchased a shuttered historic theater in Central City prior to the 1991 constitutional amendment allowing limited-stakes gambling in that city. After the amendment was adopted, the landowner entered into a contract to sell the theater contingent upon the city's approval of a gambling permit, and he applied for the permit. The city then placed a moratorium on new development in the gaming district until studies were completed concerning the city's capacity to absorb growth spawned by gambling. As a direct result of the moratorium, the landowner's permit application was suspended and his pending sale fell through. Ten months later, the growth studies were completed and the city repealed the moratorium. The landowner then sued the city alleging that the moratorium constituted a taking of his property because it left him with no reasonable use of the theater during the 10-month period. The court held that it was permissible for a municipality to impose a moratorium if it was based on a good faith and reasonable effort to permit more effective governmental decision making. The court also held that there had been no “taking” of private property, and the owner was not entitled to any compensation.

The Central City case showed the power of local governments to impose moratoria under their police powers. In another case involving controversial proposed development of a large ranch between Aspen and Snowmass, the court held that Pitkin County had authority under a statute known as the Local Government Land Use Control Enabling Act to impose a temporary moratorium on land use application reviews while the county made changes to its master plan. Similar provisions likely could have been invoked concerning the development on Tiger Road.

Local governments do not have unlimited powers to impose moratoria. In a case from Colorado Springs, the city council, by resolution, approved a moratorium on adult bookstores pending further studies of the issue, and a bookstore operator sued. The court held that because ordinances are adopted by legislative process, they can only be changed by new ordinances adopted through legislative process. Thus, the city's moratorium by resolution was ineffective.

A case from Boulder went all the way to the United States Supreme Court, which held that it was a violation of federal antitrust law to adopt a moratorium on the expansion of cable television businesses in the city while the council drafted a new ordinance to regulate these businesses and invite new operators into the market.

So, when local governments are faced with regulations that are potentially inconsistent with community goals, they have the ability to call “time out” for a reasonable period of time to study and address the issues provided that they follow the correct procedures. That option was likely available in the Tiger Run case (as well as other options that the county may be pursuing).

Noah Klug is an attorney with the Breckenridge law firm of Bauer & Burns, P.C. He may be reached at 970-453-2734 or Noah@BreckenridgeLawyer.com.

Making land available for public recreation? Protection exists

2010-07-28T14:09:00.000-07:00

This article is reproduced from the Summit Daily News, May 26, 2009, by permission of author, Noah Klug

Every so often I run across a landowner who tells me that he would like to make his land available to the general public for skiing, hiking, or some other recreational use, but he is afraid of the liability that might result if a person were injured on the land. Fortunately, there is a state law known as the Colorado Recreational Use Statute (CRUS) that is designed to promote public use of private lands for recreation by shielding landowners from most liability. Here is a brief discussion of the law.

Generally speaking, Colorado law divides users of land into three categories: trespassers, licensees, and invitees. The potential liability of the owner depends on the status of the user and increases with each category.

• Trespassers: A trespasser is a person who enters onto land without the landowner’s consent. A landowner is liable to trespassers only if the owner causes intentional harm. For example, if a landowner erects a cable across his private road to restrict access and a trespassing mountain biker is injured when he runs into the unexpected cable, the landowner would only be liable if the cyclist could show that the landowner erected the cable with the intent of causing harm rather than simply as a roadblock.

• Licensees: A licensee is a person who enters onto land for his own purposes, but with the landowner’s consent. This category includes the landowner’s social guests. A landowner is liable to licensees for failure to take reasonable precautions or give reasonable warnings about known dangers on his property. For example, if a homeowner knows that a glass door in his home is difficult to see, but doesn’t tell his guests about it or mark it conspicuously, he could be liable if one of his guests walks into the door and breaks his nose.

• Invitees: An invitee is either a person who transacts business on the property with the owner or a member of the public who is expressly or impliedly invited onto the property. A businessman at a meeting is generally an invitee of the host company, and a shopper is an invitee of the supermarket. A landowner is liable to invitees if he fails to take reasonable action to protect against dangers — not just those of which he had actual knowledge, but also those of which he should have been aware.

In the absence of CRUS, a landowner might be justifiably reluctant to make his land available to the public for fear that the users would be categorized as licensees or invitees, and that the landowner could be liable not just for his intentional acts, but also for his failure to protect or warn about known risks or risks of which a judge or jury determine he should have known.

So what does CRUS do? CRUS provides that a landowner who either directly or indirectly invites or permits, without charge, any person to use his property for recreational purposes (a) does not thereby extend any assurance that the property is safe for any purpose; (b) does not confer upon such person the legal status of an invitee or licensee to whom special duties are owed; and (c) does not assume responsibility in any way for such person’s acts or omissions. The term “recreational purposes” is given a broad definition that includes most pursuits. In the event that a recreational user of land sues the landowner, the prevailing party in the action is entitled to his attorney fees and costs of litigation. CRUS’s protections extend to the landowner’s tenants and other occupants.

A landowner can still be liable under CRUS if:

• He intentionally harms someone;
• He charges for the use of his land;
• He permits use of the land as part of his business; or
• He maintains an “attractive nuisance” on the land, which is a dangerous condition that is extraordinarily attractive to children (such as unattended machinery). Abandoned mining operations and areas of natural or manmade water storage or diversion (i.e. ponds, ditches and streams) are not considered attractive nuisances under CRUS.

So, a landowner who is hesitating to make his land available to the public should consider whether CRUS’s protections justify a change in position.

Noah Klug is an attorney with Bauer & Burns, P.C. in Breckenridge. He may be reached at 970-453-2734 or Noah@BreckenridgeLawyer.com. This article is intended as a general overview; consult an attorney for a review of your particular situation.

Protection for contractors as construction season begins

2010-07-28T14:02:00.000-07:00

This article is reproduced from the Summit Daily News, May 13, 2009, by permission of the author Noah Klug.

Top 10 things to know about mechanic’s liens

As the construction season begins in the mountains, here are 10 things to know about mechanic’s liens:

1. What is a mechanic’s lien?

State law gives a lien to most workers on real property and suppliers of materials incorporated into real property to help protect against nonpayment. The law calls these people “mechanics.” A mechanic’s lien makes it more likely the “little guy” will get paid.

2. Who can claim a mechanic’s lien?

Almost any person who performs work or supplies materials to improve another person’s property can claim a lien, including contractors, subcontractors, decorators, tree services, architects, surveyors, and engineers (but not lawyers or real estate brokers).

3. What is the process for claiming a mechanic’s lien?

A person entitled to a mechanic’s lien who has not been paid must first give 10 days’ notice to the property owner and general contractor of his intent to record the lien. The notice must include certain information and must be delivered in person or by regular or certified mail. If the worker is not paid during the 10-day period, he can record the lien statement in the office of the Clerk and Recorder.

4. Are there any deadlines for recording a mechanic’s lien?

Yes. A lien statement must generally be recorded no more than four months after the worker did his last substantial work at the property (so the worker must allow 10 extra days before the recording deadline to deliver the notice of intent to file the lien). The four-month deadline can be extended if the worker records, within the four-month period, a proper notice to extend the time.

5. What happens if the worker doesn’t follow the statutory procedure for filing a mechanic’s lien?

Courts typically enforce the mechanic’s lien statute strictly, which means that failure to give proper notice or to meet deadlines may result in a lien being invalidated.

6. What are the options once a lien has been recorded?

The lien claimant can (a) file a lawsuit in district court to have the sheriff sell the property to satisfy the liens; (b) let a another lienholder file the lawsuit and jump into the lawsuit; or (c) take no action and pray that he gets paid before the lien expires. With a few exceptions, the lien will expire if a lien foreclosure lawsuit is not filed within six months after the whole project is completed or 12 months after the lien is recorded (whichever is sooner).

7. What is the priority of a mechanic’s lien?

A mechanic’s lien is given special priority by statute; its date of priority is the date that the first work was done on the project by any worker. This is often the date that the architect drew plans or that the property was surveyed, and it often predates a construction loan. (For a discussion of lien priority, see my April 29 column on Lien Priority Fundamentals).

8. What are the alternatives to filing a mechanic’s lien?

Mechanic’s lien litigation is complex and expensive, with little hope of recovering attorney fees. Some mechanics with modest claims (or invalid liens) choose to skip lien litigation and simply file a lawsuit for breach of contract against the person who should have paid. If the claim is less than $7,500, it can usually be filed in small claims court, where things happen quickly, inexpensively, and (usually) without lawyers. County court is almost as quick and simple and has jurisdiction over claims up to $15,000.

9. What happens if the worker files a lien for more than he is owed?

If a worker knowingly files a lien for more than he could reasonably recover in court, the whole lien could be invalidated and the owner could be awarded his attorney fees.

10. What if the owner pays the general contractor but the general doesn’t pay a subcontractor?
The subcontractor is still entitled to a lien on the property.

Noah Klug is an attorney with Bauer & Burns P.C. He may be reached at (970) 453-2734 or
Noah@BreckenridgeLawyer.com.

Mountain Law: Lien priority fundamentals

2010-07-28T13:48:00.000-07:00

Reproduced from the Summit Daily News, April 28, 2008, by permission of the author, Noah Klug.

Any person interested in foreclosures should understand lien priority fundamentals. Here’s an introduction.

A “lien” is a legally protected interest that a creditor has in a debtor’s property. One common type of lien is a deed of trust (or mortgage) recorded to secure repayment of a loan. There are many other types of liens.

All liens against a property can be ranked in order of priority. Generally, lien priority is determined by the order in which the liens were recorded in the office of the clerk and recorder. Some liens, such as tax liens, homeowner association assessment liens and mechanics’ liens, are given special priority by statute, meaning that they can sometimes “jump ahead” in priority over liens that were recorded earlier.

Any creditor who holds a lien, regardless of the lien’s priority, can potentially force sale of the encumbered property through foreclosure proceedings to satisfy the debt. The rights of competing lienholders in the foreclosure depend on whether their liens are senior or junior to the lien being foreclosed.

A lien senior in priority to a lien being foreclosed continues to encumber the property after the foreclosure. For example, if a property has two liens encumbering it and the second lien forecloses, the first lien remains in place after the foreclosure. This is a trap for the unwary buyer, who might purchase a property at a foreclosure sale not realizing that his title will be subject to one or more liens. The buyer is then forced to make arrangements to pay the liens or those liens could be foreclosed.

In contrast to the holder of a senior lien, whose interest is not threatened by foreclosure of a junior lien, the holder of a lien junior in priority to a lien being foreclosed must either “redeem” the property within a specified time after the sale or his lien will terminate. For example, if there are two liens against a property and the first lien forecloses, the holder of the second lien can redeem by paying the amount of the high bid at the foreclosure sale (plus interest). The second lienholder would then receive deed to the property free and clear of the first lien. If the junior lienholder in this example does not redeem, his lien will no longer encumber the property after the foreclosure. This doesn’t mean that the debtor no longer owes him money; it means that the property is no longer collateral for the debt and he must enforce the debt using remedies other than foreclosure (such as suing for breach of contract).

Matters get more complicated if there are multiple liens junior to the lien being foreclosed, but the principles are the same: Junior lienholders, starting with the most senior, must, in turn, pay the amount of the high bid at the sale plus all senior liens that redeemed ahead of them or their liens will be terminated. For example, if there are three liens encumbering a property and the first lien forecloses, the holder of the second lien can redeem by paying the amount of the high bid at the sale. The holder of the third lien can then redeem by paying the amount of the high bid at the sale plus the amount of the second lien (if the second lien redeemed). The high bidder or last to redeem gets deed to the property.

When faced with foreclosure of a senior lien, a junior lienholder should determine how much equity is in the property, which is the difference between the property’s fair market value and the amount necessary to redeem. If there is little or no equity, redemption is usually inadvisable because it would cost more than could realistically be recovered by later sale of the property (taking into account sales commissions and holding costs). If there is sufficient equity in the property, it might be worth redeeming to save a junior lien because the cost to redeem could potentially be recovered by later sale.

Lien priority affects many aspects of the complex foreclosure process. This article is intended as a general overview; consult a real estate attorney for advice on your particular situation.

Noah Klug is an attorney with Bauer & Burns, P.C. He may be reached at 970-453-2734 or Noah@BreckenridgeLawyer.com. For a general overview of the residential foreclosure process in Colorado, go to www.BreckenridgeLawyer.com and click on “A Summary of the Foreclosure Process”.

Mountain Law: Landmark law brings changes for landlords and tenants

2010-07-28T13:43:00.000-07:00

Reproduced from the Summit Daily News, March 18, 2009 by permission of the author, Noah Klug.
,
The Colorado Legislature passed a new law in 2008 codifying certain obligations of residential landlords and tenants. The statute applies to tenancies that began on or after September 1, 2008, and applies to all sorts of properties, including apartments, rooming houses, rental condos, single-family homes, and trailers (if the landlord owns the trailer). It applies to verbal leases as well as written leases, but does not apply to rentals for less than 30 days.

Landlord Obligations

The new law requires landlords to maintain leased premises in a condition “fit for human habitation,” and includes a long list of specific landlord obligations, such as:

• Maintaining “weather protection” of the roof and exterior walls;
• Maintaining the plumbing, heating, electrical and sewer systems in good order and in compliance with the building code that was in effect when they were installed;
• Providing reasonable hot water;
• Maintaining floors, stairways and railings in good repair;
• Providing locks or security devices for all exterior doors and operable windows; and
• Complying with applicable building, housing, and health codes.

It’s not uncommon for written leases to contain a provision whereby the tenant waives claims for dangerous or defective conditions. Except in a few limited situations, the new law makes unenforceable any provision in a lease that attempts to waive the landlord’s obligations for habitability.

If a tenant gives the landlord written notice of an uninhabitable condition (if the tenant is not the cause of the problem), and the landlord fails to fix the problem within five business days after receipt of the notice, the tenant may vacate the premises and terminate the lease. If the tenant prefers to stay in the premises, he can ask a court to order the landlord to fix the problem (but the tenant must report the unsatisfactory condition to local government before filing suit).

In the past, tenants would often defend their failure to pay rent on the basis that there was something wrong with the premises. Under the new law, if a landlord files a lawsuit to evict a tenant for nonpayment of rent, the tenant will be obligated to give some or all of the delinquent rent to the court as a prerequisite to contesting the condition of the property.

The new law does not change a landlord’s right and obligation to follow the statutory eviction process to remove a tenant who doesn’t pay rent or violates other terms of the lease. The new law prohibits certain forms of landlord self-help such as turning off utilities and changing the locks on the doors unless the property has been abandoned by the tenant.

Tenant obligations

The new statute also imposes duties on tenants (including occupants who haven’t signed a written lease), such as:

• Keeping the premises reasonably clean, safe, and sanitary;
• Complying with building and health codes;
• Using utilities and appliances in a reasonable manner;
• Not disturbing the peace of neighbors;
• Informing the landlord if the premises are actually or potentially uninhabitable; and
• Not damaging, defacing, or removing any part of the premises.

Here are some additional details of the law:

• In response to a tenant’s notice that a property is uninhabitable, a landlord is permitted to move the tenant to a comparable property at the landlord’s expense;

• If certain requirements are met, landlords and tenants can agree that the tenant will perform work to remedy conditions making the property uninhabitable; and

• Landlords are not permitted to retaliate against tenants who claim that a property is uninhabitable by arbitrarily increasing rent or decreasing services, or by pursuing or threatening to pursue eviction of the tenant.

The last major revision to landlord tenant law in Colorado was in 1971, when the Legislature imposed treble damages on residential landlords who fail to timely refund or account for security deposits after termination of the lease. The 2008 law promises to bring a new wave of accountability for landlords and tenants.

