HomeMy WebLinkAboutlanduse case.ts.Prospector Lodge.49A-85
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CASELOAD SUMMARY SHEET
City of Aspen
. DATE RECEIVED:\J.<.L;}~, \'\~r. , CASE NO. f/q If -(/5
DATE RECEIVED COMPLETE: \\~\~\" STAFF: "';,~
PROJECl' NAME: Q"--<lsl'-'-":~~ LC'f~ i\"'^"<.",-~-<,d --\-c ""\'........,"'^"-'- Le,.JL"~:,,
APPL ICANT :
Applicant Address/Phone:
REPRESENTA'l'lVE: Ny/( nl(.(:yrOJ~ ?h zfj. (" '
Representative Address/Phone: ,n (-'lJv(f/niSklllli:.) . F:iV (i) Y/0//
Type of Application: 5-,;{01 ~
I. GMP/SUBDlV IS ION/PUD (4 step)
Conceptual Submission
Preliminary Plat
Fi nal PI at
($2,730.00)
($1,640.00)
($ 820.00)
.
II. SUBDlV IS ION/PUD (4 step)
Conceptual Submission
Preliminary Plat
Final Plat
($1,900.00)
($1,220.00)
($ 820.00)
($1,490.00)
( $ 6 80 . 00 )
____ III.
. /lV.
EXCEPl'ION/EXEMPl'ION/REZONING (2 step)
SPECIAL RE.V IEW (1 step)
Special Review
Use Determination
Conditional Use ,
Other: ",-"f<l.,.\Ji.<''''''~,v,''~'' 'E",,<., el",,,~
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P&Z @ MEETING DATE:. ~ PUBLIC HEARING' YES (~
============~!;~==~~~E!~R=E=D:===:~f::~=====I:=:;=I!=L::==~~~========::~=
REFERRALS:
/ Ci ty Atty
____ City Engineer
____ Housing Dir.
Aspen vlater
____ City Electric
____ Envir. Hlth.
____ Aspen Consolo S.D.
Mtn. Bell
Parks Dept.
Holy Cross Electric
Fire Marshall
Fire Chief
____ School District
____ Rocky Mtn. Nat. Gas
____ StateHwy Dept (Glenwd)
____ StateHwy Dept (Gr. Jtn)
____ Bldg: Zoning/Inspectrt
____ Other:
------------------------------------------~-_=;:;ti-- --'St--------~~- -----
------------------------------------------- -- - ------------ - ---
FINAL ROUTING: DATE ROUTED: ;" INIT.
. ~ City Atty ____ City Engineer ____ Building Dept.
l Other: ~V~ 1\1;-I-Jt-IIJh"l-,3 C;,t;l :"11'> ---:- o~er:
FILE STATUS AND LOCATION: Cd~ C1JJl...kj Uewlf:
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~".CASE DISPOSITION: f'ro5ptcTor lOd5~
Revi~wcd by: ,~en P~Z
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" .______., b' ,'''''-(In.'Y' ljf'froJ~!
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'h.te> ,): IM~:J c~ ~ ,~ approve amendment of Condition Nos.
and 13 of approval for the Prospector Timeshare as follows:
Amend Condition No. 6 to take out reference to transporta-
tion and lodging gift prohibition.
Condition No. 9 should contain the correct names of the
current Plan Manager;
Deleted Condition No. 13;
subject to the following conditions:
The applicant shall provide the City Manager I s Office with
current information about the Prospector' s marketing and
sales program including:
i. The composition of weeks in timeshare packages;
ii. Packages remaining unsold, and
iii. Management of escrow accounts.
This information shall be submitted within sixty (60) days
of this approval.
An amended Statement of Subdivision Exception, reflecting
the changes to conditions of approval, Nos. 6, 9 and 13,
shall be submitted to the satisfaction of the City Attor-
ney's office."
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J, NICHOLAS MCGRATH, P,C,
ATTORNEY AT lAW
600 EASTHOPKINSAVENUE
SUlTE203
ASPEN, COLORADO 81611
AREA CODe 303
TELEPHONE 925-2612
September 16, 1986
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Mr. Steve Burstein
Aspen/Pitkin Planning Office
130 South Galena
Aspen, CO 81611
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Re: SPFC-Prospector-minor permit amendment application
Dear Steve:
Security Pacific Finance Corp., the owner of the
Prospector project through a foreclosure, seeks an amendment
--we think minor--to the existing Prospector permit,
condition 7 (see Exhibit A).
As you know, the existing permit requires the sale of a
three-week interval, with one week to come from each of three
columns of a printed schedule (see Exhibit B). Those
schedules of weeks were submitted by the previous developer
and approved as part of the original permit, although not
required by the Code.
SPFC, having engaged in sales through Barry Lefkowitz
for several months, would like the permit amended, to give
greater flexibility to meet requests of prospective buyers.
This request will still satisfy the City Code, by allowing
the individual sale of three week interval of any combination
of weeks, so long as annually the total off season weeks sold
is 26% of the total weeks sold, as will be explained below,
This change is, we believe, a minor one, because (a) it
is entirely consistent with City Code timeshare requirements,
and (b) because it is slight in light of changes others
(~, potential project buyers) have suggested SPFC seek,
such as selling individual weeks, rather than a three-week
package, which SPFC has declined to do.
The relevant Code provisions require at a minimum either
a two week package (on and off-season weeks) or an alternate
packaging that "adequately accomplishes the marketing and
sales of off-season weeks". The Code provisions are as
follows:
Section 20-24(B):
"(5) 'Off-season' means the time between the date of the
closing of Aspen Mountain ski lifts and June 15th of any
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J, NICHOLAS MCGRATH, P,C,
ATTORNEY AT LAW
Mr. steve Burstein
September 16, 1986
Page 2
year and also the time between September 15th to the
date of the opening of Aspen Mountain ski lifts in any
year."
"(6) 'On-season' means any time of year not included in
the off-season."
Section 20-24(E)(3)
"The marketing plan shall satisfactorily demonstrate
that off-season timeshare weeks are being packaged and
included in the proposed sales packages, and that off-
season periods will be adequately marketed and sold.
The marketing shall include, at a minimum, a multi-week
package including one off-season week sold with one on-
season week. A marketing plan may present alternative
packaging of weeks to be sold, if it can be proven to
the city council that the proposed packaging adequately
accomplishes the marketing and sales of off-season
weeks."
The obvious purpose of the Code sections is to make sure
that a developer does not sell the choice weeks, and leave an
unsold and unsalable inventory of off-season weeks, with a
consequent financial drain upon the then existing individual
interval owners, since the owners' assessments pay for the
project when that developer is gone.
The new plan will insure the sale of off-season weeks.
Before illustrating that, let's look at the inconsistencies
in the existing three-week schedule (see Exhibits B and C),
remembering that the developer sought approval of those
schedules--they were not the fault of Council.
The three columns supposedly coincide with high
Winter/ski season, Spring/Falloff-season, and high Summer
season. In fact, depending upon the opening and closing of
the lifts, Easter, and miscellaneous other factors, many of
the weeks do not fit in a clear category. For example, week
14 is under the "Prime Summer" column; yet it is the first
week in April. Similarly, week 50 is in the same column; it
is in early December.
Under the Code's off-season, on-season definitions, the
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J, NICHOLAS MCGRATH, P,C,
ATTORNEY AT LAW
Mr. steve Burstein
September 16, 1986
Page 3
following is an approximate appropriate categorization of
weeks at the Prospector:
Ski weeks
Summer
Off-season
Unsold off-season
Maintenance
(prime ski)
(prime Summer)
20
13
12
3
4
52
Thus, in order to sell the 12 off-season weeks with the 20
on-season ski and 13 on-season Summer weeks, or 33 weeks, out
of the total weeks sold over a period of time, 26% (12
divided by 45) should be off-season, and about 74% (33
divided by 45) should be on-season. That ratio would mean
the project would properly sellout, all other sales factors
being positive (~, assuming a demand for timeshare units,
etc.).
The Prospector would report its sales to the City
quarterly, and the 26%/74% ratio would be observed on a
yearly basis. If there were a variation, then the City would
require and the Prospector would agree the variation to be
eliminated in the following year's sales. While such a plan
is less precise than "pick one from each of three columns,"
you can monitor and enforce it nonetheless.
By the way, the existing total sales of weeks, without
this plan, has less than a 5% variance from it. Total sales
to date are 57 on-season ski weeks, 35 on-season Summer weeks
and 25 off-season weeks, or 77% on and 21% off.
