SAM Magazine—Snowmass, Colo., Sept. 21, 2016—After several years of uncertainty, the dormant Base Village project at Snowmass is being acquired from Related Companies by a joint venture that includes an affiliate of KSL Capital Partners, LLC, East West Partners, and Aspen Skiing Company. The partnership expects to close on the transaction by the end of 2016.

The acquisition includes all remaining development parcels, all commercial spaces in Base Village, the Snowmass Hospitality property management company, and the Viceroy Hotel, including the unsold condominium units within the hotel.

According to a press release announcing the acquisition, “The joint venture will move swiftly to commence construction in Base Village next spring [2017], with East West responsible for all day to day operations.” Lot 2 will be the site of a new Limelight Hotel, which SkiCo plans to purchase from the joint venture once construction is complete.

“While we were working towards starting construction on the Limelight Hotel, it became apparent that by working in a partnership with KSL and East West, both leaders in the ski industry, the Base Village could become the truly special entrance to Snowmass that we have envisioned for years,” said Mike Kaplan, president and CEO of Aspen Skiing Company.

Andy Gunion from East West will lead the joint venture. “We greatly appreciate all of the time and effort that town staff, council, and others have invested in Base Village to bring it this far, and we're looking forward to working closely with everyone to complete this critical project in a manner that the Snowmass community can be proud of,” said Gunion.

SkiCo initially developed the Base Village project but then sold it to Related Companies in 2007 for $169 million. Two years later, the developer defaulted on its $520 million loan package and was subsequently sued by lender Hypo Real Estate Capital. In 2012, Snowmass Acquisition Co., a wholly owned subsidiary of Related, purchased the assets for $90 million from an entity representing Hypo. According to reports, the project remained mostly dormant and there has been no vertical construction since the Viceroy Hotel was completed in 2008.

East West and KSL attempted to acquire the Base Village assets from Related in 2015, but the parties were unable to finalize the transaction.

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