The new statute contains details and exceptions that are not mentioned in this article. A complete copy of the new statute can be found at www.BreckenridgeLawyer.com. You should consult a real estate attorney for a review of your own situation.

Noah Klug is an attorney with Bauer & Burns, P.C. He may be reached at 970-453-2734 or Noah@BreckenridgeLawyer.com.

Vail Resorts reports strong Spring

2010-07-28T13:33:00.000-07:00

This article was pubished in the Summit Daily News, June 9, 2010, by Julie Sutor.

SUMMIT COUNTY — Vail Resorts finished the 2009-2010 ski season in stronger shape than in the previous year, with increased activity among destination visitors and improved guest spending, according to an earnings report the company released Wednesday.

Skier visits during the company's third quarter (February through April) improved by 4.6 percent over the same period in 2009. Its third-quarter bottom line in the mountain segment improved by 9.6 percent.

Vail Resorts CEO Rob Katz said he was “very pleased” with the company's performance in its mountain segment, which includes lift tickets, restaurants and ski school.

“In fact, during the spring break and Easter periods in 2010, we saw levels of skier visitation, total lift revenue, ski school revenue, dining revenue and retail/rental revenue that were comparable to the results we saw during the same periods in 2008 and 2007, giving us confidence in improving customer trends as we start planning for the 2010-2011 season,” Katz said.

Destination visitation during the third quarter increased by an estimated 7.9 percent over the same quarter last year.
Skier visits on the rise

Heavenly posted the strongest improvement in skier visits, with a 9.6 percent increase in visitation in the third quarter of fiscal year 2010, compared to the same period in 2009. Overall visitation for the quarter at the company's Colorado resorts — Breckenridge, Keystone, Beaver Creek and Vail — increased by 3.7 percent. Total skier visitation for all five of the company's resorts during the 2009-2010 season increased 2.5 percent over 2008-2009, despite record-low snowfall at the Colorado resorts during the early part of the 2009-2010 season.

Of the four Colorado resorts, Breckenridge fared best in terms of skier numbers, with an increase of 5.6 percent for the season. Neither Vail nor Beaver Creek were able to surpass the previous season's skier numbers, owing to the scant early-season snowfall. Vail did not open its back bowls until after Christmas. Skier visits at Vail declined by 1.4 percent for the season, even though third-quarter skier visits were stronger than in the previous year. Beaver Creek's skier numbers were down by 0.4 percent for the season.

Season passholders skied approximately 10 days on average during the 2009-2010 ski season, down by half a day compared to last season.

Within the mountain segment, ski school and retail/rental revenues were particularly improved. Revenue from ski school increased $4.3 million, or 11.7 percent, for the quarter, and retail/rental revenue increased $6.9 million, or 14.3 percent, primarily due to higher retail sales and rental volumes across the majority of locations.

Lodging still sluggish

The company's bottom line in the lodging segment during the third quarter was down 5.5 percent from the same period last year. The decrease was due almost entirely to declines at Keystone lodging properties and increased expenses in marketing and employee medical costs. Keystone experienced a significant drop in business from large groups, with a 24.6 percent decline in group room nights during the three-month period.

Excluding Keystone properties, total room revenues would have increased by $0.5 million, and transient room nights would have increased by 7.9 percent.

Looking forward

Vail Resorts recently completed its One Ski Hill Place project in Breckenridge. To date, the company has closed on 23 of its 88 luxury condominiums and anticipates additional closings over the next several weeks.

“We have full confidence in the ultimate success of this project and will be patient in our approach to ensure we maximize our proceeds from future sales,” Katz said.

Spring season pass sales for next season are down by about 14 percent compared to last spring. But Katz said last spring's strong season pass sales were due to a “mad dash” by consumers to purchase the Epic Pass, uncertain over whether the company would continue to offer the product. This year, the company assured consumers of the ongoing availability of the Epic Pass, thereby eliminating their urgency to purchase it.

The company has allocated $75-85 million in capital projects and maintenance, most of which will be spent this summer. The projects include a new high-speed chairlift at Vail, an alpine coaster at Breckenridge and renovations to lodging rooms at Keystone.

Keystone, county strike deal with Denver Water to safeguard resort snowmaking

2010-07-28T13:26:00.000-07:00

This is an article from the Summit Daily News, July 28, 2010, reported by Julie Sutor.

Denver Water will delay repairs to Roberts Tunnel, allowing Keystone to blow snow in early season.

SUMMIT COUNTY — Snow will blow as scheduled this season at Keystone Resort, thanks to a deal among the ski area, Summit County government and Denver Water.

The resort relies on water from the Roberts Tunnel, owned by Denver Water, to blanket its slopes in white every year through early-season snowmaking. Keystone is allowed to pump as much as 1,500 acre feet from the tunnel between Sept. 1 and March 31 each winter.

Denver Water needs to make repairs on the Roberts Tunnel, which draws about 54,000 acre feet per year from Dillon Reservoir to supply municipal water to the Denver Metro Area. The tunnel is 50 years old and requires valve replacements at its east end — a project that must be performed while the tunnel is drained, thus rendering water unavailable for Keystone during construction. The repairs were originally scheduled to begin on Nov. 1 and last throughout the winter until April 4, 2011.

“That would impact an entire season of Keystone's snowmaking, which is essential to guarantee good snow by the holidays,” Summit County manager Gary Martinez said.

That scenario would be worrisome to Summit County government, which receives sales tax revenues from Keystone and the many businesses in and around its base areas.

So Keystone and Summit County have negotiated a deal through which the resort will pay Denver Water $120,000 to postpone work on the Roberts Tunnel until Dec. 16. The delay will allow Keystone to draw water through Dec. 15.

Denver Water is still planning to finish construction by April 4, 2011, in time to capture spring runoff and fill reservoirs with water for summer use. The Keystone funds will cover the added costs of completing the project on a tighter timeline.

In the event that construction isn't done by the April deadline, and Denver Water loses the opportunity to store spring runoff, both Summit County and Keystone will make up for the deficits with water from Clinton Reservoir and Dillon Reservoir for up to three years.

“This is an example of the county putting our water portfolio to good use. It would be really tough for our revenue budget to have Keystone fall flat because of an inability to make snow,” Martinez said.

In a separate agreement, Breckenridge Ski Resort will lease water from Summit County for snowmaking for three years. Summit County will use funds from the lease agreement to purchase water rights in Wolford Mountain Reservoir, just north of Kremmling.

Summit County Energy Loans on Hold

2010-07-28T13:14:00.000-07:00

This article was reported in the Summit Daily News, July 28, 2010, by Julie Sutor.

SUMMIT COUNTY — Ten local households are hoping to receive low-interest loans this summer to pay for energy-saving upgrades like new insulation, crack-sealing and efficient boilers. But loan giants Fannie Mae and Freddie Mac are standing in the way.

The 10 households are prospective participants in Summit County government's Home Energy Loan Program (HELP), launched this year as a small-scale pilot project. Each home underwent an energy audit that identified the most cost-effective and energy-saving improvements. Under HELP, households are eligible to receive loans of up to $17,000 for energy improvements. The loans would be repaid at 4 percent interest over a period of 10 years through the owners' property tax bills. Of the 10 households that have applied so far, the average loan amount would be $12,000.

“They're all good, they're all cost effective, and they're all going to create good energy savings,” said Lynne Westerfield, of High Country Conservation Center.

However, Fannie Mae and Freddie Mac won't touch mortgages on homes in which people have participated in energy loan programs like HELP. The two corporations do not provide home loans directly; rather, they buy mortgages from lenders after borrowers complete the closing process, thereby allowing lenders to complete more loans.

The problem stems from the fact that HELP loans, and others like them, are repaid through property tax bills. That's convenient for the homeowner and relatively simple for the county. And it helps the county meet its goal of reducing energy consumption in the residential community. But in the event of a foreclosure, back property taxes (including the balance of the HELP loan, in such cases) are repaid first, before the mortgage. In essence, such mortgages are riskier investments for Fannie Mae and Freddie Mac, which together guarantee more than half of the home mortgages in the country.

Other communities that offer similar programs, including the Town of Breckenridge, the City of Boulder, Pitkin County and Gunnison County, are likewise impacted. In all, 22 states have authorized the loans, often referred to as Property Assessed Clean Energy, or PACE programs. A new batch of PACE pilot projects was set to launch this summer, with the help of $150 million in Recovery Act and Department of Energy funding.

Some mortgage lenders have proposed increasing the loan amount on all mortgages in communities that offer PACE programs, regardless of whether a given borrower plans to partake.

“We had something elegantly simple turn into something unbelievably complex,” assistant county manager Thad Noll said.

A national problem

At a meeting of the Summit Board of County Commissioners Tuesday, county officials agreed to put the program on hold, pending a solution at the local, state or federal level. The county commissioners were firm on the point that they could not offer a program that would effectively raise the purchase price of homes throughout the county.

“This is not a Summit County problem: This is a national problem,” Commissioner Thomas Davidson said. “They have to figure this out. It's too important to too many people.”

The Colorado Congressional Delegation and other lawmakers are applying pressure at the federal level to salvage the PACE programs. The State of California, where PACE was first conceived, has gone so far as to sue Freddie Mac, Fannie Mae and the Federal Housing Finance Agency (FHFA).

Rep. Jared Polis, who represents Summit County, signed on to a letter earlier this month urging FHFA Director Edward DeMarco to resolve the deadlock.

“PACE programs have been expanding rapidly across Colorado because they create jobs, cut pollution and allow homeowners the chance to save money on their utility bills,” Polis said. “Resistance to these groundbreaking programs has gone on for far too long, and our communities are suffering.”

Polis said DeMarco should step down from his post if he won't cooperate on the issue.

In the mean time, Summit County's 10 households, and others like them across the country, will have to wait.

“We're going to tell these people and their contractors that we're still trying. But we're on hold for right now,” Noll said.

The Summit County loans were tentatively scheduled to go out in mid-August. Delays have the potential to increase the cost or complexity of the proposed home-improvement projects, since many such upgrades are easier to perform before cold weather hits.

2010-07-24T10:41:00.000-07:00

This article by Erica Christoffer and Robert Freedman, is reproduced in total from Realtor Magazine, August, 2010

Housing Myths Busted!
Two e-mail chains are spreading misinformation about pending legislation, NAR says. One claims that the energy bill that’s working its way through Congress would require home sellers to obtain an energy audit or make energy retrofits before they can sell their home. In reality, the bill includes a provision that requires new construction to be energy-labeled but prohibits states from requiring new ratings when the house is resold.

The second e-mail states that the health care bill contains a 4 percent transfer tax on home sales. The truth is that the bill imposes a 3.8 percent Medicare tax for some high-income households that have "net investment income."

The tax, which goes into effect in 2013, applies only to households with adjusted gross income of more than $250,000 ($200,000 for individuals). Also, since the capital gains exclusion rule is still in effect, the tax would be charged only on home-sale proceeds that exceed the exclusion amount of $500,000 ($250,000 for individuals). That’s an amount that touches few households.

Global Issues Affect U. S. Mortgages

2010-07-24T10:25:00.000-07:00

This article byh Lawrence Yun, chief economist of the National Association of Realtors, is reproduced in full from his article in Realtor magazine.

Economy: Global Issues Affect U.S. Mortgages

The Gulf Coast oil disaster and European economic issues will likely affect the U.S. mortgage market.

By Lawrence Yun
August 2010

With the home buyer tax credit ended and the housing market now largely on its own, how can we expect the real estate market to perform? In the near term, we’ll probably see home sales slide measurably lower. By the third quarter, it will be up to job creation and consumer confidence to bring in buyers.

One factor that should help the market is the improving availability of financing for second homes and high-priced properties that require a jumbo loan.

These segments of the housing market were essentially shut down last year as banks scrambled to boost their capital to well beyond government “stress test” levels. Even the most creditworthy buyers found it difficult to get financing.

Today, banks are steadily moving toward more normal lending activity, even in sectors that don’t have government backing—not surprising given the huge profits and improved capital situation in the banking sector. Commercial financing could improve, too.

But as the housing market shows signs of stronger health, bigger economic issues are now on the horizon, putting important variables outside of the control of our market.

The meltdown in Greece could impact the capital position of U.S. banks if that country defaults on its obligations and Germany and other big economies of Europe say no to providing additional bailout funds to Greece and other at-risk countries like Spain and Portugal. With global capital at risk, money in the United States for any mortgages other than those with government backing could once again disappear.

The devastating oil spill in the Gulf of Mexico is another big unknown. The full impact won’t be understood for years, but we can expect domestic oil prices to rise measurably or the United States to import more oil. In either case our economic growth will be impeded.

Breckenridge Market Share increased 3 percent last winter

2010-07-22T11:31:00.000-07:00

In an article posted by Robert Allen in the Summit Daily News, July 22, 2010, it was reported that the Town of Breckenridge's marketing stimulus makes an apparent difference.

Breckenridge's market share among ski towns increased 3 percent last winter as the ski resort regained its title of the most visited in the United States. After gloomy projections in October that winter lodging occupancy could fall as much as 20 percent, Breckenridge Resort Chamber president, John McMahaon said that the $250,000 the town council provided as a marketing stimulus nearly filled the gap. He said that recent branding efforts are having an impact.

Both McMahon and Breckenridge mayor John Warner spoke of the need for a sustainable marketing revenue stream. The $250,000 was pulled from the town's excise fund to make the town competitive with other ski communities. Warner and other town council memebers are pushing for a 1 percent lodging tax increase to help sustain marketing funding.

After two years of declines, 2010 year-to-date numbers are starting to climb.

With real estate values in a ski resort tied to area popularity and ski travelers booking lodging, this news bodes well for the Breckenridge real estate market.

For more information, go to http://www.breck4sale.com/, or email Susan Gunnin at gunnin@colorado.net.

Low mortgage rates, tax credits lift home sales in April

2010-05-25T11:59:00.000-07:00

(This is an article from The Denver Post, May 25, 2010, reported by Alan Zibel and Martin Crutsinger)

WASHINGTON — Homebuyers rushed to take advantage of government incentives and low mortgage rates in April, giving the housing market its biggest boost in five months.

But now that a homebuyer tax credit has expired, growth in the second half of the year will depend on the lure of historically low mortgage rates and the strength of the economic recovery.

Some economists say mortgage rates alone won't be enough to propel the market.

"Although mortgage rates have fallen sharply, the combination of high unemployment, heavy indebtedness and tight credit suggest to us that demand will stumble," said Paul Dales, an economist at Capital Economics.

Sales of previously owned homes rose 7.6 percent to a seasonally adjusted annual rate of 5.77 million, the National Association of Realtors said Monday. The increase in sales sparked a rise in home prices. The median price for a new home rose to $173,100, up 4 percent from a year ago.

The national numbers are similar to earlier reports on metro area home sales. A record number of homes in the Denver area went under contract in April, according to data released earlier this month.

There were 6,616 homes placed under contract in the metro area last month, a 27.6 percent increase over April 2009, according to data released this month. There were 4,188 residential sales closed last month, up 16.3 percent from 3,602 closings in March and 23.5 percent from 3,390 in April 2009.

Nationally, mortgage rates fell last week to the lowest level for the year and close to 50-year lows as worries over the European debt crisis sent investors rushing into the safety of U.S. credit markets.

But Patrick Newport, an economist at IHS Global Insight, said the key to growth in the housing market won't be low mortgage rates.

"What really will drive sales forward and I mean after July, will be the job market," Newport said. "Having a good mortgage rate helps affordability, but we've had low mortgage rates for a long time now and sales have stayed below 5 million, except when the tax credit was involved."