Since the sales efforts by Barry Lefkowitz began, there
have been four new sales consistent with the permit. But
there are at least six prospective sales that SPFC would like
to close, but cannot absent this amendment. These
prospective sales include several with two on-season Summer
weeks, and an off-season week; several with two Winter on-
season and an off-season week, etc.
SPFC believes this change will give greater flexibility
for sales efforts, and for buyers--thus making the project a
more viable one. For example, some buyers interested in the
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J, NICHOLAS MCGRATH, P,C,
ATTORNEY ATLAW
Mr. steve Burstein
September 16, 1986
Page 4
Music Festival may want two on-season Summer weeks; a budget
oriented visitor who likes the Fall colors may want two off-
season Fall weeks. The sales staff have had inquiries from
fly fisherman who return to Aspen each year in off-season
Spring weeks (before the run off), and off-season Fall weeks.
Sales to meet those interests can not occur under the
existing permit. And there are several interested
prospective buyers of three ski weeks who have said that will
not buy unless they can buy three ski weeks. Those ski week
sales could be balanced by sales to those interested as
mentioned, in off-season fly fishing and in the Music
Festival.
We should also mention that some of the recent sales are
to existing owners: ~, one person has purchased four
separate intervals. These repeat sales speak well for the
project. And several of the sales are to real estate
professionals.
SPFC has demonstrated its good faith and stewardship by,
~, paying in excess of $100,000.00 to creditors of Merit,
mostly local people, that it was not legally obligated to
pay. It has, it believes, achieved the good will of almost
all existing owners. It needs, however, this additional
assistance for the project and asks for your approval.
Sincerely,
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J. Nicholas McGrath, P.C.
cc: Mr. Ron Mitchell
Paul Taddune, Esq.
6:lburstei.904
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7. The nineteen IlllI renovated units foune' in the Prospector
must each b~ split into fifty-two 1521 weeks. Seven 171
weeks must be reserved for the maintenance of the project.
Four 141 of these seven 171 ,wee~1l must be used exclusively
for maintenance with no rentalo or other uses allowed.
Two of the four 141 weekn muot be in the spring while the
remaining two 121 weeks must be in the fall. The remaining
forty-five (451 weekn must be sold as propoaed in three
(31 week Hmenhare packageR. Elich three 131 week package
must contain a peak summer/off-winter week, and an off
seallon Ifeek in d ther the spr ing or the fall.
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EXHIBIT A.
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. Week Selection Chart
Prospector fractional eslate owners have three occupancy weeks each year, The choice of specific
weeks is made althe time of purchase. Each owner creates his own package by selecllng one week
from each season: Prime Ski, Prime Summer and Spring/Fall.
Choose One
PrIme Ski
lil
52
1
2
3
. 4
5
6
7
8
9
10
11
12
13
Choose One
PrIme Summer
'14
25
26
27
28
29
30
31
32
33
34
35
36
M-
3tt
'50
Choose One
Spring/FaD
" 15
" 16
17
18
19
20
21
22
23
~24
39
40
41
42
43
44
45
~~
48
49
7
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EXHIBIT B
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~'IIJ ~ VAcATIOrCALENDAR
Sunday to Sunday
UNIT
WEEK 1985 1986 1987 1988 1989
NUMDER
1 jan, 6-Jan, 13 jan,5-Jan, 12 Jan. ~-jan II Jan. 3-jan, 10 Jan, 1-:fan,8
2 jan, 13-Jan, 20 Jan, 12-:fan, 19 )an, II-)an, 18 )an, IO-)an, 17 Jan, 8-Jan, 15
3 jan, 2o-jari, V Jan, 19-jan, 26 )an, 18-)an, 25 )an, 17-)an, 2~ Jan, 15-:fan, 22
~ )an, 2~-Fcb, 3 )an, 26-Feb. 2 , )an, 25-Fcb, 1 Jan. 2~-Jan. 31 }an, 22.,jan, 29
5 Fcb, 3-Feb, 10 Fcb, 2-Feb, 9 Fcb, I-Fcb, 8 )an, 31-Fcb, 7, J:in, 29-Fen 5
. 6 Feb, Io-Feb, 17 Feb,9-Feb, 16 Fcb,8-Fcb, IS Fcb, 7-Fcb, I~ Feb, S-Feb, 12
7 Fcb, 17-Feb, 24 Fcb, I6-Feb, 23 Fcb, IS-Fcb, 22 , Feb, H-Fcb, 21 Fcb, 12-Fcb, 19
8 Feb, 2~-March 3 I Fcb, 23-March 2 Fcb, 22-Mardt I Feb, 21-Fcb, 28 Feh, 19-Feb, 26
9 March 3-March 10 March 2-March 9 March I-March 8 Feb, 28-March 6 Feb, 25-March 5
10 Mar, Io-Mar, 17 Mar,9-Mar,16 Mar, 8-Mar, 15 March 6-March 13 March 5-March 12
II Mar, 17-Mar, 24 Mar, 16-Mar, 23 Mar, IS-Mar, 22 March 13-March 20 March 12-March 19
12 Mar. 2~-Mar, 31 Mar,23-Mar,30 Mar,22-Mar,29 March 2O-March V March 19-March 26
13 Mar,31-Apr1l7 Mar, 3O-April 6 Mar, 29-AprII 5 March 27-AprIl 3 March 26-Aplll 2
I~ April 7-April I~ April 6-Apr1l13 April 5-Apri112 April 3-April 10 April 2-AprIl 9
---'IS Aprlll~-Aprll 21 Apri113-AprIl 20 April I2-April 19 April Io-April 17 April 9-AprIl 16
16' April 21-Aplll 28 April 2O-Aprll V April 19-April 26 ApriI17-ApriI2~ April I6-AprIl 23
t1 17 April 28-May 5 April V-May ~ April 26-M1y 3 April 2~-,ay 1 April 2~-Aprll 30
18 'May 5-May 12 ' May ~-May II . May 3-May 10 May I-May 8 April 3O-May 7
, 19 May 12-May 19 May II-May 18 May Io-May 17 May 8-May IS May 7-May H
20 May 19-May 26 May I8-May 2S May 17-May 2~ May I5-May 22 May I4-May 21
21 May 26-June 2 May 25-June I May 2~-May 31 May 22-May 29 May 21-May 28
22 June 2-JUne 9 'June I-June 8 May 31-June 7 '~lay 29-June S May 28-June ~
23 June 9-June .16 June 8-June 15 June 7-June I~ June 5-June 12 June ~-June II
-'2~ June I6-June 23 June 15-June 22 June H-June 21 June 12-June 19 June II-June 18
. 25 June 23-}une 30 June 22-June 29 June 21-June 28 June 19-June 26 June I8-June 25
26 June 3O-July 7 June 29-July 6 June 28-July S June 26-July 3 June 2;-JuIy 2
V July 7-July I~ July 6-July 13 July S-July 12 July 3-July 10 July 2-July 9
28 July I~-July 21 July I3-July 20 July 12-JuIy 19 July Io-July 17 July 9-July 16
29 July 2 I-July 28 July 2O-July V July 19-)uIy 26 July 17-:July 2~ July I6-July 23
30 July 28-August ~ July 27-August 3 July 26-August 2 July 2~-July 31 July 23-July 30
31 Aug, ~-Aug, II Aug, 3-Aug, 10 Aug, 2-Aug, 9 July 31-Aug, 7 July 3O-AIIg, 6
32 Aug, II-Aug. 18 Aug, Io-Aug. 17 Aug. 9-Aug. 16 Aug. 7-Aug. I~ Aug, 6-AIIg. 13-
33 Aug, I8-Aug, 25 Aug, 17-AIIg, 2~ Aug. 16-Aug. 23 Aug.'I~-Aug, 21 Aug, I3-AIIg, 20
34 I,ug, 25-Sep. I Aug, 2~-Aug, 31 Aug. 23-Aug. 30 Aug. 21-Aug, 28 Aug, 2o-AIIg. 27
35 Sep, I-Sep, 8 Aug, 31-Sep, 7 Aug. 3O-Sep, 6 Aug, 28-Sep,~ Aug, 27-Sep, 3
36 Sep. 8-Sep, 15 Sep, 7-Sep, I~ Sep, 6-Sep, 13 Sep, ~-Sep, II Sep, 3-Sep, 10
37 Sep, 15-Sep, 22 Sep, I~-Sep, 21 Sep. I3-Sep, 20 Sep, II-Sep, 18 Sep, 10-Sep, 17
38 Sep, 22-Sep, 29 Sep, 21-Sep, 28 Sep, 2o-Sep, 27 Sep, I8-Sep, 25 Sep, 17-Sep, 2~
39 Sep,29-Ocl,6 Sep, 28-Ocl, 5 Sep, 27-Ocl, ~ Sep, 25-Ocl, 2 Sep, 2~-Ocl, I
~O Oct. 6-Oct. 13 Oct. S-Oct. 12 Oct. ~-Ocl, II Oct. 2-Oct, 9 Ocl, I-Oct. 8
10 ~I Oct. I3-Ocl, 20 Oct, 12-Ocl, 19 Oct, II-Oct, 18 Oct,9-Ocl,16 Oct, 8-Ocl, 15
~2 Oct. 2o-Oct, 27 Oct. 19-Oct. 26 Oct. 18-Oct, 25 Oct. I6-Ocl, 23 Oct, IS-Ocl, 22
H Oct. V-Nov, 3 Oct. 26-Nov, 2 Oct. 25-Nov, I Ocl, 23-Ocl, 30 Ocl, 22-Oct. 29
44 Nov, 3-Nov, 10 Nov, 2-Nov, 9 Nov, I-Nov, 8 Oct, 3O-Nov, 6 Oct, 29-Nov, 5
~5 Nov, Io-Nov, 17 Nov, 9-Nov, 16 Nov, 8-Nov, IS Nov, 6-Nov, 13 Nov, S-Nov, 12
)6 Nov, 17-Nov, 2~ , Nov, I6-Nov, 23 Nov,IS-Nov,22 Nov, I3-Nov, 20 Nov, 12-Nov, 19
0 Nov, 2~-Dee, I Nov,23-Nov,30 Nov, 22-Nov, 29 Nov, 2O-Nov, 27 Nov, 19-Nov, 26
~8 Dee, I-Dee. 8 Nov, 3O-Dee, 7 Nov,29-Dee,6 Nov"V-Dee, ~ Nov, 26-Dee, 3
~9 Dee. 8-Dee, IS Dee, 7-Dee, H Dee, 6-Dee, 13 Dee. ~-Dee, II Dee,3-Dee,10
50 Dee, IS-Dee, 22 Dee.. H-Dee, 21 Dee. 13-Dee, 20 Dee, II-Dee, 18 Dee, Io-Dee, 17
51 Dee. 22-Dee, 29 Dee, 21-Dee, 28 Dee, 2o-Dee, 27 Dee, I8-Dee, 25 Dee, I7-Dee, 2~
52 Dee. 29-)an, 5 Dee, 28-)an, ~ Dee, 27-jan. 3 Dee. 25-:Jan. I Dee, 24-Dee. 31-J.... 7
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EXHIBIT C
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CITY OF ASPEN ..
