Three local property transactions involving Related WestPac and the new Snowmass Base Village huge redevelopment project have fallen apart or are being delayed because of the credit crunch and the difficulty in securing construction financing
By Madeleine Osberger, Oct. 31, 2008, Snowmass Sun
SNOWMASS VILLAGE-Three local property transactions involving Related WestPac have fallen apart or are being delayed because of the credit crunch and the difficulty in securing construction financing, the town’s primary developer confirmed Thursday.
Building 11 in Base Village has been canceled, the sale of the old town pool site on Daly Lane is delayed and the future is unknown with regard to the old Timbermill building on the Snowmass Village Mall.
• The deal for Chaffin & Light Associates to develop Building 11 in Base Village to use for the private Snowmass Residence Club has fallen apart. “We have heard directly from the applicant (Andrew Light), but have not received it in writing, that they will not be actively pursuing the building at this time,” said Snowmass Village Town Manager Russ Forrest.
Building 11 is part of a deal centered on properties including the Silvertree Hotel and Silvertree Conference Center in West Village (Snowmass Mall). The original contract to purchase the Silvertree involved then partners Pat Smith, Jeff Klein, David Wilhelm and Chaffin & Light Associates who had wanted to redevelop the valuable slopeside property. Through a subsequent negotiation, Chaffin & Light ended up with the rights to develop Building 11 in Base Village, which it planned on using for a residence club.
According to Related WestPac President Pat Smith: “They had a real tough issue in terms of the financial markets to pull together an acquisition development loan.” Subsequently, Chaffin & Light canceled the project, he said.
Smith emphasized that the Silvertree Hotel and Conference Center contracts “are firm,” but won’t be completed “for years.”
• Sale of the mountainside building on the Snowmass Village Mall that was the home to both the Cirque Café and before that, the Timbermill, will not be consummated at this time. Building owner Lance Hool was unable to be reached for comment.
Related WestPac’s Smith said the transaction isn’t completely dead: “We still have time under a contract. We told Lance, ‘things are not looking good; we may seek an extension.’ ”