Denver Post staff writer Margaret Jackson contributed to this report.

Big chill on mountain resort areas' home sales beginning to thaw

2010-05-24T11:02:00.000-07:00

(This is an article that appeared in The Denver Post on May 23, 2010 and reported by Margaret Jackson)

The mountain real estate market plunged so far last year that it seemed there was practically no place for it to go but up this year.

Turns out, that perception is proving to be true.

During the first quarter, many resort areas have seen the number of homes sold rise substantially compared with the same period a year ago. While it's a step in the right direction, the market is still not as good as in 2007 or 2008.

"2009 was so rank and so off, it was just scary," said John Helmering, a broker in the Vail Valley. "Realtors in the Vail Valley have been through the worst time period ever in the history of Vail real estate. This is an improvement, but not from 2008."

Still, it's too soon to call the first-quarter rebound a recovery, said Byron Koste, executive director emeritus of the University of Colorado Real Estate Center.

"It's going to slowly recover as people get confident that the wealth erosion that occurred in '08 and early '09 is really behind them, and they're back to making more money," Koste said. "If there is a rebound to that erosion, it may be short-lived. It's not clear to me that we have any reason to be rebounding, other than we all want to rebound."

Still, the improving first-quarter sales have given many mountain real estate professionals a reason to be optimistic.

In Eagle County, which includes Vail and Avon, the number of transactions for the first three months of 2010 rose a whopping 190 percent, to 276, compared with 145 during the same period a year ago. But that's still 27 percent lower than in 2008 and 58 percent lower than in 2007.

Activity should improve with the completion of Solaris, the Four Seasons Residence Club and the Ritz-Carlton Residences this summer, Helmering said.

"Our village and Lionshead are going to be put back together, and I really think that's going to have an impact on people's impression of Vail," he said. "It's been seven or eight years under construction. You couldn't walk down the street without walking around a huge hole in the ground."

Routt County statistics reveal a similar trend, with the number of transactions during the first quarter rising almost 113 percent, to 312, compared with 277 a year ago. Dollar volume in the county, which includes the resort community of Steamboat Springs, was up more than 225 percent to $125.7 million in the first three months, compared with $55.7 million a year ago.

Lending remains tight.

The numbers are approaching the level they achieved during the first quarter of 2008, but are nowhere close to their peak of 2007, when 573 homes sold for a total of $317 million during the first three months of that year.

The challenge, according to broker Mitch Clementson of Steamboat Springs Real Estate, is in getting financing to buy a house.

"In the old days, if they could see the fog when you breathed on a mirror, they'd give you a loan," he said. "But now, especially with the condo projects, they've gotten very strict. You have to have sterling credit, a lot of income and a lot of money to put down."

In San Miguel County, home to Telluride, just 80 homes sold for a total of $89 million during the first quarter, well off the peak years of 2005 and 2006. In 2005, 227 homes sold for $166.1 million during the first quarter. The following year, 183 homes sold for $196.2 million during the same period.

"In my 26 years of being a high-end luxury resort broker in Colorado, we've never seen an adjustment in our market like we have the last two years," said George Harvey, broker/owner of The Harvey Team in Telluride.

The market is likely to improve over the next few years because developers can't get financing to build new projects, Harvey said. But before pricing improves, San Miguel County has an inventory of 795 houses to burn through.

"It's going to be two or three years before a quality developer can get money," Harvey said. "After we go through this inventory, I think there's a chance it could get moderately good again in a couple of years because there won't be any new product."

While first-quarter sales in all of Pitkin County were down compared with a year ago, they increased in the Upper Roaring Fork Valley communities of Aspen, Snowmass Village, Woody Creek and Old Snowmass. So far this year, 79 residential properties have closed, a 49 percent increase over the same period a year ago, said Aspen broker Tim Estin.

"There are some significant bargains here based on trends and prices," Estin said. "I would definitely say the smart money is recognizing that and there are transactions occurring."

Prices haven't rallied.

In Summit County, there were 160 homes sold during the first quarter, a 29 percent increase over the 124 transactions during the same time a year ago. However, the number is still 44 percent less than the 286 deals closed in the first quarter of 2008 and 55 percent off the 360 sales in 2007.

And while sales look like they're on the upswing, pricing is still off compared with a year ago, said Joanne Hanson, a broker with Coldwell Banker Colorado Rockies Real Estate.

"Generally, I tell sellers if you want prime pricing, then wait," Hanson said. "But it could be three or four years."

Margaret Jackson: 303-954-1473 or mjackson@denverpost.com

Change in residential transactions from first quarter of 2009 to first quarter of 2010.
EAGLE COUNTY +190%
ROUTT COUNTY +113%

SAN MIGUEL COUNTY +53.8%

SUMMIT COUNTY +29%

PITKIN COUNTY -7.3%

Unemployed? Don't lose hope

2010-05-19T11:04:00.000-07:00

The following is an article which appeared in the Summit Daily News, May 18, 2010, by Julie Sutor.

To brighten employment prospects in a tough economy, update your skills and seek help on the job search.

SUMMIT COUNTY — As the resort-driven local job market goes through its annual spring lull, employment prospects for job-seekers may seem especially dismal right now. But for the unemployed, there are a few reasons for optimism, and there are resources available to make the experience less painful.

Summit County's labor force usually shrinks by about 4,000 to 5,000 jobs between March and May each year, according to data from the Colorado Department of Labor and Employment (CDLE). In the last three years, May has been the month with the smallest labor force of the year, with even fewer jobs than in October, when the job force takes its autumn dip. But in June, the number of local jobs begins to grow again.

The most recent data suggests the contraction Summit County's workforce could be slowing. In March of this year, 17,660 workers had jobs in Summit County, just barely behind March 2009, when 17,730 people were in the local workforce.

“While results for March are mixed, the Colorado job market continues to stabilize,” said Donald Mares, CDLE executive director.

Nationally, nonfarm payroll employment in April rose by 290,000, the unemployment rate edged up to 9.9 percent, and the labor force increased sharply, according to the U.S. Bureau of Labor Statistics. Job gains occurred in manufacturing, professional and business services, health care, and leisure and hospitality. Federal government employment also rose, reflecting continued hiring of temporary workers for Census 2010.

That could be good news for Summit County.

“Going into the summer season, our visitor numbers are really going to depend on whether we see a rebound in the national economy,” said Kent Abernethy, labor specialist at the Colorado Workforce Center in Frisco. “But even if the national economy isn't strong, people will take shorter trips, and that tends to mitigate some of the effects for us. People from the Front Range may decide to come up here for special events and other things rather than taking a longer trip.”

Take advantage of the resources

For the unemployed, Abernethy advised looking for work in sectors where job growth is likely, especially when workers can adapt their existing skills to a new setting or complement their skills through a little training. The Workforce Center offers workshops to help job seekers change careers and identify the skills they'll need to do it.

Abernethy suggests, “learning the shades of green available in an existing career. Electricians can learn to put in a solar photovoltaic system. Civil engineers can learn to set up a smart-grid system.”

The Workforce Center also offers skills assessments, which can help a worker identify which skills will transfer from a weak job sector to a strong one.

“You can see how your skills transfer, where the gaps are and what training you need to make the leap,” Abernethy said.

Some workers who have been laid off may even qualify for financial help with job-training or tuition.

Job seekers can also use the Workforce Center during a job search.

“If you've been in the workforce for 15 years, things have really changed dramatically since the last time you looked for a job. It's much more Internet-based, so you want to access good websites and get registered as a job seeker,” Abernethy said.

Workforce Center staff can also receive help with writing a resume and honing interview skills.

Wyoming Nervous about Colorado River Demand

2010-05-19T10:58:00.000-07:00

The following is a reprint of an article that appeared in the Summit Daily News, May 18, 2010, by Ben Neary, Associated Press Writer.

GREEN RIVER, Wyo. — Wyoming has an unusual problem among the states in the Colorado River system: lots of water and, other than supporting some fine trout fishing, no way to put a significant amount of it to use.

Yet increasing demand for water in the upper Colorado River basin, combined with new government predictions that climate change could reduce future water supplies, are ratcheting up concerns in Wyoming about how to preserve the state's share for the day when it's needed.

People in southwestern Wyoming are particularly concerned about two proposals to tap the Green River, and the Flaming Gorge Reservoir it feeds, to help supply Colorado's populous Front Range.

The Green River, a major tributary to the Colorado River, flows from the craggy heights of Wyoming's Wind River Range into Flaming Gorge Reservoir and on into Utah before it takes a brief turn into western Colorado.

Les Tanner makes his living on the recreation and tourism at Flaming Gorge Reservoir, where he has owned the Buckboard Marina since 1969.

“It's a good fishery; boating is good. It's just an all-around good recreational lake,” Tanner said while working on his dock on a recent spring day. “If they stop the flow of good water coming into this lake, all we're going to have is a stagnant pond.”

Wyoming has been using about 525,000 acre feet from the Green each year — about 73 percent of what has been the state's typical annual Colorado River Compact allocation of 833,000 acre feet. An acre foot is the amount of water that covers an acre to a depth of 1 foot.

The Colorado River Compact of 1922 essentially divides the basin's water, giving 7.5 million acre feet annually to the upper basin states of Colorado, New Mexico, Utah and Wyoming, and an equal amount to the lower basin states of Arizona, Nevada and California.

The upper basin states apportion their share among themselves. Colorado gets nearly 52 percent, New Mexico just over 11 percent, Utah 23 percent and Wyoming 14 percent.

If there's not enough water in the system for both the upper and lower basins to get their full 7.5-million acre foot share, the upper basin states still must deliver the full amount on average to the lower basin. The upper states then divide what's left according to their percentage formula.

Wyoming, a state of roughly 540,000 people, doesn't expect to use its full share of Colorado River water over the next 30 years even under the most ambitious growth scenarios. However, Phil Ogle of the Wyoming Water Development Office said his office is working on a new study of whether drier conditions could reduce the water supply in the Green River Basin.

Harry LaBonde, deputy Wyoming state engineer, said Wyoming's surplus draws attention from parched states downstream.

“There's no doubt that if you are using the water, you're more secure,” LaBonde said. “But the whole reason that Wyoming has entered into the Colorado River Compact and the Upper Colorado River Compact is to preserve its ability to use a certain allocation of water.”

Aaron Million, a Fort Collins, Colo., businessman, has applied for permits to build a private, multibillion-dollar pipeline from the Green River in Wyoming to Colorado. He has identified several Colorado agricultural interests that say they want more water and says the pipeline would also serve some customers in eastern Wyoming along the way.

Million's application spurred a coalition of Colorado municipalities to propose a 500-mile pipeline project of its own. The coalition is years behind Million's project in seeking federal and state approval.

Local governments in southwestern Wyoming have mobilized to fight both pipeline projects. The cities of Green River and Rock Springs and the counties of Sweetwater, Uinta, Sublette and Carbon oppose any draw from the Green, said Green River Mayor Hank Castillon.

Castillon's city recently invested millions in a kayaking course and walkways along the river that courses through town. Castillon fears that taking water from the river or the lake would hurt tourism, recreation and limit the town's future economic development.

The main question, Castillon said, is whether the State of Colorado has the right to draw any more water out of the Colorado River system.

Colorado's official answer to whether it has the right to more water seems to be “maybe.”

Ray Alvarado, spokesman for the Colorado Water Conservation Board in Denver, said his state is currently using between 2.3 million to 2.6 million acre feet of water under its share of the Colorado River.

How much more Colorado is entitled to isn't known, Alvarado said. But he said it's possible the answer could be none.

A new draft study by the Colorado Water Conservation Board concludes Colorado can draw between zero and 1 million acre feet more per year over the next 30 to 60 years, depending on climate change and other states' consumption, Alvarado said.

Colorado, meanwhile, estimates its population will rise from 5 million to 7.1 million people by 2030.

Both Million and the municipalities say Colorado's unused share of Colorado River water is adequate to meet the demands of their pipeline proposals, which would count against Colorado's share.

Million has applications pending with the Wyoming State Engineer's Office to divert some 250,000 acre feet of water a year from locations near the town of Green River and from Flaming Gorge Reservoir. He said he plans to modify his application to take all the water below the town to minimize environmental effects.

The U.S. Bureau of Reclamation, which operates Flaming Gorge Reservoir, estimated a few years ago that the reservoir could supply a pipeline drawing 165,000 acre feet a year over 40 years combined with other projected water uses. After 2050, as development in Wyoming increases, the bureau study projected the reservoir could sustain an annual diversion rate of 120,000 acre feet.

Bureau officials say they're revising their report and say it may well conclude even less water is available for any pipeline project.

Yet Million said he remains optimistic.

“We fully anticipate the surpluses in the system will be there that will allow the project to move forward with full protection of Flaming Gorge and the river below,” Million said. “And if they're not, the project shouldn't and will not go forward.”

The states of Wyoming and Colorado will participate in a U.S. Army Corps of Engineers environmental review of Million's project. The agency says it plans to have a final report on the project by 2014.

Wyoming's surplus water situation has worried state lawmakers for years.

“At some point are they simply going to say, 'You didn't use it, and when you didn't use it, you lost it,”' said Republican Rep. Kermit Brown of Laramie.

Yet Alexandra Davis, assistant director for water at the Colorado Department of Natural Resources said she doesn't believe development in Colorado places Wyoming's water is at risk because allocations are based on percentages of available water.

“Colorado doesn't get to say, 'Well we developed ours, therefore, Wyoming, you don't get yours,”' Davis said.

Economist: Expect home-price weakness to persist

2010-05-15T10:38:00.000-07:00

The following is an article written by Matt Carter for Inman News

Home sales expected to bounce back to normal by 2012
By Matt Carter, Friday, May 14, 2010.

WASHINGTON -- With the economy on the mend, home sales could bounce back to their historical levels by 2012, although the bulging foreclosure pipeline is likely to keep prices in check, economist Mark Zandi of Moody's Analytics told Realtors holding their annual midyear meeting in the nation's capital.

Zandi said he expects sales of new and existing homes to grow from between 5.5 million and 6 million this year to between 6 million and 6.5 million next year, and hit about 7 million in 2012. That would put home sales back on their historic trend line. But Zandi said that when it comes to home prices, "the coast is not quite clear."

With the foreclosure pipeline full -- Moody's estimates that 4.3 million out of approximately 50 million first mortgages are in foreclosure or overdue by 90 days or more -- Zandi expects further price weakness for the next six to 12 months and no real price growth through 2012.

Although loan modifications could help about half of homeowners facing foreclosure avoid losing their homes, another 9 million homeowners are underwater by more than 20 percent, he said, making them more likely to consider a "strategic default." Strategic defaults, or defaults by homeowners who are able to make their mortgage payments but choose not, will constitute a fourth wave of foreclosures, Zandi said.

The first wave of foreclosures, in 2006, often involved house flippers who got into trouble when prices stopped rising. Subprime borrowers facing interest-rate resets dominated the second wave in 2007, which was followed in 2008 by foreclosures among the unemployed and borrowers with negative equity.

There are already about 9.5 million vacant homes -- about 1.5 million more than would be expected by historical trends -- and it could take two years to work off that inventory, Zandi estimated. That assumes that builders keep putting up homes at a slower-than-usual pace of 600,000 homes a year, while new household formation produces demand for 1.35 million homes a year, a difference of 750,000.

While builders could very well pick up the pace of construction, Zandi expects demand will rise even faster -- a view echoed by National Association of Realtors Chief Economist Lawrence Yun. Yun said that with housing starts so far below historical norms, there's a chance that there will be housing shortages. Home prices could rise 2 to 3 percent this year and even more steeply after that because of the constraints on supply, he said.