MEMO FROM STEVE BURSTEIN
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MERIT DEBTS
PAID BY SPFC
Amount Date
Payee Paid Paid
Aspen Club $ 17,505.00 5/01 and 6/16
Buzz Fedorka 5,000.00 5/11
Snowmass Village Sun 900.00 5/11
Impressions of Aspen 462.87 5/11
Aspen Times 2,053.46 5/11
Sears-Office Furniture 1,056.00 5/11
Media Brokers 4,153.28 5/11
Ashley Associates 2,255.86 5/11
Ashley Advertising 1,338.67 5/11
Aspen Branch 713.73 5/11
Zap Cleaners 1,400.00 5/11
KSNO 2,179.75 5/11
Air Destination 2,302.23 5/11
Provideo/Aspen Quide 3,000.00 5/11
Duplicators 899.40 5/11
Federal Express 1,834.00 5/11
Aspen Activities 100.00 5/11
Marti Sommers 150.00 5/11
Aspen Maintenance 186.10 S/11
The Greenhouse Restaurant 430.15 5/11
Rocky Mountain News 453.60 5/11
David Harris/Neiley 3,500.00 5/12
Gideon Kaufman 4,757.00 6/04
Aspen Daily News (trade $2,000 also) 2,000.00 6/16
Schacht Electric 331.00 6/06
A.L. Larsen-Co-Lessee 1,400.00 6/06
KSPN / TV2 (will trade some) 0.00
Rosendahl Investor Group 45,069.00 5/10
Pitkin Co. (property taxes due
from 1984-1986 - will be paid in
the next month or two before sales) 33,000.00
Total $138,431.10
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EXHIBIT A
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EXHIBIT 8
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J, NICHOLAS MCGRATH, P,C,
ATTORNEY AT LAW
600 EAST HOPKINS AveNue
SUIU203
ASPEN. COLORADO 81611
AREA CODe 303
TELEPHONE 925.2612
June 23, 1986
D rn@rno\\tlfg n
"2311I U
HAND DELIVERED
Mr. Ron Mitchell
Acting City Manager
130 South Galena
Aspen, CO 81611
Re:
The Prospector
Dear Ron:
As you know, I represent Security Pacific Finance
Corporation (SPFC), which has foreclosed on The Prospector
project against its original developer, Merit Investment Company
(of Aspen), Inc. The purpose of this letter is to provide
additional information to you concerning the current status of
the project, as well as to update some information with regard to
the information the City requested at the time it amended the
rule of eight condition.
1. The foreclosure sale occurred on May 28, 1986. The
total amount of indebtedness owed SPFC was $3,995,199.96. We bid
$3,000,000.00, which is more than the appraisal we had as to its
value. Thus, SPFC has already lost over $1,000,000.00 on the
project. Technically we could pursue what is called a deficiency
judgment against Merit, but that is currently unlikely as we do
not believe it has any assets.
2. Consistent with its representations to the City, SPFC
has paid some investors and many local creditors of the project
as indicated on the attached Exhibit A. It is important to note
that SPFC had no legal obligation to advance that approximately
$100,000.00 to pay creditors. The foreclosure would have wiped
out those creditors entirely and legally (except of course for
the taxes listed on the Exhibit). Nonetheless, SPFC felt that it
would like to get off the ground on a positive note and build
some goodwill for the project by honoring obligations that did
not apply to it.
3. As I have indicated, SPFC intends to begin marketing
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J, NICHOLAS MCGRATH, P,C,
ATTORNEY AT LAW
under the old permit for an indefinite period but probably only
for summer 1986. Thus the new plan manager for condition number
nine will be Barry Lefkowitz, d/b/a Aspen Ski Tours Realty and
Mgmt., and a copy of his Colorado broker's license is attached as
Exhibit B.
4. The composition of weeks in timeshare packages, as that
information was requested in the Council's action of February 10,
1986 (Exhibit C) is attached hereto as Exhibit D. It is the same
as approved for use by the prior developer by City Council. As I
have indicated we hope to change that and come up with a more
flexible plan but various business conditions, the time involved
in regard to doing various State and local applications, the
foreclosure itself, dealing with creditors, etc., has prevented
us from doing that so far.
5. With regard to "packages remaining unsold", as referred
to in the same minutes, that is simply a function of the weeks
that remain unsold and how they are selected by a purchaser.
While Merit appears to have violated the permit in some regard,
Barry Lefkowitz on SPFC's behalf will assure the City that any
packages sold will be directly from the schedule and valid under
permit. We would be happy to provide the City with a weekly
update of prospective closings as sales occur if that would make
the City more comfortable.
Attached hereto as Exhibit E is an updated owners list with
the weeks of sale thereon. This list should supersede anything
used by Steve Burstein prior to this time. The attached. list I
have verified with the SPFC division that handles the financing
papers on each unit, as well as with County real property
records, and with Barry Lefkowitz, who deals with owners directly
because they notify him when they are coming in since he
otherwise short term rents their units. Thus we are relatively
, confidgnt of the attached Exhibit E. So far as we can tell, the
few Merit sales that may involve a violation of the existing
permit are not all that much of a problem. There are a~pl~ ofE
season weeks to balance any on season weeks that could be sold.
Steve identified eight sales by Merit he thought contrary to the
permit in his memo to you dated March 26, 1986. In part he based
his memo on a "sales report" print-out I had obtained from a them
employee of Merit. That list was inaccurate (no fault of Steve
or me). However, the response to Steve's then list is as
follows:
- 2 -
1"""\
.~.
J, NICHOLAS MCGRATH, P,C,
ATTORNEY AT LAW
steve's List Response
() i,\ Frischnect 101 50-29-32 No such sale
'0 \'~ Blake 102 11-12-40 We returned his
money-no sale
- Ross/Wallace 203 06-07-43 Accurate
-Merritt 205 08-09-24 Accurate
Smith 207 10-12-23 Accurate
Pillon 302 05-06-25 Accurate
- prohaska 302 10-11-40 Accurate
While steve is correct that the five sales by Merit marked
"accurate" above do not have both a "summer/fringe ski" and a
"spring/fall" week (condition 7), and while I do not defend
Merit's not following its permit to the "T," I do point out that
the violations do not appear major. Indeed, there is some
conflict between condition 7 of the permit and the City Code's
requirement of one "off-season" week sold with one "on-season"
'week. See Sections 20-24(B)~ and (E)(3).
