Hunt poised to pay $5.6 million for repossessed Aspen building
December 17, 2015
Developer Mark Hunt has taken another step toward acquiring a downtown Aspen building that a bank repossessed last month.
The Hunt-controlled 308 E. Hopkins LLC filed a notice Wednesday with the Pitkin County Treasurer's Office stating his intention to pay $5.6 million to Alpine Bank, which was the sole bidder in last month's foreclosure auction held on the courthouse steps.
Hunt's move signals his intention to acquire the retail and residential building, which he once had under contract to purchase for $6 million. But for Hunt to buy the building, a series of other steps need to occur.
Hunt, who held superior rights to buy back the building thanks to a $500,000 lien he placed on it — that's how much he lent to previous owner JW Ventures — now needs to wait if the three other lienholders want to buy the property.
Next in line is Pelham Holding Corp. It has until Dec. 28 to file what's called a "notice to redeem." If it does file a notice, in addition to paying the sale price, it also would have to make Hunt good on his $500,000 lien, which currently amounts to $538,296 after interest and other costs.
"Each subsequent redeemer has to pay more to redeem out the party in front of them," said Pitkin County Chief Deputy Treasurer Syd Tofany.
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Other lienholders include Aspen law firm Oates, Knezevich, Gardenswartz, Kelly & Morrow PC, with a lien having a principal amount of $200,000. Michael Sedoy and Natalia Shvachko, who own the penthouse on the building's top floor, have a $1.28 million lien stemming from a court judgment against JW Ventures.
The property comprises two commercial and three affordable-housing units. The penthouse is not included.
Tofany said she expects the redemption periods to go on until mid-January.