While that might seem like a nice problem to have, Yun said abrupt price appreciation would not be good for businesses because some buyers will be priced out of the market. Sales of distressed homes are expected to account for between 30 and 40 percent of transactions for the rest of the year, Yun said. But the European debt crisis could lead to additional stress tests for U.S. banks, which would hurt jumbo and second-home lending, he said.

Zandi said the structured finance market, which channeled money into home lending before the financial crisis, remains "completely dormant." Fannie Mae, Freddie Mac and the Federal Housing Administration are standing behind 95 percent of loans, he noted.

"It's not healthy for our economy to be reliant on the government for mortgage credit," Zandi said. Nor is the rising ratio of federal debt to gross domestic product, which could eventually drive up interest rates and derail his optimistic economic projections, he said.

Zandi expects GDP, which fell 2.5 percent last year -- the worst showing since 1933 -- should grow by 3 percent this year, 4 percent in 2011, and 5 percent in 2012. But it may be 2014 before enough jobs are created to make up for the 9 million lost during the financial crisis, he said.

Businesses must create 125,000 a month just to keep up with the growing size of the nation's work force, he said -- a "break-even" pace he expects can be sustained this year. Next year, Zandi expects about 250,000 jobs will be created each month, a figure he said should grow to 300,000 in 2012.

Tessa in Silverthorne

2010-04-28T10:59:00.000-07:00

This blog posting has absolutely nothing to do with Breckenridge Real Estate. Rather, it is a video of my daughter, Tessa, during one of her gymnastics competitions last June. She was 12 years old at the time. I'm just a little proud of her!!!

Susan Goes Beyond Your Expectations

2010-04-21T11:14:00.000-07:00

The following is a testimonial from a client to whom Susan just sold a condominium in Breckenridge, Colorado.

"Susan has been a wonderful agent to work with. I happened to hit her website (http://www.breck4sale.com/) while looking at properties online and I liked what she had to say as well as the testimonials from her clients. I sent her an email with a number of questions regarding a condominium I was interested in as well as general questions about purchasing real estate in Colorado. Since I am from Wisconsin, I was not familiar with how I might benefit from owning vacation property. Susan was extremely thorough and timely in her responses to me. If information wasn't readily available, she would follow up with me later on once it was obtainable. Unfortunately that property sold so quickly, we never had a chance to pursue it any further.

Several months later I set up an appointment with Susan to meet her in person and to view a number of properties. She took me through ones that I had requested as well as additional ones she felt might be a good fit for me. I was impressed with her interest in each of these properties and her concerns regarding potential issues with them. She was alwas quick to point out features and or issues that I might have otherwise missed.

I never once felt pressure from Susan to make a sale. We did find a property that I ultimately purchased. Again, Susan was very thorough with the entire process of purchasing a home, always looking out for my best interests, especially since I was hundreds of miles away. She has been an excellent person to work with. I highly recommend her to anyone interested in purchasing property in Summit County. Her professionalism and warm personality cannot be matched by anyone I've ever worked with. Had I not met her, I'm not sure I would have actually gone through with the purchase."

Gary S., Germantown, Wisconsin

Highlands at Breckenridge Golf Course Home for Sale

2010-02-14T11:16:00.000-08:00

Click on the Photo to get more info about this beautiful, 6-bedroom, 5-bath home in The Highlands, Breckenridge, Colorado, offered at $1,125,000.

Search all Summit County Properties for sale

2010-02-14T11:10:00.000-08:00

To gain access to the Summit County MLS, courtesy of Susan Gunnin, click on the link below.

SUMMIT COUNTY MLS

For all your real estate needs in Summit County, contact Susan Gunnin, or visit her website:

Breck4Sale.com

How much is your Summit County home worth

2010-02-14T11:04:00.000-08:00

To get an expert opinion of the current market value of your home in Summit County, Colorado, just click on the link below.

HOW MUCH IS MY PROPERTY WORTH?

Susan Gunnin is more than happy to help you with your real estate needs.

Gibbs: CMC should be a four-year college

2010-02-05T10:55:00.000-08:00

In the February 4, 2010, issue of the Summit Daily News, Caitlin Row reports that State Senator Dan Gibbs, who was a former student at Colorado Mountain College which has a brand new building in Breckenridge, wants to see the 2-year college become a 4-year one, providing 4-year degrees. He has introduced a bill to the Colorado Legislature to do just that.

As of now, the community college only provides two-year associates' degrees. The CMC board of trustees already approved making four-year degrees a reality, but the measure must be passed by the state Legislature first.

According to Gibbs, expanding CMC's degree offerings would be good for Summit County's business community, as it would diversify the local tourism-based economy.

The Colorado Department of Higher Education is in the process of reviewing the future of Colorado higher education, and plans to finish the review by the end of the year. Thus, they are opposed to Gibb's bill, based on its timing in relation to the review process.

However, Lin Stickler, executive vice president of CMC, has concerns with waiting for a new strategic plan. She thinks the new CMC legislation is already aligned with the state's core goals -- to increase completion and lower costs for degrees, and to improve access and success for Colorado high school students, especially Hispanics and low-income students.

Gibbs and Stickler both noted that the bill would create no additional expense to the state, as CMC schools are funded locally, and four-year degree start-up costs could be absorbed by the institution.

CMC public information officer, Debra Crawford, noted that "lots of people on the Western Slope aren't getting advanced degrees because they can't leave home due to work and family commitments, etc. Online degrees don't work for everybody. We're trying to give High Country folks more options. We'd love to have it ready for next fall ... It's remaining to be seen how long it will take for all the pieces to fall into place."

Summit County real estate market could be worse; recovery is uncertain

2010-01-22T11:18:00.000-08:00

In the January 21, 2010 issue of the Summit Daily News, Robert Allen reports that after two years of falling prices and transactions for local real estate, local experts arent' sure whether the Summit County market has hit its lowest point.

From a cross-section of realtors, one believes we've already hit bottom and that there's going to be a "feeding frenzy", and that prices could get back to previous highs within four to six months. Another realtor isn't sure that the market has hit bottom -- that it might drop a little more. Houses that have had drops in prices are the ones that are selling. Nevertheless, this is a good time to buy rather than waiting until the market is already going up. Yet another realtor believes that it's really difficult to know.

A couple of things seem evident. People who are cash buyers have the most leverage in negotiating a purchase, and location is important -- properties that have traditionally seen the highest demand are likely to stay that way.

One indicator of the last couple of years of a soft real estate market is a decrease in the number of Summit County Realtors. From 2008 to 2009, membership in the Summit Association of Realtors dropped from 718 to 660, almost 8 percent.

If the market hasn't hit bottom, it is getting pretty close barring any unforseen market events.

Record $8.285M home sells at end of 2009 in Breckenridge

2010-01-06T10:28:00.000-08:00

Local $2 million-and-above home sales in 2009 beat 2008 numbers

An article in the Summit Daily News, by Robert Allen on January 6, 2009 reports that the most expensive home in Summit County history occurred last week. Located on the Trygve ski run going directly to the base of Peak 8, the 6,565 square foot, seven-bedroom, nine-bath, four-fireplace, three-car garage, custom home sold for $8.285 million.

Additionally, transactions for homes in the $2 million and above range were actually up in 2009 over the same period last year, even though some of these homes had dropped their initial asking prices. This, in spite of the fact that overall sales of local homes were down from previous years.

According to a local realtor, there is demand from people who want a home in a resort area and are looking to expand their [investment] portfolio without having everything in the stock market.

For more information about Breckenridge real estate, go to www.Breck4Sale.com, or contact Susan Gunnin.

Hotel/Condo/Retail Project at Breckenridge Gondola Base

2009-12-23T10:50:00.000-08:00

In an article by Julie Sutor in the Summit Daily News, on December 23, 2009, it is reported that Breckenridge's last major development is one step closer to reality.

Vail Resorts will go before the Breckenridge town council next month seeking final approval for a hotel, condos, commercial space and two parking structures at the base of the BreckConnect Gondola.

A major goal of the project is to enhance the flow of people between Main Street and the ski area. Alex Iskenderian, VP at Vail, said "We wanted this area to feel like an extension of the town, rather than just something separate on the outskirts. The gondola has already helped link the ski area with the town, and the development of the gondola lots will help complete that link."

The planning process for the Gondola Lot Master Plan has taken about two years, and has received unanimous approval from the Breckenridge Planning Commission earlier this month.

Iskenderian said the desire to create continuity between public and private amenities leads to a uniquely collaborative process not often seen in the development world. "We've worked on this hand-in-hand over the last two years to come up with a vision. It's been a real pleasure to work on, and it's led to a really great plan."

Once the master plan receives the town council's OK, individual components of the project will require approval as Vail produces more detailed designs. The company expects to complete the project during the next five to ten years, as market conditions allow.

For more information contact Susan Gunnin, or go to www.Breck4Sale.com.

County eyes renewable energy rules

2009-11-27T12:42:00.000-08:00

Code changes would emphasize the 'general right' of property owners to use renewable energy.

In an article in the Summit Daily News, penned by Bob Berwin on November 27, 2009, it is reported that, even though still subject to additional review and public comment, local officials are revamping development rules to establish guidelines for renewable energy systems including solar arrays, wind turbines and small wood-burning furnaces.

Currently, county codes don't spedifically address some key questions about these emerging technologies. Updated code language could help foster more installations of small-scale, renewable energy systems.

The general thrust of the discussions is to give property owners the right to use these resources as long as there is no significant impact to neighbors or the environment.

For solar arrays, the code changes would allow erection nearly anywhere on the property other than in the front yard between the house and the street. The systems would be allowed to exceed the maximum allowable building height by 10 percent. Solar panels would also be allowed in setbacks.

Wind turbines are not anticipated to be much in demand because there simply aren't many areas where adequate winds are sustained. They would be allowed in some rural areas. Quieter, vertically mounted turbines would be allowed in all zoning areas, not to exceed maximum building heights by 10 percent.

Small-scale, wood-fired burners that could make use of some of the beetle-killed pines would be limited to side and rear yards with stack height permitted to exceed maximum building height by 10 percent. The county would like to encourage the use of wood-burning energy systems as long as they meet applicable clean-air standards and other environmental requirements.

Small-scale hydropower installations would also be allowed in all zone districts under regulations aimed at protecting stream flows, water quality, aquatic habitats and impacts to surrounding areas.

Copper Mountain under new ownership

2009-11-19T09:59:00.001-08:00

This is a complete reprint of an editorial that appeared in the Summit Daily News, November 19, 2009, entitled

New Copper owner looks like a good fit

After months of speculation and rumor, the announcement came Tuesday that Intrawest will sell Copper Mountain in a deal expected to be completed before the start of 2010.

If this had occurred in the not-too-distant past, one might expect the eventual buyer to come from the hotel or real estate sector, but times have changed. Ski companies that once relied on real estate revenue to provide a financial base have recognized what truly made the real estate valuable in the first place: prime locations, great skiing mountains and a strong “guest experience.”

Powdr Corporation, a privately held company based in Park City, Utah, appears to be a good fit as Copper's new owner (the purchase still requires Forest Service approval). It is an American company that apparently knows skiing and has a solid reputation in the industry. Its other resorts are ones with which skiers and boarders are familiar: Killington and Pico in Vermont, Mt. Bachelor in Oregon plus a couple in California and one, believe it or not, near Las Vegas.

We'll continue to follow this story and will publish more stories about Powdr Corp, its management and plans for Copper in the coming months, but at first glance this looks like a ski company on the rise and, one hopes, a company coming to the Copper table ready to listen.

One of Intrawest's mistakes (which it shared with the ownership before it) was to corporatize Copper's base village — a move which drove out independent retailers and restaurants in favor of Intrawest branded storefronts. All one need do is look at places like Breckenridge, Aspen and Vail to see how much more robust a base village is with independent businesses at its core.

Times being what they are, we don't expect Powdr to come in with millions of dollars in improvements right away. What is hoped is they come in willing to learn as much as they can about the resort and the greater Summit County community, which takes a great deal of pride in its ski areas. There aren't many full-timers at Copper, but there are plenty of homeowners and a handful of longtime business owners with strong opinions about what's worked and what's not worked over the years: free lessons for the newbies they'd be well advised to heed.

Powdr would also be wise to recognize the many fine individuals who are part of the Copper team — people who should not be cast aside when the new owners take over.

In the meantime, Powdr Corp, welcome to Summit County. We look forward to meeting the Powdr team and seeing what it can do with one of our county's crown jewels.

—The Summit Daily Editorial Board consists of Jim Morgan, Alex Miller, Ryan Wondercheck, Matt Sandberg, Morgan Liddick and Howard Hallman.

For information about Summit County Real Estate, go to http://www.breck4sale.com/.

Colorado Ski Season Begins

2009-10-09T09:31:00.000-07:00

Yesterday, Loveland Basin, on the eastern edge of the Continental Divide at Interstate 70 opened. It is the earliest opening date in its history. Tomorrow, Arapahoe Basin in Summit County opens.

More snow is in the forecast for the coming weekend, and although it is sad to see the beautiful fall colors give way to snow, it is skiing that has the major influence on real estate values in Summit county.

Breckenridge Government Affrairs Alert

2009-09-01T10:05:00.000-07:00

Breckenridge to Again Consider Home Size Limitations

On September 1st, the Breckenridge Planning Commission will revisit whether to limit home sizes in specific Breckenridge subdivisions. The town is concerned about maintaining community character in specific single family neighborhoods. Last spring, the town proposed limiting home sizes based on a specific formula to each subdivision. After holding a number of public work sessions, and hearing out cry from residents, the town appointed a neighborhood preservation task force made up of residents of some of the affected subdivisions to develop a compromise proposal to present to the Planning Commission and Town Council. A number of Realtors were appointed to the task force. The Planning Commission will meet at 7 p.m. in the Council Chambers at 150 Ski Hill Road, Breckenridge.

The proposed policy would apply to those properties in Town which do not have a platted building or disturbance envelope and lie within one of the following subdivisions: Brooks Hill, Breckenridge South, Christie Heights, Gold Flake, Highland Filings 1-4 (only those which do not have platted envelopes), Peaks, Penn Lode, Snowflake, Sunbeam Estates, Sunrise Point, Trafalgar, Trappers Glen, Warriors Mark, Warriors Mark West, Weisshorn, and Yingling & Mickles.

Policy Details: Floor Area Ratio based on individual subdivision characteristics.Applies to above ground square footage only. Does not count above ground square footage for garages up to 900 square feet (typical 3 car garage). Unlimited below ground square footage. Maximum square footage allowance for larger lots. A Floor Area Ratio (F.A.R.) was selected by the Task Force to relate a home size to the lot size. In this case, the F.A.R. would dictate the amount of square footage that can be built, depending on the size of the lot.

Floor Area Ratio (F.A.R.) = Home Square Footage : Lot Size Square Footage

For instance, if a lot is 0.50 acres (21,780 square feet) in the Weisshorn subdivision, the F.A.R. for that particular subdivision is a 1:4 F.A.R. With this proposal, the square footage would apply only to above ground square footage and a 900 square foot garage is exempt. Ultimately, with the proposed policy direction, the property owner would be permitted 5,445 SF above grade home+ 900 SF garage= 6,345 total above ground and unlimited below ground square footage.

For more info, email Susan Gunnin, or call 970-389-0182

Contracts on properties marked as Best Deals in Breckenridge

2009-08-31T10:44:00.000-07:00

Since starting the website, BestDealsBreck.com only a couple of weeks ago, six of the properties have already gone under contract. These really are exceptional opportunities for adding to your investment portfolio or for finding a great second home at bargain basement prices.