~
In fact, we can address this issue under SPFC's current
proposal to market the three weeks intervals under the existing
permit, with one small proposal. Barry Lefkowitz would like to
be able to sell two summer weeks and an off season week for this
limited summer 1986 marketing period. That would help redress
the imbalance Steve perceives.
,
6. SPFC sent a letter to each of the owners explaining the
status of the project and the like and has so far received
nothing but favorable comment on its participation. A sample of
such a letter is attached hereto as Exhibit F.
7. At the time the rule of eight was amended (Exhibit C),
SPFC also offered to allow any purchaser in escrow to rescind a
sale if that purchaser felt the change in the rule of eight
affected his or her rights. Attached hereto as Exhibit G is a
sample of such a letter. Dealing with this issue has been a bit
of a problem because there is virtually no communication with the
prior developer, Merit. We have asked on numerous occasions for
information as to escrow sales, copies of contracts, and the
like. Several weeks agO, Merit sent unsorted boxes of materials
to SPFC in San Diego, and we are presently reviewing those
documents. As best we have been able to determine there were
only three sales in escrow and a forth to whom a check was
returned (Blake). We are still trying to ascertain that
- 3 -
-.
"'""',
J, NICHOLAS MCGRATH, P,C,
ATTORNEY AT LAW
information and its accuracy. It does not appear to be a
significant problem either numerically or otherwise, and we have
not received any complaints that have not been dealt with fairly
and promptly.
8. As the attached owners' list (Exhibit E) reflects, in
fact there were 47 sales out of 285 intervals (19 units X 45
weeks/3 weeks). Letters went out to each of those 47 owners and
we have received several favorable comments. About 13 of those
owners are in default upon their financing papers to SPFC and we
are negotiating with those owners as to taking a deed in lieu of
foreclosure or having them get back in good standing because of
our increased participation in the project.
?
9. We were also asked at the February Council meeting to
provide some information on the "management of escrow accounts."
Again that has been a difficult problem primarily because of the
defaults of Merit. We requested for some five months the actual
escrow accounts and information as to them from Merit. What we
finally received was, as to any escrow accounts other than for
sales, information that indicated there were no sums whatsoever
in any escrow or reserve account. With regard to the escrow
account Merit maintained for sales, I now have in my trust
account the sum of $13,501.26. Frankly, we have been unable to
determine whose money that is, but we are communicating with
various people in attempt to find out. We believe those funds
belong to the three people who may be in escrow and again are
attempting to communicate with them and with others to find out
who they are. We have been unable to obtain that information
from Merit.
Barry Lefkowitz has set up a Prospector operating account
for assessments and the payment of bills. He is currently also
establishing an Interior Reserve Escrow Account, an Exterior
Reserve Escrow Account, and will open a Sales Escrow Account at
Pitkin County Title for any deposits.
I have advised my client that it has a legal right to
proceed under the existing permit including the three changes
made by Council on February 10. While steve Burstein focuses on
some problems of Merit, he does not seem to understand that
SPFC isn't Merit. SPFC from the start has done everything it can
to improve the situation and provide a solution to a problem and
hopefully we can continue along those lines with you on
Wednesday.
SPFC is highly desirous of beginning to market. It wishes
- 4 -
"""
"""
J, NICHOLAS MCGRATH, P,C,
ATTORNEY AT LAW
to refurbish other units with a better furniture package and do
other improvements to the project. However, when it is already
over $1,000,000.00 in the hole, and with little or no cash flow
coming in, it is harder and harder to justify with directors,
auditors, and examiners of the bank, the advancing of additional
funds to improve the project. Thus the necessity to begin
marketing.
Sincerely,
J. Nicholas McGrath, P.C.
cc: Mr. Steve Burstein
sh3:lmit623
- 5 -
.Jt 1
CITY OF ASPEN. ~
MEMO FROM STEVE B1JRSTEIN
----
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J, NICHOLAS MCGRATH, P,C,
ATTORNEY AT LAW
600 EAST HOPKINS AVENUE
SUITE 203
ASPEN, COLORADO 81611
~Irg @= 'l~I1~
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3
E .2612
June 12, 198"
Mr. steve Burstein
Aspen/Pitkin County Planning Office
130 S. Galena
Aspen, CO. 81611
Re: Security Pacific-Prospector-Marketing Plan
Dear Steve:
Security Pacific is anxious to begin the sales process, and
thus proposes to begin sales under the existing permit and
marketing plan. Barry Lefkowitz, d/b/a Aspen Ski Tours Realty and
Management Company, has a Colorado broker's license and will be
the marketing agent. Since at least in this interim period (prior
to seeking changes and City approvals), only the marketing agent
is being changed, from Timber Run Realty and Terry Liming (see
par. 9) in the original permit to Mr. Lefkowitz, please tell me
if there is anything else the City needs. The only thing I can
think of is some sort of writing by which SPFC and Mr. Lefkowitz
agree to market in accordance with that permit.
SPFC will not close any sales under after August 12, when
the redemption period is over in its foreclosure, so that it will
be able to convey clear title to any purchaser. Even if there
are no such sales, the sales and advertising process can begin
and that will benefit the project.
SPFC will also soon be filing a revised marketing plan with
greater flexibility in weeks that can be sold, for which it will
also file a permit amendment application. Since the condominium
documents may require amendment, and since SPFC will not be the
owner entitled to amend those documents under Colorado
condominium law until after approximately August 12,
realistically SPFC's only choice is to begin some marketing under
the existing permit, while processing the changes it believes
are necessary to make the project viable.
- 1 -
~
.~.
J, NICHOLAS MCGRATH, P,C,
ATTORNEY ATLAW
If you have any questions, please let me know. Perhaps it
might be beneficial to have a meeting with you, Ron Mitchell, and
Paul Taddune?
Sincerely yours,
~~ ~tC~
J. Nicholas McGrath, P.C.
cc: Messrs Mitchell, Taddune, Mead,
Meyer & Brody
nm15:spper605
- 2 -
,-,
.~
PEN
May 7, 1986
~ ~_~ @ owrn: I:~
i,~i MAY - 6 1986 liU
Mr. Nicholas McGrath, Jr. P.C.
600 East Hopkins Avenue
Suite 203
Aspen, Colo. 81611
Dear Nick:
I have reviewed your letter dated April 30, 1986, concerning the
Prospector six sales that currently is in escrow. Your
suggestion to wait to take action until after you file you
marketing plan would seem to be the appropriate course of action.
If you are granted more flexibility in selling different
packages, the current sales that are in violation would be
corrected.
If you have any questions, give me a call.
Sincerely,
~;Z~
Ronald L. Mitchell,
Acting City Manager
RLM:kjm.151
xc: .. St:e,ye:n,l:BJair;s't~Fil:~,
.
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,A
SECURITY PACIFIC
FINANCE CORP,
K.C.MEAD
EXECUTIVE VICE PRESIDENT
April 16, 1986
Helen & Townsend Ace
8017 Cherokee Lane
Leawood, KS 66202
Dear Prospector Owner:
Champagne and flowers! Security Pacific extends
thanks to you for your patience and cooperation through
recent month's adjustments.
As you may have heard by now, Security Pacific
Finance Corp. is in the process of assuming ownership of
the Prospector Resort. Consequently, you may look
forward to improvements in the overall appearance of the
resort as we upgrade furniture and fixtures in the
units, as well as the exterior of the building itself.
We intend to bring it up to the standards you anti-
cipated at the time of your initial investment.
We have reached an agreement with Aspen Ski Club
and have paid required dues through February 1987 and
are prepaying dues for an additional 2 years.
You may expect the Prospector and its staff to
compliment your next stay in Aspen, Colorado. We
sincerely look forward to continued relations with you.
Sincerely,
~? .Ltil./~
Kenneth C. Mead
Executive Vice President
Specialized Financing Services
KCM/pwr
10089 W1LlOW CREEK ROAD
SAN DIEGO, CAUFORNIA. 92131
TELEPHONE (619) 578-8150
SOL1Jle - Se4-t l- I-u alI
..fU( b-h{J O/).l]lers '
SUIlSIOl~F1VOf"SECtJ""V"ACI~IC~""l(lot
EXHIBIT F
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^
Draft to be sent to the three
in escrow
Dear
,
Security Pacific Finance Corporation has foreclosed upon The
Prospector proj ect. \'/e have taken over control of the management
of the project and have begun to revitalize it as a premier
timeshare vacation resort.
