COMMERCIAL TAKES FLIGHT
Commercial real estate market steps into Mammoth limelight
While summer is a truer test of the real estate market, because there is more volume in terms of sales, The Sheet caught up with Matthew Lehman this week to pore over the Mammoth market numbers year-to-date.
And the numbers are flying in different directions.
The condominium market has shown a 11.8% increase in median sales price year-over-year, while the single-family home market has sagged 13.1%, albeit on a sample size of just thirty transactions.
The big news is on the commercial real estate side, where Lehman says a lot of development pieces are under contract, including the Hillside parcel next to the Westin, which was supposed to be the site of a Ritz Carlton Residences long, long ago (2006).
This time, the Crown Family, owners of Aspen Skiing, are the buyer.
Another source said the rumored project is a Mammoth version of the Limelight Hotel in Aspen.
Other large parcels in escrow are the Woodsite and Berner Street.
The parking lot across the street from the Village (Village East) sold for more than $15 million last fall.
As Lehman said in his April newsletter, “It appears most buyers/owners of these sites are eager to move forward with their conceptual plans; political agendas aside, they most likely will. One consistent theme concerning the future of new and existing businesses is a stable local workforce.
“That’s the one question I get from all these guys,” says Lehman. “What’s the labor situation?”
Lehman believes Mammoth’s Town Council should incentivize local property owners to start building, particularly in-fill development. “There are a lot of parcels in the Sierra Valley Sites where you’ve got line home sitting on half an acre.” Lehman believes there’s opportunity to add density.
One thing that Lehman did not touch upon was the Westin Monache remodel.
The Westin brand generally requires room renovations every 8-10 years.
The Westin Monache hasn’t been renovated since it opened 13 years ago.
Westin unit owners recently voted by a significant majority to approve renovations costing on average, $30,000 for studios, $42,500 for one bedrooms and $60,000 for two bedrooms.
But the question is, is that majority enough? Worst case scenario, Marriott can pull the Westin brand if it doesn’t feel like there’s enough owner buy-in, though there’s no indication at this time that that’s on the table says Dawn Vereuck, a member of the Westin’s Homeowner Association board.