Check out BestDealsBreck.com, visit my website Breck4Sale.com, or email me.

Susan Gunnin

Best Real Estate Deals in Breckenridge, Colorado

2009-07-31T09:19:00.000-07:00

The website,www.BestDealsBreck.com is updated daily with new information about the changing parameters of a list of really good real estate investment opportunities in Breckenridge, Colorado.

To learn more about these opportunities, go to www.Breck4Sale.com and Susan Gunnin will be happy to explain why these listed properties are such good deals.

New Website for Real Estate Deals in Breckenridge

2009-07-15T14:23:00.000-07:00

In markets like the current one, it is not unususal for there to be really good deals in certain pockets of real estate. This is certainly true in Breckenridge, Colorado.

A new website, http://www.BestDealsBreck.com has been created to display such opportunities. It deserves serious consideration by those prepared to act quickly since good deals do not stay on the market for long.

Check it out.

Earnings down, but pass sales up for Vail Resorts

2009-06-05T12:56:00.000-07:00

Bob Berwin reports in the June 5, 2009, issue of the Summit Daily News:

Execs hope pass sales will spur visits next season.

Season pass sales and usage continues to be bright spots for Vail Resorts at the end of a challenging season.

In spite of a 20.9 percent drop in bottom line earnings, advance season pass sales for next year are up 37 percent from last year. This revenue is quickly growing into a larger slice of the company's overall revenue picture, from 26 percent in the 2007-8 ski season, to 34 percent for the 2008-9 season.

Total skier visits were down about 5.3 percent for the 2008-9 season. Destination guests made up 57 percent of Vail Resort's total visitation, compared with 63 percent last season. Visits by non-season pass holders dropped by 22 percent.

These results were impacted by the continued severe downturn in the economy.

On the real estate side, Vail Resorts reported revenues of $9.4 million for the third quarter of 2009, compared to $54.5 million for the same quarter last year, resulting in a $4.7 million loss.

The company's operating expenses were down $12.8 million, or 8.1 percent compared to last year. Forest service and credit card fees were down along with labor costs which resulted from a company-wide wage cut implemented in April, 2008.

Lodging revenue was up 3 percent for the third quarter, mainly from revenue generated by Colorado Mountain Express, a recent acquisition of Vail Resorts. But overall lodging revenue was down 26.9 percent. Lodging deals helped drive skier visists, but also pushed down average room rates.

Rob Katz, CEO for Vail Resorts, said he thinks advance sales of season passes for next year will create momentum going into the 2009-10 season.

For information about real estate opportunities in Breckenridge, contact Susan Gunnin, or visit www.breck4sale.com.

Village at Breckenridge plans $19 million expansion

2009-03-02T10:56:00.000-08:00

As reported in the Summit Daily News, February 28, 2009, by Robert Allen, homeowners of the iconic, 'Seventies-type feel' Village at Breckenridge have approved a $19 million refurbishment to begin in 2010. In need of an update, the homeowner's association general manager commented that "it was running second for the ugly award in town". [No report on what is first!!]

The buildings will get new roofs, decks, windows, railings, and the skins of the five buildings will be improved. The theme will be 'mountain elegance with historic features', and the existing Plaza III building will have a clock atop the elevator shaft. The ground level will be transformed so it will look like a village.

The Village includes some 235 residential and 28 commercial units. The residences range from 386 square feet to 1,800 square feet. The project will cost property owners an average of $76 per square foot.

Reports of possible 15 to 20 percent lower labor and construction costs, due to the national economic slump, and probable lower loan rates make the project feasable at this time. The price could actually come in at less than $19 million.

Project construction is to begin in April, 2010 and be complete in eight months. All five buildings will be improved simultaneously.

The HOA voted overwhelmingly to go forward on January 31, 2009. It is expected to go out to bid in April.

The project is hoped to make the Village area more vibrant, attracting more restaurants such as Teddeo's Italian Restaurant which recently moved to on of the Village buildings.

Improvements to the central deck area have been considered, but aren't included in the project price.

For more information about the Village, contact Susan Gunnin.

Breck home-size policy to be decided through consensus

2009-02-13T10:17:00.000-08:00

Council takes heat for preservation proposal

Robert Allen of the Summit Daily News reported February 13th, 2009, that although Breckenridge officials want to restrict home size to preserve neighborhood character, a task force should be created aimed at finding a consensus.

Last week, the town hosted two open-house meetings with residents from about 25 Breckenridge neighborhoods. In both meeting, most shared the view that maintaining the size and scale of homes in their neighborhood was important. But a wide majority disagreed with the town's proposal of capping the maximum home size at 80 percent of the average, current home sizes.

What is intended is to avoid the situation where a 10,000 square foot home is built amid homes averaging, say 4,000 square feet.

Some meeting attendees felt that people who want to build such a 10,000 square foot home would simply take their plans -- and potential tax dollars -- elsewhere. Others pointed out that a design-based, rather than size-based, approach could better fit with what neighborhoods want. Many said they'd prefer to have the policy address specific subdivisions rather than the town overall. Maybe this is more an issue for the historic district than for outlying areas.

Town mayor John Warner concluded the work session by suggesting a task force of stakeholders such as a real estate agent, a home builder, a member of the town staff and others to "create a menu of options" for future discussion. Such a task force will be assembled to convene sometime soon regarding a neighborhood preservation policy. The policy would apply to homes in neighborhoods without platted building envelopes. Single-family homes and some duplexes are the only structures with no square-footage limits in the town's current development code.

For more information, contact Susan Gunnin, or go to www.breck4sale.com.

Town of Blue River approves sewer annexation

2009-02-06T10:51:00.000-08:00

A Summit Daily News article by Robert Allen on February 4, 2009, reports that the Town of Blue River (about 2 miles south of Breckenridge) voted to be annexed by the Upper Blue Sanitation District. Gradually over time, the approximately 680 residents of Blue River will have the option of replacing existing septic systems with sewer service.

This news is interesting in that, historically, the town has voted against any potential intrusion into the town's "rural character". But it appears the advantages of sewer service outweighed these concerns.

Residents won't be required to connect to the sewer until their current [septic] systems fail, and then would only be required to connect if they were within 400 feet of a sewer main.

Construction will begin at the south end of town but probably not for another year and a half. The South Blue River Treatment Facility next to the Eldorado Subdivision is planned to serve the entire town.

Presently, most of the town's residents use septic systems. The threat of failing systems, the expense of replacing them, and the gradually increasing population density affected the outcome of the election.

The Upper Blue Sanitation District was formerly known as the Breckenridge Sanitation District.

If you want to learn more about how this might affect real estate in the Blue River area, contact Susan Gunnin

Vail: Full Speed Ahead On New Improvements

2008-09-04T10:31:00.000-07:00

Vail Resorts says it plans to spend at least $100 million on projects to upgrade its five ski properties.

September 4, 2008 - The Denver Post

Vail Resorts (owner of Breckenridge Ski Area) plans to showcase at least $100 million in capital improvements this year at its five ski resorts. The spending, which could rise to $115 million by the end of the year, is more than the combined total for all other Colorado ski resorts.

National economic weakness and a slight decline last year in Colorado's total skier visits have not caused Vail to rein in the spending program. According to Bob Katz, Vail chief executive, "We have not pulled back on a single improvement".

Projects include a new eight-passenger gondola at Keystone, a new base area with dining and lodging at Breckenridge's Peak 7, the opening of the Arabelle hotel in Vail Square and a $7 million renovation of the former Inn at Beaver Creek.

Katz also announced:

Within two years, Vail will doulbe from 5 percent to 10 percent its program to reduce energy consumption through conservation and equipment upgrades
Sales of the Epic Season Pass -- allowing unlimited skiing at all Vail Resorts for $579 -- have been strong
A new lodging promotion offers one free night at various Vail Resorts hotels during the season's biggest holidays if four consecutive nights are purchased.

Copper Plan Gets Green Light

2008-08-13T13:32:00.000-07:00

Commissioners conditionally approve major base-area changes

In an article in the Summit Daily News, August 13, 2008, Bob Berwin reports that the Summit County Commissioners approved a plan to resdistribute about 420 units of previously approved unbuilt density at Copper Mountain, focusing development in the core of the resort.

Copper officials said the redevelopment will breathe new life into the resort's base area by building a critical mass of beds and commercial activity with the addition of new residential units and a condo-hotel on the site of the Chapel parking lot. This is a scaled-down version of several previously denied proposals.

According to Gary Rodgers, president and CEO of Copper Mountain, "the sequencing of any development is yet to be determined" explaining that the resort and county still have to nail down the details of the conditions attached to the development approval.

"It's been a long road to get here," Rogers continued. "It's our goal to now move forward and work with all stakeholders on the execution of this plan over the coming years."

Overall, the development will provide significant public benefits, and the amendment falls within the guidelines of existing county regulations. Those benefits include new trail connections, stream restorations and donations to the Chapel Foundation and the Summit Housing Authority.

Single-Listing Websites

2008-04-01T12:52:00.000-07:00

One way for Realtors to more effectively market a property they have listed is to create a website just for that property, using the property's street address as the website name (domain or url name). For example, if the listing is located at 217 Highlands Drive, then the website name would be http://www.217highlandsdrive.com/. Then, on the listing sign at the property, the Realtor adds a rider with this website name on it.

There are several reasons why this is an effective marketing tool. Passers-by or other realtors who see the property have an easy way to remember the website (as opposed to some website name that has little or nothing to do with the property itself, and might be 40, 50 or more characters long and thus difficult to remember). The information on the website is usually more thorough, more pleasing to view and in general, more informative than a simple brochure or the listing as seen on an MLS site (where, for example, the number of photos may be limited, and the information provided too terse). The Realtor has an opportunity to market him or herself. And, the website name can be added to brochures, linked to the Realtor's own website and used in any other marketing efforts like postcards or emails.

Susan Gunnin has used this tool with very good results in a number of her listings. These websites have been created by her husband, Don, whose work and several samples can be viewed at http://www.quickcustomwebsites.com/. These websites are very inexpensive considering the size of the commission that will be earned and when compared to other types of marketing.

The Snow just won't quit!

2008-02-26T08:27:00.000-08:00

Once the snow started in December, it just hasn't let up. Back in November, the weather pundits (meteorologists) were predicting a dryer than normal ski season.

Man! Were they wrong. As of today, Febeuary 26, we have had 60 inches of snow this month. And for the season, Breckenridge reports over 214 inches of the white stuff.

Southern Colorado has had even more, and they're running out of places to put the snow cleared from walks and streets.

Oh well. Such is life in the Rocky Mountains.

Breckenriedge Skiable Terrain Now at 75%

2007-12-14T13:07:00.000-08:00

After an unusually dry November, the snow gods have awakened and December snowfall has been great thus far.

Season-to-date Breckenridge has had 87 inches of snow. As of December 14th, Breckenridge Ski Area reports that 75% of its skiable terrain is open with 25 of 27 lifts operating.

It's an understatement to say that snow in a ski resort is good for the real estate values.

For more info contact Susan Gunnin, or visit her website.

More Luxury Units Come to Breck

2007-12-03T13:50:00.000-08:00

An article in the Summit Daily News by Kimberly Nicoletti, reports that One Ski Hill Place, a 90-unit development at the base of Peak 8, is about to raise the bar for luxury in Summit County.

The first fifteen of ninety units will be offered for sale, and there's already interest, according to Alex Iskenderian, vice president of Vail Resorts Development Company.

The asking price for the first of four penthouses will be $2.67 million -- the highest asking price for a non-single family residence in Summit County. The cost per square foot is also notable -- with prices ranging from $963 to $1,385 per square foot. Last ski season, Crystal Peak Lodge sold about two-thirds of its units for approximately $928 per square foot.

One Ski Hill Place offers a premium location with amenites not yet seen in Summit County. A two-lane bowling alley will be designed to look like an old mine shaft. Additionally, there will be an aquatics center with two swimming pools, an indoor hot tub and an outdoor plaza with a private hot tub, a game room, two movie lounges and lockers for owners and guests. There will also be three restaurants, a conference center, a sports massage center, daily maid service and ski and snowboard rental.

Iskenderian said the level of luxury "is likely to pull everything up with it in Summit County." One thing seems certain: Breckenridge is upping its level of extravagance.

Some are comparing Breckenridge to Aspen and Vail and perceiving value here because it's still less expensive.

The units will range from studios, starting at $585,000 to four bedrooms at $2,670,000.

For more information about One Ski Hill Place, contact Susan Gunnin at RE/MAX in Breckenridge.

2006-7 Breckenridge Ski Area and Business Data

2007-07-25T10:15:00.000-07:00

As reported in the July 24, 2007 High Country Busines Review by Kimberly Nicoletti

23 months in a row of sales tax revenue increases
Record skier visits (1.65 Million), Breckenridge exceeded Vail
63.7% of skiers were from out of state, 9.7% international, 12.6% from Colorado
International visitors stayed an average of 8.8 nights, out-of-staters stayed 5.2 nights
Breckenridge 2006 economy surpassed $300 million for the first time ($323 million)
Lodging revenue up 33 percent for summer
Average age of skiers continues to increase from 35 to 37

These statistics bode well for real estate investment in Breckenridge. For more info, contact Susan Gunnin by email or visit her web site.

Currency Rates: British Pound versus US Dollar

2007-07-23T10:08:00.000-07:00

With currency exchange rates placing the British Pound at a quarter-century high against the US Dollar, and with very favorable EURO rates, now could be the ideal time to put those overseas funds to work in Breckenridge and Summit County real estate. Real estate values continue to appreciate in Summit County which has been largely unaffected by the real estate maliase in other sections of America.

Susan Gunnin understands the needs of overseas investors and is comfortable offering them her expertise in the Breckenriddge and Summit County real estate markets.

To gather more information about this exciting investment opportunity, email Susan or go to her web site.

About Summit County

2007-06-22T10:14:00.000-07:00

Summit County is situated about 60 miles west of Denver, smack dab in the middle of Colorado's glorious Rocky Mountains. Traveling to Summit County from Denver via I-70, the eastern edge of Summit County is the Continental Divide, the watershed separating water flows to the Atlantic Ocean on the east side and the Pacific Ocean on the west side. Entrance to the county from Denver is through Eisenhower Tunnel, a mile and a half long tunnel completed in 1973. At over 11,000 feet above sea level, the tunnel is the highest in the world. Here is a very interesting web site about the tunnel.

Hoosier Pass defines the southern edge of Summit County, about ten miles south of Breckenridge. It, too, is a pass over the Continental Divide and its elevation is over 11,500 feet. Hoosier forms the headwaters of the Blue River, which, when it flows out of Dillon Reservoir, is one of the most beautiful, Gold Medal Trout fisheries in the country.

Traveling along I-70, the western edge of Summit County is Vail Pass, at about 10,600 feet. About 15 miles beyond Vail Pass is the city of Vail which hosts the most popular ski area in North America. Breckenridge, by the way, is the 2nd most popular resort in America.
Here is a comprehensive overview of Summit County,

There are five towns in Summit County: Breckenridge, Frisco, Dillon, Silverthorne, and Keystone. Breckenridge and Keystone are homes to ski areas. Two other ski areas, Arapahoe Basin and Copper mountain are nearby, and Vail is about a 40 minute drive west.

Recreation opportunities abound in Summit County. Not only is there alpine (or downhill) skiing, but other winter activities include cross country skiing (Summit County has miles of X-country ski trails), ice skating, sleigh rides (some with meals), sledding, and good ol' snowball throwing!