The City of Aspen, at our request, has abolished the "rule
of eight" under which sales of The Prospector could not be closed
until there were eight interval sales in each condominium unit.
If the abolition of the "rule of eight" prejudices you in any
way, you have the right to rescind your contract to purchase a
timeshare interval.
Please indicate your desires directly to our property
manager Barry Lefkowitz of Aspen Ski Tours in Aspen, 300 South
Spring, Aspen, CO 81611, telephone No. (303) 925-9500. If you
elect not to purchase, we hope that when you next return to Aspen
you will look at the project under new management and once again
consider interval ownership at The Prospector.
We would appreciate receiving copies of your contract with
the developer Merit Investment Co., and a copy of any checks
(front and back) you wrote for earnest ~oney deposits.
Security Pacific Finance Corp.
"
bc1:lspfc426
eXHIBIT 6-
--
,--
J, NICHOLAS MCGRATH, JR.. P,C,
ATTORNEY AT LAW
600 EAST HOPKINS A VENUE
SUITE 203
ASPEN, COLORADO 81611
AREA CODe 303
TELEPHONE 92S-2612
April 14, 1986
D ,[g@mO\VlmLn
I ".
, APR I 51986 jiU
Mr. Steve Burstein
Aspen/Pitkin County Planning Office
130 South Galena
Aspen, CO 81612
Dear Steve,
Security Pacific Finance Corporation desires an extension of
time within which to file its marketing plan for the Prospector.
As you may recall a new marketing plan was technically due about
April 11. We request a month and a half extension to June 1.
There is no prejudice involved to the City or to the public, as
we are not currently engaged in any marketing efforts. Security
Pacific Finance Corporation has retained the services of Barry
Lefkowitz, a licensed real estate broker, and Aspen Ski Tours to
manage the property and begin the drafts of the marketing plan.
If you have any questions, please let me know.
Sincerely,
lJ,~L
J. Nicholas McGrath, Jr., P.C.
cc: Mr. Ron Mitchell
shl:lbers414
,-
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Iii'""
J, NICHOLAS MCGRATH, JR.. P,C,
ATTORNEY ATlAW
600 EAST HOPKINS AVENUE
SUITE 203
ASPEN. COLORADO 81611
AREA CODe 303
TELEPHONE 925-2612
March 27, 1986
Mr. Ron Mitchell
Assistant City Manager
130 S. Galena Street
Aspen, CO 81611
~[O:~~:[O~
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Re: Security Pacific-Prospecto
Dear Ron:
With regard to Steve's memo of March 26, which points out
that apparently the developer and its sales staff may have sold
certain intervals in violation of The Prospector permit in seven
instances, I did want to indicate that while Security Pacific or
its marketing agent will certainly address that "problem" as
requested by Steve's memo, Security Pacific of course had no
responsibility whatsoever for this or any other violations of the
permit by Merit, the developer. We will check into the facts and
provide further information to you, but I did want to make sure
that everyone was clear that Security Pacific was simply a lender
on the project and had nothing to do with marketing or sales, and
hence with possible past violations.
Sincerely,
J. Nicholas McGrath, Jr., P.C,
enclosure
cc: Mr. Steve Burstein
Mr. Fred D. Meyer
Mark Brody, Esq.
Mr. Barry Lefkowitz
Mr. Michael Butler
pm9:lron0327
1"""\
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MEMORANDUM
TO:
Ron Mitchell, Asst. City Manager
FROM:
Steve Burstein, Planning Office
RE:
Propsector Timeshare Package
DATE:
March 26, 1986
---------------------------------------------------------------
---------------------------------------------------------------
Attached is the sales report for the Propsector submitted by
Attorney Nick McGrath to the Planning Office on February 4, 1986
in association with the Prospector application for amendments to
conditions of approval.
The package'S with orange. marks. neJet to- them are in violation of
Condition to of the. Prospector'S' appro.val in. that they do not
contain a summer/fringe ski week and a spring/ fall week as
required. I have identi1ied Seven such mismatched packages.
It is important that
be submitted to the
approval due by April
the current marketing an& sales program,
City Manager's Office within 60 days
10, 1986, should address this problem.
to
of
cc: Nick McGrath
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Aspen city Council
,~
Feb. ~ry 10. 1986
PROSPECTOR TIMESHARE AMENDMENT
steve Burstein, planning office, said this is a request to amend
some of the conditions of the Prospector timeshare approval. The
main request is to eliminate the condition that 8 timeshare units
out of 15 be sold prior to closing on the unit. Burstein said at
the time the Prospector was approved, Council was very caut:ious
about Hmeshare, and had passed some strict laws. Council fel t
this condition was to protect consumers. Burstein said the
applicant claims this condition is counter productive and has
jeopardized the viabilit.y to the project.
Burstein said staff feels this condit:ion may hamper the cash
flow, however, there are probably other contribut:ing factors to
the probl ems of the Prospector. Bur stein reconunended el iminating
this condit:ion. Nick McGrath, representing Security Pacific,
told Council they have filed a foreclosure on the Prospector.
JlcGrath said the conditions are acceptable to his client and they
believe the relaxation of the rule of 8 will assist in marketing.
McGrath said they feel there were cancellaHon of sales because
owners could not close on and use their units. This money can
repay some of the loan and increase the accumulation of interest.
Councilman Isaac asked about the other timeshare project if they
have the same condition. Burstein said t.he other project has to
sell 5 out of 15 units. Councilwoman Fallin asked if other
communities have this type of restr iction. Burstein said he
15
,,~XHIi3fj' c
,.-.
---\
Requl ar Meeting
Aspen City Council
February 10. 1986
talked to Vail, and they do not have these restrictions. McGrath
told Council Security Pacific is a 100 per cent lender on this
project. Mayor Stirling said there are other factors and this
rule of 8 is not the only reason that this project mayor may not
have succeeded. McGrath agreed with that. Mayor Stirling said
the real estate market was very slow when this project went
through, and the project may have been under capitalized.
Mayor St!r:l ing asked if this bank has any other experience in
integral ownership. McGrath said they have interests in 29 other
timeshare proj ects. Dav id White, P & Z member, said one of the
reasons this was a condition was to get local people both
managing and selling the projects to get consistency. McGrath
said his client intends to do a marketing plan to cover these
concerns. The city staff has to approve any marketing plan.
Councilwoman Fallin moved to approve amendment of condition
numbers 6, 9 and 13 subject to conditions a and b in the planning
office memorandum of February 4, 1986, seconded by Councilman
Isaac.
Councilman Isaac asked if this project now fails and Council has
changed the requirements, can the present owners came back to
Council. Taddune said there is a disclaimer in the timeshare
documents stating there is no liability on behalf of the city for
any representations. McGrath said there are only 4 current sales
in escrow and would make full disclosure to these people that the
rul e of 8 is changing and if they want out, they may get out.
McGrath said all the present owners have objected to the rule of
8.
Councilwoman Fallin amended her motion to add a condition (c)
that the existing contracts in escrow be notified of these
changes, seconded by Councilman Isaac. All in favor, 'D1QUon
'carried.
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PROSPBCTOR'
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Week Selection Chart
PROSPECTUR FRACTIrnAL ESTATE ~RS HAVE TlREE OCCU'N-ICY
WEEKS EAGf YEM. THI S ENABLES EVERYOOE 10 BE [QUAL GlNERS.
THE (HJICES OF WEEKS ~E MADE m A FIRST cor:e, FIP.5T SERVED
BASIS AT mE THIE OF PLnrnASE. EACH Glr~ER CREATES HIS om
PACKAGE BY USING eNE \-lEEK FROIi EACH SEASCJh PRIME SKI,
SUf-lER/FRINGE SKI AND SPRJl./G/FALL.
.
CHlX'$E mE
PRIHE SKI
51
,52 CHRlsnW)
1
2
3
4
5
6 FEBRUMY
1
8
9
Ul 1Wt(}1
].1,
].2
13
CHOOSE Am WE
SlIVlER/FRIII3E SKI
"':]A APRIL
25 JlfIE
26
27
28 JUS
29
qpA~UST .
33
34
35
36 SEPTEIlPER
37
38
"'so DECEM3ER
OiOOSE ArN em
SPRING/FALL
].5 APRI L
16
:),1
:L8 tlllY
19
20
21 JlJ-lE
22
23
, 24
39 SEPTEH9ER
It{)
41 OCTOBER "
42 '
43
44
45 tDVEI'lBER
46
41
48 :a:CEtlilER
49
"'EXCEPTlG/t JW.CHASERS OF WEEKS 13 OR 51 HAVE FIRST (}(JICE
REGARDING :L4 OR 50 RESPECTIVELY.
