New Aspen Club ownership cleans up debt
The new ownership of The Aspen Club & Spa last week paid off more than $30 million in debts and interest owed to creditors and construction firms for work and materials related to the expansion and remodel of the property on the east side of town.
“It was part of our business plan to get them paid in full,” said Clark Briner of Revere Capital on Friday.
Revere and resort and hotel developer Meriwether Co. completed their acquisition of the property, 1450 Ute Ave., on Feb. 3 after bidding $52.59 million at a foreclosure auction Jan. 6.
Also hanging in the balance was some $25 million due to contractors and subs that withdrew from the project in the fall of 2017 because they had not been paid for the labor and materials.
In addition to three foreclosure actions against the Aspen Club, which also declared Chapter 11 bankruptcy, a lawsuit was brought on by contractors and subs seeking reimbursement. Mechanics’ liens also were attached to the property when the new owners took possession.
“From our standpoint, we not only paid them full, but we also paid all of the interest owed to them,” Briner said.
PCL Construction, which had been the general contractor on the project, received payment of $18.77 million last week, according to public records. Its original lien amount was for $17.72 million.
Details have not been finalized on PCL’s picking back up on the project from where it left off in 2017. Its attorney who led its litigation, along with other construction firms, could not be reached Friday.
“We look forward to get it going,” Briner said.
Other creditors and firms that were reimbursed, based on documents filed Friday at the Pitkin County Clerk & Recorder’s office, included: United Subcontractors Inc., $81,541; InsulVail, $132,682; CRG Financial, $156,852; Gateway Real Estate Investments, $101,250; Imprint Hospitality, $49,009; Edwards Building Center, $107,356; Gould Construction, $2.4 million; Otis Elevator Co., $57,052; Aspen Insulation Co., $53,649; Edge Construction Specialties, $781,964; ColoradoCrete, $172,804; Western State Fire Protection, $246,299; Forte International, $173,008; Myers & Co., $2,417,417; Ludvik Electric, $3.34 million; Specialty Wood Products, $89,448; Summit Sealants, $254,113; Sopris Engineering, $107,027; Sopris Engineering, $52,691; IMI Inc., $236,774; PSI Crane & Rigging Inc., $423,986; Casey Concrete, $504,823; Mountain Man Masonry, $218,399; and RK Mechanical, $4.14 million.
The club closed in February 2016 to allow construction to begin. It had more than 1,000 dues-paying members at the time.
“We hope to work every single person that was a member,” Briner said. “We haven’t reached out to any of them yet because we won’t be a club for another 24 months from now.”
Previous Aspen Club owner Michael Fox and investors bought the property in 1996, winning city approval in 2010 to redevelop the property with 15 townhomes, six condos, affordable housing and a new club and recreation/wellness facility.
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What’s the Big Deal runs Mondays is based on the prior week’s most expensive property transaction recorded in the Pitkin County Clerk & Recorder’s Office.