Summer is unbeatable! There is a saying among locals "I moved here for the skiing, but I stay here for the summer!" Summer activities are boundless. Biking, hiking, fishing, gold-panning, boating on Lake Dillon and touring historic mine sites are among the favorites. Of course, for relaxation, just sitting on the deck observing the incredible beauty of the wild-flower-covered mountains or crystal clear streams is hard to beat. Investing in the Breckenridge real estate market avails you to all this.

For information about towns in Summit County, follow these links:
Breckenridge Frisco Dillon Silverthorne Keystone

For more information about the real estate market in Summit County, contact Susan Gunnin or visit her web site.

Colorado Skier Visits hit new peak

2007-06-18T14:06:00.000-07:00

An article in the Denver Post by A. J. Miranda, on June 15, 2007 reports that for the second consecutive year, Colorado hosted a record number of skier visits, bolstered by momentum from the previous season as well as early snowfall.

More than 12.56 million visits were recorded by the state's 26 resorts between October and June, according to figures released by Colorado Ski Country, the resort association's trade organization.

Colorado also broke a national record by grabbing 23 percent of the U. S. Ski Industry market share.

According to Rob Perlman, CEO of Colorado Ski Country, "We have a lot of great advantages in Colorado, and one is the consistency [compared to an inconsistency in other, lower-elevation markets] of the product. It's an unbelievable winter vacation experience.

"The publicity from the Denver snowstorm last year told the world that Colorado had snow pre-Christmas" said Bill Jensen, president of the mountain division of Vail Resorts. At that point, there was no snow in Europe and no snow to speak of in New England".

International tourism helped Colorado, with just under one million skiers coming from outside the U. S. At 8 percent of skiers, the international visits were also a record.

All this was helped by the $19 million the Colorado Tourism Office spent to promote Colorado, a vast increase in spending from prior years.

No doubt, Colorado's national popularity helps the real estate market in ski resorts. For more information, check out http://www.breck4sale.com/.

Second Home Purchasing in Breckenridge and Summit County

2007-05-17T08:28:00.000-07:00

If you’re thinking about purchasing a second home in Breckenridge or Summit County, here's some valuable information to help you in this momentous decision. Your second home can be a place for you to get away from it all, develop and enjoy your hobbies, renew your spirit, and do the things you love.

But before you make the decision, there are some important practical issues to consider mostly having to do with the financial aspects of second home ownership. The major decision is whether you want your second home purely as a vacation home, or are you looking for an investment property? The tax ramifications are different for these two uses.

A vacation home is one that you use for at least 14 days per year (or, if it is rented, at least 10 percent of the total number of rental days). An investment property is one that is used less than 14 days, and owned primarily to generate rental income. In both cases, you have the probability of appreciation as it relates to your overall financial goals.

The tax ramifications of these two types of ownership are very different:

Vacation Home Investment Property

Mortgage Interest deductible not deductible
Rental Revenue tax free must be reported, taxable
Rental Expenses n/a deductible
Property Taxes deductible deductible
Rental Expenses n/a deductible
Utilities n/a deductible
Home insurance n/a deductible
Depreciation n/a allowed

In an investment property, in some cases, rental losses can be used to offset other income, dependent on the amount of other income and your own usage of the property. It may be possible to use funds from your retirement savings accounts to purchase an investment property. It is also possible to schedule “fix-up or maintenance days” which are not counted as your own personal usage. You should consult an accountant for these rules and information.

Whatever the choice, it is possible to use the equity in your permanent residence to purchase or make the down payment on your second home.

Once you’ve decided on the Vacation versus Investment property, you can consider all the reasons why you’ve chosen Breckenridge or Summit County as your second home location.

A 2006 survey of current homeowners (both local and second homeowners) by the Northwest Colorado Council of Governements (NWCCG) reported the following about second homeowners in Breckenridge. All responses are listed in order of importance.
Why did you purchase in Breckenridge? Recreational amenities, proximity to ski resort, scenery and surroundings, intend to vacation here, investment potential, small town atmosphere, climate, air and water quality, friendliness, proximity to front range, rental income, more affordable than other mountain resorts, intend to retire here, proximity to friends/family, and proximity to airports.

How important are community services? Open space/trails, parks/trail system, recreation center, arts/cultural, public transportation, library services, Division of Wildlife, medical services.

Most important recreation? Downhill skiing, walking/jogging, hiking, mountain biking, golf, fishing, picnic areas, swimming, Nordic skiing, playgrounds, snowboarding, tennis, sailing/boating, ice hockey/skating.

What is most important? Recreational opportunities, parks/trails and open spaces, public safety, appearance of town, opportunities to attend cultural events, transportation, sense of community, shopping alternatives, health services, education (K-12), traffic, adult education, job opportunities.

These responses probably match-up pretty closely with your own decision to purchase a second home here.

According to the National Association of Realtors (NAR), if you’re a typical second home purchaser, you are a baby boomer in your late 50’s with a belief in diversifying your assets, and you earn around $120,000 annually. In their 2006 report, the NAR reported that of all home purchases in 2006, 36 percent were for second homes, with vacation home sales up 4.7 percent over 2005. 24 percent of these second home purchases were in resort areas. Of all home purchases in 2006, 22 percent were for investment properties, and 7 percent of them were in resort areas.

All this information is provided to let you know that you’re not alone in considering a second home purchase in Breckenridge or Summit County. Because of this, when you consider the supply/demand ratios, you can anticipate that prices will continue to escalate (appreciation) because Summit County is approaching “buildout” where all the property available for development has been developed.

National Brotherhood of Skiers pick Breck

2007-04-19T11:03:00.000-07:00

2008 annual meeting will mark the 35th anniversary of the National Brotherhood of Skiers

The National Brotherhood of Skiers (NBS) -- known as the largest winter sports organization in the United States -- will be having its 2008 annual meeting in Breckenridge, January 12 - 19.

The annual meeting and Challenge Cup is the NBS biennial convention and fundraiser, and is expected to bring more than 1,000 individuals representing 77 clubs from across the country for the week-long winter sports event.

The quaint Victorian mining town of Breckenridge, combined with the 2,300 acres of ski terrain that make up Breckenridge Ski Resort will be the setting for all of the NBS annual convention events and activities.

"Breckenridge has a history of propelling new sports and teams of athletes into future Olympic competitions," said Lucy Kay, vice-president of marketing for Breckenridge Ski Resort. "We are very pleased to welcome young NBS athletes into the fold during their annual meeting."

The primary purpose of the annual meeting and Challenge Cup is to demonstrate African American representation in winter sports and raise money for the NBS Olympic Scholarship Fund, designed to provide financial support for exceptional athletes of color who excel in winter sports. The intent is to propel these young athletes to Olympic and international competition.

The NBS was founded in 1973 by 13 African American ski clubs. Since that time, the organization has grown to more than 77 clubs with membership of more than 8,000 adults and youth.

Keystone thinks big for future on-mountain improvements

2007-04-12T15:34:00.000-07:00

In the April 11, 2007 Summit Daily News Nicole Formsa filed the following report.

Executives from Keystone Ski Resort (owned by Breckenridge Ski Area owner, Vail Resorts, and about a 20-minute drive from Breckenridge) touted their long-term plans for the county's largest ski area, including replacing the River Run Gondola, building a new on-mountain restaurant, relocating the Outpost Gondola, and beginning a $2.3 million expansion of the Keystone Lodge Spa.

Pat Campbell, Keystone chief operation officer, said Keystone has caught the attention of its parent company and is poised to take the next step. "People have really noticed the success that we're having, but also the incredible potential here at the resort, so I think we're sitting in just a great position looking into the future for development" Campbell said.

The master plan, which is subject to Forest Service approval, has at the top of the list the replacement of the 23-year-old River Run Gondola. As planned, the new gondola would start on the north side of the Snake River to shorten the walk from the free parking lot and would include a mid-station. The new gondola was originally planned to be tied to real estate development, but is now viewed as a stand-alone project and can move forward without a real estate anchor.

In addition, Keystone plans to replace the Argentine lift with a new lift that would whisk skiers from the Mountain House base to the top of Dercum Mountain. Also planned is a fine-dining restaurant which could eventually replace the award-winning Alpenglow Stube.

Breck's Peak 6 ski area expansion a sure thing

2007-03-29T10:55:00.000-07:00

In an article in the Summit Daily News, dated March 29, 2007, Bob Berwyn reports that the Breckenridge town council got an update on resort plans from the Forest Service.

Ski area development on Peak 6 is all but a done deal. U. S. Forest Service District Ranger Rick Newton states " The bottom line is, there will be skiing on Peak 6. The skier density at Breckenridge is high ... especially compared to other resorts in the area ... more terrain makes sense. The intermediate terrain on Peak 6 is what they're after". Newton referred to the resort's perceived need to spread out crowds on peak days.

Although the fundamental decision to allocate Peak 6 for resort-based sking was reached in 2002, public involvement will be part of a site-specific review of a Peak 6 proposal. The site-specific proposal would answer the only question remaining: What type of ski development might occur in the area? Newton mentioned hike-to and cat-served sking as possible options, along with lift-assisted skiing. Concerns about wildlife impacts and backcountry access would be addressed during the site-specific review.

The timing of a Peak 6 expansion is still up in the air, according to Rick Sramek, vice president of Ski Area operations. "We went 15 years between developing Peak 10 and Peak 7. At the earliest, a Peak 6 plan could be on the table a year from now.

Although the town of Breckenridge doesn't have a formal role in the Forest Service approval process, Breckenridge Mayor Ernie Blake expressed apreciation for the willingness of ski resort leaders to come back to the town a second time to outline their plans.

Ski Resort Crowds are soaring at Breckenridge

2007-03-26T12:15:00.000-07:00

An article in the Denver Post posted Sunday, March 25, 2007 by staff writer Julie Dunn reports that in spite of untimely blizzards and unseemly traffic from Denver, ski resort crowds are soaring as good snow, great press and hot properties offer a lift.

With spring-breakers crowding the slopes and just weeks left before the end of the season, Colorado's 26 ski resorts are on pace to meet -- if not beat -- last year's record of 12.53 million skier visits.

With the average skier spending $210 a day, that translates to roughly $2.6 billion in economic impact. Buoyed by good snow, great national press, strong real estate sales, a wider variety of activities and more terrain, ski resorts are attracting bigger crowds and filling local cash registers.

Through February, traffic at state ski resorts was up 1.4 percent from the record set last year. The volume has grown for a number of reasons, including the addition of resort amenities that appeal to destination visitors and technological advances in equipment that help baby boomers keep skiing longer.

Colorado's snow conditions have been reliable, while other regions have suffered in recent winters. With higher elevation and much more consistent snow, Colorado has a strong competitive advantage.

The recent explosion of mountain real estate development has also helped grow a base of faithful skiers. According to Ford Frick of Denver-based BBC Research and Consulting, real estate development builds in loyalty. "You're a lot less likely to go skiing in Utah if you own a home in Breckenridge. An increasing amount of skier visits are coming out of the growing residence base in the mountains".

The weaker US dollar also has drawn more international skiers to Colorado than in past seasons, and Europe's dismal snow this past winter has helped continue that trend.

For more information about investing in Breckenridge real estate, email Susan Gunnin, or check out her web site.

About Susan Gunnin, Blog Author

2007-03-21T12:48:00.000-07:00

After growing up in Minnesota, I graduated from Penn State with a degree in Petroleum Engineering and worked at a major oil company for 14 years, the last 11 of which were in Denver. My career in engineering involved analyzing and evaluating oil producing properties, skills which prepared me to move into the Breckenridge real estate sales. In 1991, when oil companies were leaving Colorado, I made a career change so I could remain in the Rockies.

I started my new mountain life in 1991 and found Breckenridge real estate to be the perfect fit. I brought to the business well-honed computer skills and I'm not unnerved by constantly changing technology. I also enjoy the daily personal interaction with clients and business associates. I believe everyone can have their mountain dream if we work diligently and realistically to make it happen.

My husband, Don Gunnin, has joined me as my business manager. He has over two decades of experience in resort rental property management. This allows me a unique perspective and understanding of the ins and outs of purchasing investment property.

In 1997, our lives changed drastically. We were fortunate enough to travel to China and adopt our beautiful, one-year-old daughter, Tessa Qian Gunnin. She has become quite an accomplished gymnast, and in the Summer of 2005, at the Colorado State championships for CARA gymnastics, she placed 1st in Balance Beam and Vault, 4th in Floor Exercise, 5th in Uneven Bars and tied for 1st All Around, taking the Silver Medal after a tiebreaker. We are extremely proud of her accomplishments.

We have a Dalmatian, Cabo, and Tessa has a two hamsters, Daisy and Nutmeg.

My Breckenridge real estate career is focused on taking care of my clients needs with honest, sincere and professional dedication and enthusiasm. I was rewarded for these traits in 2005 by being the top producing realtor in the Breckenridge RE/MAX office. Since Breckenridge is a resort community where over 60% of the property is owned as second homes or investment property by absentee owners, the requirements of a realtor are different than, say, in a typical city. I have the skill-set to keep this difference in the proper perspective.

When you're ready to make a real estate purchase in Breckenridge or Summit County, or if you already own property here and are considering selling, email me. I'll put my experience, knowledge, enthusiasm, understanding of the market and perseverance to work for you. If you haven't already, please check out my web site.

Take a peak at the new Breckenridge

2007-02-12T12:13:00.000-08:00

Following are excerpts from a spread that appeared in the Travel section of the Denver Post, February 11, 2007, by Kyle Warner, Denver Post Travel Editor.

The snow stopped abruptly, as though it had been measured before being sifted, just as the three of us walked onto the gondola, as leisurely as stepping into an elevator.

A couple entered after we did, also at a relatively casual pace, and we jostled for position in the roomy cabin. Meant for eight, the gondola had no problem accommodating the five of us and five pairs of skis, with room for stretching our legs. We settled in for the 10-minute ride to the base of Breckenridge Ski Resort's Peak 8.

The trading of basics (we are from Denver, they are from London, we come to the mountains nearly every weekend, they come to Colorado every winter) led to the inevitable question on both sides: Where is our favorite place to ski?

If Lisa had her way, she and husband Seb would spend their entire Colorado vacation in Breckenridge. "This is our fifth year here; we just love it," Lisa said. "It has such a great town, and the on-piste runs are so lovely, and if you go up high, the off-piste-like stuff is quite fabulous too."

They've checked out several of the other resorts around Colorado, and have decided that Breckenridge is their favorite.

"Seb always wants to see if there's anyone famous in Vail," Lisa said, "but who gives a pooh about famous people? I want the, what are you always saying? The powder, and I want to be able to breathe. I don't want skiers piled on top of me. I let him have his Vail day, but the rest of the time we're right here."

Hitting Higher Ground

Right here at the moment happens to be the base of Peak 8, where the gondola, called BreckConnect, has the capacity to dump out about 2,800 people per hour. The group clumps off the gondola and up the ramp toward the complex of buildings and lifts, where we wish Lisa and Seb a powder-filled vacation.

They plan to spend some time warming up on the lower slopes before heading over to Imperial Lift, which reaches 12,840 feet, making it the highest lift in North America. There, they will look for that "off-piste-like-stuff" -- the European version of backcountry.

We'll stay on the lower, exploring mostly greens and blues, because we are at three levels of skiing ability -- my having just learned to ski again after 11 years of snowboarding, spending the day with one daughter, a beginner-intermediate after also switching from snowboarding, and one daughter who confidently skis the blacks.