EXHIBIT D
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Num~r 1083 1084 1985 ' 111811 1097
1 Jan. 2.Jirn.' Jan. 1 :- Jan. 8 " " Jan. 8 . JaR. 13 Jan. 5. Jan. 12 Jan.", Jan. 11
2 .' Jan. 9. Jan. 18 Jan. 8 . Jan. 15 ' Jan. 13. Jan. 20 Jan. 12. Jan. 19 Jan. 11 . Jan. 18
3 Jen. 16 . Jon. :!3 Jan. 15 . Jan. 22 Jan. 20 . Jan. 27 Jan. 19 . Jan. 29 Jan. 18 . Jan. 25
" .., 4 Jan. 23 . Jan. 30 Jan. 22 . Jan. 29 Jon. 27 ; Fob. 3 Jan. 26 .. Feb. 2 Jan. 25 .. Feb. 1
"
5 , Jan, 30. Feb,.8 Jen. 29 . Feb, 5 Fob, 3 . Feb. 10 Feb, 2 . Feb, 9 Feb, 1 . Feb, 8
8 Feb, 6. Fob, 13 Feb, 5 . Feb, 12 Feb, 10. Fob, 17 Fob, 9. Fob, 16 Feb, 8 . Feb, 15
. 7 Feb, 13. Feb, 20 Feb, 12 . Feb. 19 Feb, 17. Fob, 24 Fob, 18. Feb, :!3 Feb, 15 . Fob, 22
8 Feb. 20 . Feb. 27 Feb. 19. Feb. 26 Feb, 24 . Mar. 3 Feb, :!3 . Mar. 2 Feb, 22. Mar, 1
9 Feb, 27 . Mar, 6 Fob, 26 . Mar, 4 Mar. 3 . Ma,. 10 Mar. 2. Mar. 9 Mar. 1 . Mar. 8
10 ' . Mar. 8 . Mar. 13 Mar. 4 .. Mar. 11 Mar. 10. Mar. 17 . Mar.9. Mar. 16 Mar. 8.. Mar. 15
11''- Mar, 13. Mar, 20 Mar, 11. Mar, 18 Mar. 17.. Mar. 24 Mer, 16 . Mar. 23 Mar. 15. Mar. 22
12 ' Mer. 20. Mar. 27 Mar. 18 -Mar. 25 Mar. 24 . Mar. 31 Mar. 23.. M.r. 30 Mar. 22 . Mar. 29
13 Mar. 27.. Apr. 3 Mar. 25 . Apr, 1 Mar. 31 . Apr. 7 Mar. 3O-Apr. 8 ' Mar. 29.. Apr. 5
14 ' Apr. 3. Apr, 10 Apr. 1. Apr, 6 . Apr. 7 . Apr. 14 Apr, 6 . Apr, 13 Apr. 5 . Apr, 12
15 Apr, 10. Apr, 17 Apr. 8 . Apr, 15 Apr, 14. Apr. 21 Apr, 13. Apr, 20 API, 12. Apr, 19
" 16 Apr. 17 .Apr, 24 Apr. 15. Apr. 22 Apr. 21 . Apr. 28 Apr. 20. Apr. 27 Apr, 19. Apr, 28
"
17 Apr. 24 . May 1 Apr, 22 . Apr. 28 Apr, 28 . May 5 Apr, 21 . May 4 Apr, 28. May 3
16 May 1. May 6 Apr. 29 . Mey 6 May 5. May 12 'May4-Mayl1 May 3 . May 10
19 ,May6.Mayl5 May 6 . May 13 . May 12. May 19 Mey 11 - May 16 May 10 . May 17
20 . May 15 . May 22 May 13 . May 20 May 19 . May 28 May 16 - May 25 May 17 . May 24
"
21 .. May 22 . May 28 May 20 . May 27 May 28 .. June 2 May 25 .. June 1 May 24 . May 31
,22 May 29 . June 5 May 27 .. June 3 June 2 . June 9 June 1 .. June 8 May 31- June 7
:!3 JuneS-June 12. June 3 .. June 10 June 9 .. June 18 June 8 .. June 15 June 7 . June 14
,24 June 12 . June 19 June 10. June 17 June 16 .. June 23 June 15.. June 22 June 14.. June 21
25' June 19 .. June 26 June 17 .. June 24 June 23 .. June 30 June 22 .. June 29 June 21 . June 28
28' June 28 . July 3 June 24 . July 1 . June 30 .. July 7 June 29 . July 6 June 28 . July 5'
27, July 3 - July 10 July 1 . July 8 ' July 7 . July 14 July 6 - July 13 July 5 . July 12
26 July 10. July 17 July 8 . July 15 July 14 . July 21 July 13 . July 20 July 12 . July 19
, ,29 July 17 - July 24 July 15. July 22 July 21 - July 28 July 20 . July 27 . July 19. July 26
30 " July 24 . July 31 ' July 22 . July 29 July 28 . Aug, 4 July 21 . Aug, 3 ' July 25 . Aug, 2
31 July 31 . Aug, 1 July 2lI . Aug, 6 lIu9' 4 . AU9, 11 IIU9, 3 . IIU9, 10 AU9, 2 . AuO, 9
32 AuV, 7 . AuV, 14 AuV, 8 . AuV, 12 AuV, 11. AuV, 18 AuV, 10. AuV, 17 AU9, 9 . AuO, 18
AuV, i7 . lIuO, 24 .
33 lIuO, 14. lIuO, 21 lIuO, 12. lIuO, 19 AuO, 18. AuO, 25 AuO, 16 . lIuO, 23
" 34 lIuO, 21 . I\uO, 26 AuO, 19 . AuO, 26 ' AuO, 25 . Sep, 1 AuO, 24 . lIuO, 31 AuO, 23 . lIuO, 30
, 35 AuO, 28 . Sep. 4 lIuO, 26 . Sop, 2 Sop, 1 . Sep. 6 AuO, 31 . Sep, 7 lIuO, 30 . Sep, 6
",36 Sep, 4 . Sop, 11 Sop. 2 . Sep. 9 SoP. 8. Sop. 15 Sop, 7. Sop. 14 Sep. 6 . Sep, 13
37 Sep, 11 . Sop, 16 SoP. 9. Sep, 18 Sep. 15 . Sop, 22 Sep, 14. Sep, 21 Sep, 13. Sep, 20
38 Sep, 18 . Sop, 25 Sop, 16 . Sep, 23 Sep, 22 . Sop, 29 Sep, 21 . Sep, 28 Sep, 20 . Sep, 27
39, Sep, 25 . Ocl 2 Sep, 23 . Sep, 30 Sep, 29 - Oct 6 Sep, 28 - Ocl. 5 Sep, 27 . Ocl. 4
40 Ocl2.Ocl9 Sop, 30 . Ocl ~ Ocl. 6 . 0cl13 ,Ocl. 5. Ocl. 12 Oc1.4.0cl.l1
'.': 41 Oct 9. Oct 16 Ocl. 7. Ocl.14 OcI.13-Ocl20 Ocl. 12 . Ocl. 19 Ocl.l1.0cl. 18
42 Ocll6.Ocl :!3 Ocl14 . Ocl. 21 Ocl. 20 . Ocl 27 Ocl. 19 . Ocl. 28 Ocl. 18. Ocl. 25
43 ..' Ocl. :!3 . Ocl, 30 Ocl 21 . Ocl 26 Ocl. 27 . Nov. 3 Oct 28. Nov, 2 Ocl. 25 - Nov, 1
44' ' : Ocl3O. Nov. 6 Ocl. 28 - Nov. 4 Nov. 3 . Nov. 10 Nov. 2 - Nov. 9 Nov. 1 .. Nov. 8
" "
. 45 Nov. 6 . Nov. 13 Nov. 4 . Nov. 11 Nov. 10. Nov, 17 Nov. 9 . Nov. 18 Nov, 8 . Nov. 15
': '.. '46 Nov, 13. Nov, 20 Nov. 11 . Nov, 18 Nov, 17. Nov. 24 Nov, 16' Nov, 23 Nov. 15.. Nov. 22
' 47 Nov. 20 . Nov. 27 Nov. 16. Nov, 25 Nov. 24 . Dee. 1 Nov. 23 .. Nov. 30 Nov. 22 . Nov. 29
' 48:': Nov. 27 . Dec. 4 Nov. 25 . Dee. 2 Dee. 1 . Dee. 6 Nov. 30 - Dee, 7 Nov. 29. Dee, 6
, "
..