Here, we can find terrain parks at the Freeway Super Park and Pipe, as well as a smaller, more kid-oriented version at the bottom -- the ideal place for beginner and starting-over skiers to practice getting some air and playing in the half pipe, secure in the knowledge that most of the others here are learning too.

It's that variety -- and we've only just touched on Peak 8 here, never mind Peaks 7, 9 and 10 -- that has made us fall in love with Breckenridge. It's easy to navigate, family-friendly and famously snowboarder-friendly, although the number of skiers proves there's room for both.

The town, founded in 1859, has a real-town feel, with restaurants in a variety of price ranges -- actually quite a few reasonable ones considering this is a resort area -- and a scene that's still far shy of pretentious.

Lofty Views Too

The gondola, which opened at the beginning of this year and cost $17 million, is Breck's new pride and joy. It will have set the standard for avoiding interference with wetlands by spanning 720 feet in one section, and it makes two turns, both in the midst of some impressive real estate, which many suspect was the reason for the thing in the first place. BreckConnect will go all the way to the terminal at Peak 7 in 2008.

The gondola is a sweet, scenic way to get up to Peak 8, not to mention back down again. When we finish for the day, the brit couple met on the way up are nowhere to be seen, but they had told us that they might be found at the Maggie in the Village for make-your-own bloddy Mary's, or Downstairs at Eric's, where Seb watches sports and Lisa likes the Bass ale on tap. And they might run into a few fellow Brits there, especially considering London is the third-largest population visiting Breckenridge from outside Colorado, after Chicago and Texas.

"Breckenridge often feels like its full of people, but not crazy crowded," Seb said. "Sometimes there's a wait at some of the little restaurants, but we always get in."

After dinner, we wander Main Street, where the Christmas lights still twinkle aound the outlines of buildings and trees, giving the chilly air a warm glow. Enough people stream along the sidewalks that we jostle for space, but not so many that we don't recognize our new Brit friends coming out of Eric's.

"Hello, hello!" Lisa calls. "Did you have a good day?" We did, and so did they. "Going back out tomorrow?" Oh, yes, all of us. We wished each other well, and went our separate ways.

Such a small-town moment, right there on Main Street, Breckenridge.

Breck outlines build-out vision

2007-01-11T13:58:00.000-08:00

'Master Plan' includes Peak 6 terrain, new restaurants, trails, lifts and snowmaking.

The following recaps an article in the Summit Daily News by Bob Berwin, January 11, 2007.

Ski area executives touted their vision of a conceptual plan for build-out of the country's second busiest ski area, outlining a slew of upgrades and improvements to existing lifts and trails, as well as additional snowmaking and a new terrain pod on Peak 6.

Some of the items discussed were from previously approved (Forest Service) Master Plans, and some were new items.

"These are all the potential things we want to do, but it doesn't mean we'll do all of them," Roger McCarthy, co-president of Vail Resorts, said.

Among items discussed were improved egress from the ski area at Peak 9 with regrading of the Silverthorne trail, moving ski school operations up the mountain at Peak 9 to reduce congestion at the base, replacing some of the older lifts, a new lift and new trails for the Red River area, adding new ski school activity terrain, replacing Chair 6 with a higher capacity chair, moving the bottom of the Independence Chair downhill to tie in with the new base area development, a new mid-mountain restaurant on Peak 7, and more snowmaking on Peak 7.

Regarding Peak 6, which is inside the ski area's boundary, but which has never been developed, the plans call for one to two new lifts for Peak 6. In full, about 400 acres af intermediate and advanced terrain would be added.

Other projects could include replacement of the Colorado Superchair as well as a new Peak 8 base area lift that would slant over toward the Pioneer trail on Peak 7. Also discussed was a new teaching area above the Peak 8 vehicle shop, to be accessed with a cabriolet-style lift, mid-mountain food and beverage service in the vicinity of the old Chair 2 and renovations to the Vista House to replace some of the open-air decks with covered space.

Finally, a new access road to the bottom of the new lift at Peak 6 is needed, and reconstruction of existing roads to help reduce erosion on the mountain.

"This is a road map for the next six to eight years," said vice-president of operations, Rick Sramek. "It's important to note that this is not an approval process, it's conceptual." Site-specific review an approval for the various pieces would be part of a U. S. Forest Service process.

Roger McCarthy noted that the implementation of some of the projects are real-estate related, meaning that in order to afford the upgrades, adequate real estate sales had to occur.

Vail annouces Crystal Peak Lodge

2006-12-15T16:13:00.000-08:00

The first phase in the development of The Peaks at Breckenridge has been announced. Learn about Crystal Peak Lodge.

These units are expected to sell quickly, so if interested, give Susan Gunnin a call or email her.

John Fielder moves to the Mountains

2006-11-20T10:54:00.000-08:00

Renowned nature photographer, John Fielder, known for his epic nature shots, is moving to Breckenridge according to an article in the Summit Daily News by Leslie Brefeld.

Fielder will open his second gallery in a location called "The Photoshop" on Main Street in Breckenridge. The opening is scheduled for November 25th.

Fielder describes his photograhpy's uniqueness through the method he uses to shoot, all 65 pounds of a large-format camera. He carts the old-fashioned and heavy equipment to remote areas of Colorado's wildeness with the help of 4-5 sherpas who help carry supplies and help him keep comfortable in the sometimes hostile environment.

Speaking of the Eagles Nest Wilderness north of Silverthorne, Fielder says "Some of the things I've found in there are the most sublime, scenic things I've seen in my life anywhere on earth, much less Colorado".

He will present a slilde presentation of 80 of his works at the Silverthorne Pavillion, Tuesday, November 21, from 6 to 9 pm.

The picture shown above is from a remote drainage on the east side of the Gore Range in the Eagles Nest Wilderness.

Vail Resorts announces The Peaks of Breckenridge

2006-11-17T16:00:00.000-08:00

On November 16, 2006, Vail Resorts, owner and operator of Breckenridge Ski Area, announced the much awaited development of THE PEAKS OF BRECKENRIDGE, at the base of Peaks 7 and 8.

This will be a premiere development in a premiere location. For more information, go to The Peaks of Breckenridge.

For information about the real estate potential, pricing, and the Breckenridge market in general, go to Susan Gunnin's web site, or email her.

Summit County real estate takes dramatic turn in September

2006-11-06T14:58:00.000-08:00

In a Summit Daily News article, November 4, 2006, contributor Francis Wick, reports on data supplied by Land Title Guarantee Company.

After a slump in August, the real estate market in Summit County proved bullish once again in the month of September. The Summit County market soared 36% in monetary volume, with the number of transactions remaining about the same as for the same period, 2005. This means that property values are continuing to escalate.

Breckenridge led all areas of Summit County with just over 21% of all transactions, and 37% of the total monetary volume.

The increase is attributed to baby boomers purchasing their dream vacation homes, locals trying to get into the market before the county reaches full build-out (when all the property which can be developed has been developed), affordability of properties when compared to places like Vail and Aspen, and increased rental revenues after a strong snow year - as in the record-breaking winter of 2005-6.

For more information about this incredible market, go to Susan Gunnin's web site or email her.

Early snow may bode well for the 2006 ski season

2006-11-06T14:46:00.000-08:00

Bob Berwin reports in the November 4th Summit Daily News that just more than three feet of snow fell in Breckenridge in October, making it the third wettest October in the 110 years on record.

October is generally one of the driest months, but a strengthening El Nino in the central Pacific has already been pumping moisture into the West. Climate researchers and forecasters said this could bring copious fall and early winter snows, with another wet spell in the spring.

Rick Bly, National Weather Service observer said that of the wettest Octobers on record, three were followed by way above average [snowfall] winters, and four were followed by winters with precip slightly above average.

As a result of the snow, riverflows have helped snowmakers at local ski areas at just the right time. Snow moisture content is some 300 percent above normal for this time of year.

All this bodes well for ski area real estate, which to a large extent is a function of the quality and quality of skiing in the winter.

Early Snow Slams Summit

2006-10-27T10:10:00.000-07:00

WE HAVE SNOW!

In the last couple of days, mother nature has bestowed over two feet of snow in most of Summit County. As a result, Keystone Ski Area is going to open a week early (November 3), and Keystone spokeswoman Amy Kemp says "Looking back, it appears to be a record" adding that "ideal snowmaking conditions have also helped prep the mountain for the big day" according to an article in the October 27th Summit Daily News.

At Breckenridge, avalanche control work was conducted at the ski area where two feet of snow fell overnight.

In another article, it was reported that for the first time in five years, the Summit County Schools were closed due to the thick blanket of snow covering the county. School superintendent Millie Hamner was quoted as saying "Today, Mother Nature threw us a curve ball".

This all bodes well for the real estate market" says Susan Gunnin, author of this blog. "To a great extent, ski area real estate values, are a function of the quality and quantity of skiing in the same way that beachfront properties are a function of great water-related recreation. The better the skiing, the more valuable ski area property becomes".

To learn more about this phenomenon, check out Susan's web site or email her.

Vail Resorts reports record year

2006-10-06T15:41:00.000-07:00

In a Summit Daily News article by Nicole Formosa on October 6, 2006, it was reported that Vail's CEO, Rob Katz, attributed the record year (Vail's fiscal year ends July 31) to early season snowfall and on-mountain improvements.

Vail Resorts owns Keystone and Breckenridge in Summit County, as well as Vail and Beaver Creek in Eagle County, Colorado and Heavenly Ski Resort in California.

FYE net income was $45.8 million, an increase of 97.8% over 2005. Mountain revenue increased 14.7% while lodging revenue fell 20.6%, mostly due to the sale of three hotels. The notable increase in mountain revenue can be attributed to a 5.9% increase in skier visits, and a 6.4% increase in lift ticket prices.

Breckenridge, the 2nd most visited ski resort in the U.S, saw a 10.1% increase in skier visites, the largest among Vail's 5 ski resorts.

Katz touted Vail's upcoming Peaks of Breckenridge real estate development, which plans 450 high-end residential units and 75,000 square feet of skier services at the base of Peaks 7 and 8. He expects the development, which is still in planning stages, to be one of the best properties in the resort because of its ski-in/out access to the mountain and its quick connection to downtown Breckenridge via the new gondola. Sales of the first phase of the Peaks of Breckenridge are scheduled to begin this coming ski season, and they will be priced "at the top end" of where properties sell in Breckenridge.

As blogged earlier, the new gondola "BreckConnect" is scheduled for a Christmas, 2006 opening.

To learn more about Breckenridge real estate possibilities, email Susan Gunnin, or check out her web site.

Live longer in Breckenridge!!

2006-10-03T14:43:00.000-07:00

Want to live longer? Move to Breckenridge, Colorado.

In a Summit Daily News article by Allen Best, on October 2, 2006, the question "Is it somehow healthier to live in Summit County? was answered "YES" by a new study by Harvard University.

Summit County, along with six other counties located along the Continental Divide in Colorado lead the nation in longest average life expectancy -- 81.3 years.

After some discussion, it was uncertain exactly why living at high altitude increased one's life expectancy. The study analyzed national data from 1980 to 1999. Perhaps mountain people are more active, eat better and generally don't smoke. Perhas it's because people who live at higher elevations have stronger lungs and hearts.

Susan Gunnin, author of this blog, thinks it probably has to do with living sourrounded by such sheer beauty. "It's got to help, anyway" she said.

To learn more about life in Breckenridge, go to Susan's web site.

New Breck gondola gets name

2006-09-14T14:15:00.000-07:00

Today, the Summit Daily News reported that BreckConnect will be the name of the new gondola which runs from downtown Breckenridge to the base of Peak 8 and ultimately, to Peak 7. The new logo design depicts arrowheads pointing outward from each end of the name. The arrows represent the gondola's connection of the town with the ski area, and signify the direct route and speed of travel.

The BreckConnect Gondola will be one of the most modern gondolas in North America.

Right now, the ski resort plans to operate the gondola in both the winter and summer. It will have a ride time of approximately seven and a half minutes from bottom to top, and will be able to carry 3,000 people per hour.

Breckenridge gondola is on schedule

2006-09-13T10:01:00.000-07:00

Kimberly Nicoletti, in a special to the Summit Daily News on September 13th, reports that by December, Breckenridge Ski resort's new gondola will lift skiers and riders from parking lots to Peak 7 and 8 base areas.

The $17 million gondola, which ski resort executives have wanted for more than 20 years, is now half complete. Leitner POMA, an international company, has erected 22 of the 28 towers.

The first shipment of cabins will arrive near the end of September; CWA Constructors manufactured the gondola cabins and sent them via a cargo ship from Switzerland. The haul rope was assembled in France and will be shipped this week. It weighs approximately 200,000 pounds, which is equal to the weight of aproximately 66 cars.

All concrete work is completed; the project required 375 concrete trucks, which delivered 3,000 cubic yareds of concrete.

The gondola will transfer 2,800 guests per hour; the ride from the transit center to Peak 8 takes 10 minutes. The return (base) station is located next to the town's transit center at the corner of North Park and Watson Avenue. There are two mid-stations, one at Shock Hill and another at the Peak 7 base area. The eight-passenger cabins will accommodate gear inside, rather than use external racks for skis and boards.

"Breckenridge's new gondola sets a new standard in the roll of mass transit in growth and development" said Kate Osborn, Breckenridge Ski Area spokesman. She said it represents environmentally conscious teamwork between the town and the resort to transport visitors between the two areas. Osborn said it will significantly decrease traffic volumes and increase the number of visitors to downtown.

The gondola will save more than 20,375 gallons of fuel each season becuase the bus service will decrease. The resort also took care to help protect the environment by dedicating 64.7 acres of development land to the town for conservation and open space.

The town contributed $6.7 million to build the gondola, and developers of the Shock Hill neighborhood, where the gondola will also stop, paid $500,000. As part of the partnership with the town, the ski area agreed to provide 1,500 parking spaces in town, near the gondola.

"Bringing together the two pieces that continually put Breckenridge in the top three most popular winter destinations, the gondola enables the town and resort to strike the ideal balance that maintains the character and vibrancy of Breckenridge's Main Street and downtown" Osborn said.

Completion of the gondola is one of the last major steps in achieving a comprehensive development and transportation plan, which the town and Vail Resorts (owner of Breckenridge Ski Area) formalized in May, 2002. The plan also included the Skyway Skiway ski-back project and the Mountain Thunder Lodge.

Breck plans to open new terrain off Peak 8 summit

2006-09-13T09:49:00.000-07:00

The Snow White chutes are located between Peaks 8 and 9 near the Lake Chutes

In a September 12th article in the Summit Daily News written by Nicole Formosa, it is reported that a stash of seven steep chutes that has always been off limits at Breckenridge Ski Area will likely be open for the taking this ski season.

The resort plans to open 150 acres of terrain dubbed Snow White, which is located in the saddle between Peaks 8 and 9 and would be accessible from the Imperial Express SuperChair, said resort spoksman Nicky DeFond.

The above-timberline terrain skies similarly to the nearby Lake Chutes, she said.

"It's steeper than Imperial Bowl, it's not going to be groomed, so it's definitely for the stronger skier," Defond said.

The Snow White chutes feed skiers onto the advanced Double Barrel or Way Out trails on the backside of Peak 8.

Even though Snow White has always been in the resort's operating boundary, it hasn't been open to skiers and riders because it was at least a 45 minute hike from the top of the T-Bar before the Imperial Express opened last season.

Because of that, ski patrol was more limited in how much terrain it could open at the top of Peak 8 due to the high avalanche danger, which requires control work before it can be opened to the public.

The new terrain isn't a done deal yet; officials from Breck will meet with the Forest Service this fall to put Snow White in the resort's new master plan. After that, it should be official. At that time, the total cache of terrain accessed off Imperial Express will grow from 400 to 550 acres.