49 ... Dec, 4 . O€c, 11 Dee, 2 . Dee. 9 Dee, 6. Dee. 15 Dec. 7 ..Dec. 14 Oec. 6 . Dec. 13
'50 Dec.ll- Dee, 18 Dec. 9 . Dee, 16 Dee, 15. Dee. 22 Oee, 14 . Oec. 21 Dcc, 13 . Oee, 20
, 51 , DeC.1B.Dec.25 Dee, 16. Dee, 23 Dee, 22 . Dee, 29 Dec. 2t .. Dee. 28 Dec. 20 . Dec. 27
52 " Dec. 25 . Jan.. 1 .. Dee, 23 . Dee, 30 , Dec. 29.. Jan. 5 pee. 28 .. :Jan. . . Dec. 27 . Jan. 3
63 - D&c. 30 .. Jan. e
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-____0____"_..__.__,, ,____. _
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Unit
Weeks
,~
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J. N. McGrath, P.C. Law Offices
SECURITY PACIFIC- CONVEYANCES
ACCORDING TO TITLE RECORDS
Name/Address
Date
GS
Book Page D
-----------------------------------------------------------
106
106
106
106
106
106
106
106
203
203
203
203
203
203
205
205
205
205
205
205
205
205
205
01,24,25
03,33,47
09,19.,35
11,51,52
13 , 1 4 , 48
30,31,49
08,22,38
05,32,39
04,05,24
06,07,43
10,11,37
28,31,49
30,38,39
09,42,52
08,09,2/,
02,31,45
05,34,41
06,27,40
03,33,47
10,25,26
12,39,52
07,37,44
49,50,51
Vierk 02-02-85
, Lafayette, IN
Schiavone/Fischer 08-18-84
no address
Kugler 01-14-85
Sterling, CO
Rosendahl/Eigel 10-15-85
Colo. Springs, CO
Barish/Friedman 12-01-84
NJ/PA
Frischknecht 03-14-85
Morrison, CO
Taylor 01-15-85
Omaha, NB
Lancaster 10-04-84
VT
Potaks/Riloff 10-09-85
NJ
Ross/Wallace 10-09-85
Beth, MD
Ross/Wallace 10-09-85
Beth, HD
Coon/Low 10-09-85
Horrison, CO
Ross/Wallace 10-09-85
liD
Johnson 10-09-85
NJ
Herritt 03-01-85
IH
Skrzypczak 04-30-86
Breckenridge, CO
Zukoski 04-30-85
Phoenix, AZ
Atwater 04-30-85
Winter Park, CO
Rose 04-30-85
L.A., CA
Herritt 09-24-85
WI
Calkins 03-24-85
Concord, Hass.
Fisher 04-30-85
Los Gatos, CA
Meneses 04-30-85
Venezuela
&;Xti/BIT E
482
482
482
499
482
482
482
482
499
499
499
499
499
499
486
486
486
486
486
499
486
486
486
834
813
839
21.3
898
823
818
828
225
237
221
238
233
229
315
320
325
330
335
220
3/,0
345
351
GS
GS
D
GS
GS
D
GS
D
GS
GS
D
as
GS _
as
D
D
D
D
GS
D
GS
"
,-..
,-,
207 05,06,38 Cargill/Wolf 05-16-86 486 350 GS
CT
207 02,22,37 Hargreaves/Turek 02-11-85 481 986 GS
IL
207 03,27,42 Peterson/Nelson 11-09-84 477 501 GS
TX
207 04,30,39 Boyle 08-12-84 476 489 D
Denver, CO
207 07,31,40 Kamen 10-21-84 476 468 GS
IL
207 08,24,33 Kaufman 09-02-84 476 479 GS
NY, NY
207 09,29,47 Smith 08-26-84 476 499 GS
Prescott, AZ
207 10, 12 ,23 , Smi th 10-31-84 477 506 GS
Carrollton, TX
20'1 11,25,44 Hansen 09-19-84 476 474 D
Scottsdale, AZ
207 28,32,49 Coon/Lo~1 08-18-84 476 484
Horrison, CO
207 35,36,48 Ace 09-14-84 476 469 GS
Leawood, KS
207 43,50,51 Kelley/Carr 01-28-85 487 434 GS
~I. Lafayette, 1D
207 26,41,52 Stevens 08-17-84 (illegible) GS
Greely, CO
302 04,35,49 Goldman 09-15-84 478 465 D
Denver, CO
302 05,06,25 Dillon 03-01-85 483 365 GS
Bryn Hawr, PA
302 09,22,27 Ruehr 12-14-84 479 556 GS
Billings, H'I'
302 10,11 ,40 Prohaska 11-27-84 478 480 GS'
Santa Fe, NH
302 13,14,39 Stevenson 07-16-85 491 441 GS
Cohasset, HS
302 31,32,47 Perls 12-19-85 478 490 GS
Albuquerque, NM
302 29,48,52 Ziegler 09-06-84 478 495 D
Denver, CO
302 23,50,51 Horrison 09-22-84 478 485 GS
Rolling Hills Est. , CA '
302 12,30,43 Palmer 12-02-84 478 500
Denver, CO
302 08,24,33 Shelton 10-23-84 478 470 GS
Tucson, AZ
:302 07,28,41 Sartain 11-17-84 478 475 GS
Lake Jackson, TX
pm9:forclos2
/\.
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CITY OF ASPEN ..
MEMO FROM STEVE BURSTEIN
To: J1);LI( Me ~,.tJ,
rrolll: ~t~V( 6uvs hi"
RG: rvl/"'~rrfl..b.J"Ullitl ()~jK CfJ(l1(~d d fJ.. frOsff'Jcr
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. 'lEE PRDSPECl'OR/ ASPEN em/Iv ~1:>4,~rt
SAU:S REPORr ~""Il1.f:
llCIOImt 18th, 1985 f3vu. s~iJ 5S
0 --~.~'-~-T~ UUL Of CIDSED CR
PI.lRlJlA5IlR llNlT WIlKS PRICE cmJRACI' 'l:Eml NJI: CLDSED
\) FRISOlNEQIr 101 50-29-32- 26268.00 08/12/85 OSYRS, 14.9%, P'JMl'S$498.83 NJI: CLDSED
F'RlS(llNF.(m 101 4~:D-3L 26268.00 cp'/12/85 OSYRS, 14.9%, P'JMrS$498.83 NJI: CLDSED
CAlNS 102 4~50-51. 32500.00 12/19/84 O2YRS, O.Ol:, P'JMrS$looo.00 NJI: CLDSED
o m.m: 102 11-12-40 33000.00 03/29/85 lOYRS, 14.9%, P'JMl'S$424.31 NJI: CLDSED
sJlg'l ' -'OOMBO 103 4~50-51 35500.00 12/31/84 10YRS, 14.9%, P'JMrS$456.45 NJI: CIDSED
f'e' , r?';;.. IlARISIl/FREIrMAN 106 13-14-48 . 29500.00 12/01/84 lOYRS, 14.9%, P'JMrS$189.65 CIDSED
o ,,,- '1-,:> SllIWANE/FICSHER 106 03-33-47 23500.00 08/18/84 QSYRS, 12.9%, P'JMrS$426.80 CLDSED
~ KllW:R 106 09-35-19. 29500.00 01/14/85 lOYRS, 14.9%, P'JMrS$379.31 CIDSIlD
Im:AS'lER 106 05-32-39' 23825.00 10/03/84 CA9I SAIE CLDSED
0 PAlMER" 106 28-29-42 : 19900.00 08/02/85 lOYRS, 12.9%, P'JMrS$236.76 lOT WlSED
1t TAYUJR 106 al-38-22 29500.00 01/15/85 lOYRS, 14.9%, P'JMrS$379.31 CLDSED
VIERK 106 01-24-25 23500.00 01/02/85 OSYRS, 12.9%, P'JMl'S$426.80 CIDSIlD
~} ilIIIRD" 203 03-13-36 38750.00 00/lS/85 lOYRS, 12.9%, P'JMrS$461.04 -im' ~
CXXN' 203 31-4~28 26440.00 cp'/1O/85 lOYRS, 12.9%, P\HI'S$314.58 1m SI:BSIlP
JOIlNSON* 203 09-52-42 46979.00 07/22/85 O3YRS, o.rot, P'JIll'S$848.23 .lIl'f SI:lIIm'
J l'OTOR'" 203 04-05-24 31000.00 CP,/07/85 0S'lRS, 11.4%, ~!l'S$544.17 .tIii@~
BOSS/WA'LLACE: 203 10-11-37' 29500.00 03/24/85 lOYRS, 14.Ol:, P'JMrS$297.72 N9'f ngC!!:'1'\
mss/WAUACE 203 :D-38-39 29500.00 03/24/85 lOYRS, 14.0%, P'JMrS$297. 73 N3'i' GCBSIm
() BOSS/WAUACE 203 06-07-43 25000.00 cp'/1O/85 CA9I SAIE 1m' S:.SSim
.,. A1WA:IER 205 06-27--40' 31500.00 04/20/85 lOYRS, 14.9%, P\HI'S$405.02 CIDSED
CAU<INS 205 52-12-39 39600.00 03/24/85 lOYRS, 14.9%, P'i'Ml'S$509.12 CLDSED
0 ""'FISHER 205 07-'Yl-44 31500.00 01/29/85 lOYRS, 14.9%, P'JMrS$405.02 CIDSED
MENE'SFS 205 51-50-49 31950.00 12/30/84 CA9I SAIE CLDSED
MERRlTr 205 10-25-26 2600Q.00 00/01/85 CA9I SAIE }14'iilllll!_
:) MERRlTr 205 08-{)9-24, 38760.00 02/04/85 OSYRS, 12.0%, P'i'Ml'S$56O.43 CIDSED
lEmSE 205 03-3~7 29500.00 02/ U/85 lOYRS, 14.9%, P\HI'S$379.31 CIDSED
ltSI:RZY!'CZAK 205 02-31-45 29500.00 04/30/85 lOYRS, 14.9%, P'JMrS$379.31 CIDSED
'J ~SKI 205 05-34-41 31500.00 01/24/85 lOYRS, 14.9%, P'JMl'S$4OS.02 CIDSED
'.