Real Estate Volume Climbs to New Highs through Mid-Year

2006-08-01T16:31:00.000-07:00

Home-buying market is white hot in spite of the Federal Reserve

YTD volume up 23% over last year

An article in the Summit Daily News by Duffy Hays on August 1, 2006 is presents data supplied by Land Title Guarantee Company and is summarized below.

The real estate market may be cooling off nationwide, but over the summer months so far here in the High Country, the home-buying market is white hot.

For the second month in a row, transaction volume -- the total dollar amount recorded for real estate sales -- showed a dramatic increase over the same period last year. In June, total transaction volume was nearly $162 million, more than a 45% increase over June, 2005. And the number of transactions was 11% more than last year. This follows a record-setting May.

Even though the Federal Reserve has kept increasing interest rates, cooling off previously hot markets like New York, Florida and California, Summit County is still reporting recored numbers.

Summit County real estate monetary volume:

June, 2006 $162,725,600 June, 2005 $112,232,799 Change +44.99%
YTD, 2006 $661,229,706 YTD, 2005 $554,623,699 Change +22.83%

To learn more about the Summit County market, check out Susan's web site, or email her.

June, 2006 Home Sales Summary

2006-07-26T13:17:00.000-07:00

Land Title Guarantee Company reported robust residential (single family and multi-family) home sales for the month of June, 2006.

There were a total of 257 residential property sale transactions totaling $114,539,500 with an average sales price of $445,679.

By category:

80 single family homes sold for a total of $56,248,000 or an average of $703,100.
177 multi-family units sold for a total of $58,291,500 or an averageof $329,331.

In addition, 52 vacant land parcels sold for a total of $16,289,300 or an average of $313,256.

For more information on the Summit County real estate market, see Susan Gunnin's web site or email her.

RE/MAX and Susan Gunnin lead the real estate pack

2006-07-13T11:55:00.000-07:00

From data provided by the Summit Association of Realtors for the first half of 2006, it was reported that RE/MAX Properties of the Summit led Summit County's real estate firms in real estate contract sides sold with a volume in excess of $48 million or 17.66%, and in total sales volume (listings and sales) with volume in excess of $78 million, or 16.73%. For all of Summit County, the total volume of sales for all real estae firms was in excess of $552 million.

Among the four RE/MAX offices in Summit County, Susan Gunnin was the top realtor in Sales Volume YTD, and 2nd in the number of transactions closed. For the month of June, she led the Breckenridge office in number of new listings.

To learn about the Breckenridge and Summit County real estate markets, go to Susan's web site or email her.

Debut of the Summit County Business Barometer

2006-07-13T11:22:00.000-07:00

Local Businesses Bullish on Summit County Economy

In an article in the Summit Daily News, prepared by Constance Jones, executive director of the Summit County Chamber of Commerce, she reported that a new, quarterly survey will be provided which will give local business owners and professionals data to compare our local economic trends to both state and national trends. This first report represents activity for the first quarter of 2006. The next report, coming out later in July, will cover the 2nd quarter of 2006.

Business Activity Comparisons 2005 - 2006: Summit County respondants were asked to rate their current level of business activity on a scale of 1 to 5, with 5 being the highest or strongest. Since 2.5 would represent the middle of the scale, readings above 2.5 would indicate favorable conditions. Summit County business owners and professionals rated their current level of activity at 3.31. On the same basis, they were asked to rate their activity versus the same period one year ago, and here the reading was 3.47. Looking forward over the next 12 months, they responded with an exuberant 4.21. Reading. So at least from the business perspective, locals are very bullish on the Summit County economy.

Local Price Trends: The Business Barometer survey also gathered information on local price trends. Almost 72 percent of the businesses responded that the prices paid for services and goods rose an average of 7 percent. About 27 percent said prices stayed the same. When asked about the prices they charge their customers, 58 percent said they kept the prices the same, and 34 percent said they raised their prices with the average being just below 6 percent. About 8 percent said the prices they charge their customers actually went down about 8 percent.

Top Concerns: When rating their top concerns for the area, the number one response was the high cost of living. The second most important was concern over the environment/lifestyle. Finding quality employees was the third most important, while transportation and traffic congestion tied for fourth.

Another record breaking month for Summit County Real Estate

2006-06-21T09:16:00.000-07:00

This is the heading of a monthly report provided by Land Title and Guarantee Company, a Summit County title company.

The report points out that "May, 2006, shows a 31% increase from May, 2005, in monetary real estate transactions volume!"

The statistics show that Breckenridge had transaction dollar volume of $45,163,100. There were 80 transactions or a 25.81% increase over May, 2005. And the average transaction price was $564,539.

For more about the Breckenridge real estate market, go to Susan Gunnin's web site, or email her.

Ski season saw peak numbers

2006-06-16T15:27:00.000-07:00

"Strong year for Colorado skiing" was the byline of an article in the Denver Post by Julie Dunn on June 16, 2006.

In the article reporting on a meeting of ski industry leaders that recently took place in Steamboat Springs, it was stated that a recored 12.53 million skiers hit Colorado's 26 ski slopes this past winter. The previous record had been 11.98 million. Bill Jensen, co-president of the mountain division of Vail resorts said "I think Colorado will see 13 million skier visists in the next 3-4 years. The fact that we surpassed 12 million by more thant 500,000 skiers allowed us to realize that we have the potential to go even higher."

Industry leaders expressed optimism for growth in the near future, citing significant investments in mountain infrastructure, dozens of hotel and condominium projects in the works, and the possibility of more direct international flights into Denver International Airport. Last year, foreign visits were up 8 percent. Many resorts are now targeting Asian markets, namely China, Korea and Japan.

"This growth and strong optimisim for the resorts is great news for real estate investors" says Susan Gunnin, author of this blog. "In addition" she continues, "the buildout that was predicited a couple of years ago has begun happening, (buildout is when all the property that can be developed has been developed) especially in towns like Frisco."

To learn more about real estate investment opportunities in Summit County, go to Susan's web site, or email her.

Arts District in Breckenridge

2006-06-06T12:02:00.000-07:00

This information is provided by the town of Breckenridge in their Summer, 2006 publication of the Breckenridge Bulletin.

The town of Breckenridge is developing a pedestrian friendly arts campus on the northwest corner of Washington Avenue and South Ridge Street, which will develop into a home for resident artists and offer a variety of workshops and cultural events. The Arts District, now in its third year, continues to grow with the relocation of the Quandry Antiques building and the first resident artist studio/apartment at the Tin Shop, set to open this spring/summer, along with the restoration of the historic Fuqua Livery Stable.

Workshops for children, teens and adults, in a variety of mediums, including sculpture, painting, print making, beading, textiles and ceramics are offered at the Robert Whyte House. For a calendar, visit townofbreckenridge.com.

Don't miss the third annual Arts District Celebration on Sunday, July 2, 2006, with a sidewalk art contest, dancing by local dance companies and artist demonstrations.

For information about Breckenridge real estate opportunities, check out Susan Gunnin's web site.

Second homes now are 12 percent of all national sales

2006-05-29T09:58:00.000-07:00

From the Summit Daily News, May 28, 2006.

Washington, D.C. -- Are you under the impression that only ski towns and resort valleys have second-home owners? Think again.

The National Association of Realtors reports that vacation properties account for 12 percent of all homes sold last year, and 28 percent of homes were bought for investment purposes.

Typical vacation buyers last year were 52 years old, earned $82,000, and purchased a property that was a median of 197 miles from their primary residence. This profile differed from that of investment homebuyers in just one key respect: investment homes were likely to be close to the original home.

USA Today explains this rally in vacation and investment homes began in 1997, when Congress changed the tax code, allowing most homeowners to duck capital gains when selling their homes. The exemption is $500,000 for married couples, $250,000 for singles, if it was their primary residence for two of the previous five years.

Before, the only way to avoid the tax was to use the gained equity to buy another one of equal or greater value. But now, they can downsize and use the money instead to buy a second home.

Something else is going on. Many baby boomers are entering their peak earning years. The most active buyers of vacation and investment homes are people in their 50's. Currently there are 36 million people in that age bracket. However, with 45 million people in their 40's, the market is expected to remain strong for a long time.

Yet, David Lereah, chief economist for the NAR, believes the vacation- and investment-home buying binge will drop to 30 percent or less of all home sales as compared with the current 40 percent. He cites interest rates, higher lending standards and slower price appreciation.

Susan Gunnin, author of this blog, believes there is still plenty of time to reap the rewards of this phenomenon. In ski resorts such as Breckenridge, Colorado, second homes don't necessarily have to be differentiated from investment homes. In most cases, with prices appreciating and the possibility of short-term rentals, a second-home can be a good investment so the owner can have the best of both worlds.

For more information, see Susan's web site or email her.

A second-home economy

2006-05-29T09:32:00.000-07:00

The deep and lasting effects of vacation homes on resort-town finances

An article in the Summit Daily News on May 28, 2006 by Alex Miller discusses the impact of resort-town second-home ownership.

Second-home owners are a huge driving force behind economies of ski resorts and the geographic regions where they're found. Their influence can be seen in local balance sheets. Second-home owners pay property taxes, but don't have kids in schools. They can't vote, but often wish they could. They're anywhere from well-off to fabuously wealthy, and the homes they buy range from humble condos to 15,000 square foot mansions.

According to the Northwest Colorado Council of Governments - a multi-government research and advocacy group - second homes account for 34 percent of all outside dollars coming into the ski areas' local coffers. By comparison, winter visitors account for 28 percent of those outside dollars.

The surge in second-home ownership is directly attributable to the baby boomers reaching their 50's and 60's. And the buying activity has fueled record-breaking real estate sales along the way.

As the social and economic impact of second-home owners have grown over the years, different resort communities have wrestled with the pros and cons of their presence. Perhaps more than anything, the elevation of real estate prices has caused towns to create affordable housing for locals, or at least talk a lot about it.

On the other hand, there's no doubt that second-homes and their owners create jobs. Businesses which cater to the care of these homes and their owners sprout up almost like weeds. Second-home owners expect to pay others to do everything from shovel snow to pull weeds. But the demand for services creates the need for places for the suppliers of services to live, and roads for them to travel on. For example, it is expected that Eagle County will have to import some 30,000 workers daily by 2025. Where to put these workers is the number one concern for governments.

If you want to participate in the real estate boom created by second-home ownership, contact Susan Gunnin by email, or check out her web site.

Statewide ski numbers up from last season

2006-05-25T10:44:00.000-07:00

Industry growth being spurred by the popularity of skiing and snowboarding with younger crowd.

The Denver Post reports that the number of skiers and snowboarders in the United States reached a record 58.8 million last season, up 3.3 percent from a year ago, according to preliminary data from the National Ski Areas Association.

Industry growth is being spurred by the popularity of sking and snowboarding with a younger crowd and equipment improvements that allow aging baby boomers to stay on the snow longer. "It's a multigenerational phenomenon", NSAA president Michael Berry said, "Baby boomers, their children and their grandchildren are all out there skiing. The resorts have become multigenerational gathering places".

The six-state Rocky Mountain Region, which includes Colorado, saw a 5.8 percent gain in skier-visits, or some 1.1 million people more than the prior year. The state's 25 ski resorts may top 12 million skiers for the first time.

Says Susan Gunnin, author of this blog and realtor with the Breckenridge RE/MAX office "This comes as no real surprise after the near record snowfall we've had this year. And real estate values are reflective of the trend. Values have been increasing along with the age of the very baby boomers who are fueling the real estate market."

For more information, check out her web site, or email her.

Boundary adjustment a win-win situation

2006-05-23T15:37:00.000-07:00

In the May 22, 2006, issue of the Summit Daily News, reporter Bob Berwin quotes Breckenridge Nordic Center owner, Gene Dayton, as saying "We're looking for the best possible combination of alpine and Nordic skiing" (referring to the Breckenrige Ski Area's planned expansion on to Peak 6. Dayton goes on "We have an opportunity that very few resorts have, for families to share the day" referring to families that include both downhill and crosscountry skiers.

As Dayton envisions it, the new configuration of terrain and trails would enable those family members to meet at a shared lodge on the mountain, where crosscountry and downhill trails intersect.

He said that when Breckenridge Ski Area executives asked for the acreage, he had no reason to turn them down, given that the terrain in question doesn't have an crosscountry trials on it. The new lift-served terrain wouldn't come any closer than about 500 feet to one of the Nordic trails called Siberia Loop. The boundary adjustment is in the best interest of both user groups, Dayton said.

Under the deal with the resort, Nordic center ticket holders would be able to ride the new gondola at no charge. Additionally, Nordic skiers would get one free ride on the Independence Super Chair carrying them to the top of a new nordic-downhill trail. Closer marketing ties and cross-promotion are also in the works.

For additional information, see Susan Gunnin's web site or send her an email.

Stage set for sking at Peak 6

2006-05-23T15:05:00.000-07:00

On Tuesday, May 23, 2006, Bob Berwin of the Summit Daily News reported that the Breckenridge Ski Area was in discussions with the Breckenridge Nordic Center about expanding the ski area boundary for development of lift-served sking on to Peak 6.

Ordinarily, such an expansion requires Environmental and Forest Service concurrence, dialogue and public input. Apparently these approval processes aren't required when the expansion is an agreement between adjacent permit holders.

Rick Sramek, vice president of mountain operations for Breckenridge Ski Resort confirmed that the ski area wants to work on some master planning this summer, calling Peak 6 the "final piece" of the resort. Breckenridge skiing currently involves peaks 7, 8, 9 and 10 of the Ten Mile Range. Sramek did add that the public will have a chance to review and comment on the preliminary plans.

In early April, Dillon District Ranger Rick Newton carved between 200 and 300 acres out of the Nordic Center and added it to Breckenridge Ski Area's permitted terrain. The agreement between the two adjacent permit holders enabled the Forest District to make the move without requiring public review or comment as is ordinarily the case when expansion is desired. The terrain is better suited for alpine skiing than nordic because it is steeper terrain. Any specific proposal for lifts to the expanded terrain would require site-specific analysis.

Some criticism of the plan has been voiced, and more can be expected from the EPA, the Forest Service, and ski industry watchdog group Colorado Wild, because changing from nordic to alpine requires that lifts and ski trails have wide, clearcut trails. Breckenridge-based wilderness activist, Currie Craven also questioned the plan. "How [can it be known] that the development is non-significant before hearing from wild life agencies?" The area in question includes elk habitat and some of the most intact stands of old-growth spruce and fir anywhere in the Ten Mile Range.

For more information about the Breckenridge Ski Area, and Breckenridge real estate, see Susan Gunnin's web site or send her an email.

Breckenridge Resort closes for the winter

2006-04-24T13:44:00.000-07:00

From Summit Daily News, April 4, 2006, by Nicole Formosa.

After Breckenridge boasted a season that dumped 327 inches of snow on its 2,200 acres of terrain, the resort closed for the winter Sunday [April 23, 2006]. Before calling it a year, skiers and riders watched telemark skiers in funky costumes compete in the annual Bump Buffet on Peak 8's High Anxiety run.

Comments from skiers and boarders:

"The snow was stellar" said Shawn Dye. "I've lived here for 8 seasons now, and it was the best that I've experienced".

From Kelly Scanlon: "It has been phenomenal, wonderful, had a great time. Excellent time on the mountain, good snow, good people".

"This is my first year, but I'm coming back next season" stated Kris Young.

And Jay Stabile said "They just keep getting better ... weather, people, better costumes (at the Bump Buffet)".

To learn about real estate possibilities in this tremendous resort, see Susan Gunnin's web site.