Ja. 207 35-36-48 23440.00 00/14/84 01YRS, 0.0l:, P\HI'S$976.67 CLDSED
IDU 207 04-30-39 26500.00 cp'/12/84 lOYRS, 14.9%, P'JMrS$340.73 CIDSED
0 CARGIll. 207 QS-{)6- 38 28500.00 03/14/85 ClISII SAIE CLDSED
CARR 207 51-50-43- 30875.00 01/31/85 ClISII SAIE CIDSIlD
',HANSEN 207 11-25-44 30500.00 00/19/84 Ions, 14.9%, P'JMrS$392.16 CLDSED
:) 1lARGREA.VES/1UREK 207 02-37-22 26500.00 02/ 14/85 lOYRS. 14.9%, P\HI'S$340.73 CIDSED
KAMEN 207 07-31--40 27075.00 10/24/84 OlYR, 0.0%, P\HI'S$U28.18 CLDSED
KAlJEMIIN 207 al-33-24 28500.00 cp'/24/84 lOYRS, 17.0%, P'JMrS$299.65 CIDSED
0 PEl'ERSON/NElSlN 207 03-27-42 26500.00 11/00/84 1OYRS. 14.0%, P'JMrS$194.CP, CLDSED
SHIm,AL 'lJ:J1 10-12-23: 34616.00 10/31/84 lOYRS, 14.0%, P\HI'S$320.10 CLDSED
SHIm, PAT 207 09-2'H+7 30500.00 08/26/84 1OYRS, 14.9%, P\HI'S$392.16 CIDSED
0
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rn:vENS 2fJ7 52-26-41 325<XJ.00 re/18/PA orms, 0.0%. l"lMl'S$1;345.16 CLOSED
IlILl.OO 302 0s-<l6-25 34600.00 02/'13/85 CASH. SALE CLOSED I
aJLl}lAN 302 04-35-49 28500.00 rJiJ/1,8/PA 07'lRS, 13.9%, P'JMISS426.01 CLOSED
KlRRlSCtl 302 51-50-'13 34500.00 rJiJ/19/PA 10'lRS, 14.9%, P'JMISS443.60 CLOSED j
pAUlER 302 12-30-43 30500.00 12/C12IPA 10'lRS, 14.9%, l"lMl'S$392.16 CLOSED \
!
PERLS 302 31-32-47 25040.00 f13/l:J/84 10'lRS. 14.9%, P'JMISS321.96 CLOSED (
;
PRQlASKA 302 10-11-40 37500.00 1l/27/PA 10'lRS. 14.9%, l"lMl'S$443.60 CLOSED ,
JlElR 302 C1?-27-'2r 32500.00 12/ 14/PA 10'lRS, 14.9%, l"lMl'S$417.88 CLOSED j
SI1El1XlN 302 f13- 33-24 30500.00 ll/Ol/PA 10'lRS, 14.9%, l"lMl'S$392.16 CLOSED 1
SAP:l'AIN 302 07-28-41 : 29500.00 1l/17/PA 07YRS,13.9%, l"lMl'S$440.96 CLOSED \
!l'IMllSCtl 302 1.3-14--39 1iJ7oo.oo 03/27/85 03'lRS. 0.00%, PlH1'SS847.92 CLOSED ,1
ZIEGU1t 302 52-29-48 27600.00 rJiJ/07/PA 07YRS, 13.9%, P'JM[SS515.70 CLOSED !
ANllEPS 304 , 52-49-32 . 37500.00 12I29/PA Q5"lRS, 12.9%, l"lMl'S$681.06 WI CLOSED ;
K:XJRE,JAN" 304 15-36-48 27144.00 07/26/85 03'lRS, 0.00%, PlH1'SS603.22 WI CLOSED ,
NASI!" 304 50-40-09 . 39066.30 07/'25/85 10'lRS, 12.9%, P'JM[S$464.80 WI CLOSED
'IlJ!AL SAIES 1650896.30
*N:J'm: SAIES T!IAT
BAVE WI PASSED
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MEMORANDUM
TO:
FROM:
Aspen City Council ~
Hal Schilling, City Manag
Steve Burstein, Planning 0 ice
~
THRU:
RE:
Prospector Lodge Timeshare - Request for Amendment to
Timeshare Conditions
DATE:
February 4, 1986
-~--------------------------------------------------------------
----------------------------------------------------------------
SUMMARY: The Planning Office recommends amending Conditions 6, 9
and 13 of the Prospector Timeshare approval as requested subject
to the two conditions listed below.
APPLICANTS' REQUEST: The applicants, Security Pacific Finance
Corporation and Merit Investment Company, request: (1) to
eliminate the requirement that eight (8) timeshare packages out
of 15 be sold prior to closing, set in Condition No. 13; (2)
amend Condition No. 6 to reflect the Code amendment regarding
inspection trip approval through Ordinance No. 67, Series of
1985; (3) delete Condition No. 9 naming the party responsible for
the marketing program; and (4) amend Condition No. 27 to allow
rental money from the rent of unsold units to be used for payment
of debt as well as maintenance.
BACIGROUND: In 1983 and 1984, the Prospector Lodge Timesharing
proposal received a recommendation of approval by the Planning
and Zoning Commission but was denied by City Council. On May 29,
1984, Council reconsidered and approved the timeshare proj ect.
Thirty-four (34) conditions of approval (see Attachment "A") were
attached to approval of the condominiumization plat.
During the Annual Timeshare Review conducted by the Planning
Commission on August 20, ]985 and City Council on September 9,
the Prospector management requested some general response to
eliminating the ClOSing requirement, labeled the "rule of eight".
Both the Planning Commission and Council indicated willingness to
consider easing the requirement through an appropriate applica-
tion for a change in the conditions of approval. An application
was received during the discussion of Ordinance No. 67, Series of
1985, which amended the timeshare ordinance with regard to
inspection trip limitations and the annual licensing fee.
.~
...,.
"
APPLICABLE SECTIONS OF THE CODE: Section 20-24 of the Municipal
Code establishes regulations of timesharing as a particular type
of condominiumization -- and more broadly, subdivision-activity.
Section 20-24(E) states the standards and review criteria for
timesharing according to which the effect of amendments should be
examined. The legal vehicle for timesharing is the condominiumi-
zation map, as described in Section 20-23(A), Lodge Condominiumi-
zation. The application before you is for an amendment to the
conditions attached to the approved condominiumization map.
Timeshare is a conditional use in the Commercial Core zone
district. Section 24-3.3(c) provides that the Planning Director
can make the determination that the proposed modifications are
not substantial, do not have significant land use implications
and need not be reviewed at a hearing before the Planning
Commission, therefore, the request has been handled as a one step
subdivision exception application for City Council review.
PROBLEM DISCUSSION: When the Prospector applied for timesharing
in 1983-84, City Council had recently passed the Timeshare
Ordinance and was very cautious about the potential harm of such
projects on the economy, reputation, and land use patterns of the
City of Aspen. The Ordinance contains strict requirements and
the conditions of approval for the Prospector incorporate
safeguard measures intended to ensure that the proj ect would be
properly operated and marketed. Most of these conditions of
approval directly reflect provisions of the Ordinance.
Condition No. 13 was passed primarily to give Council a comfort
level with the economic viability of the Prospector project.
Council's concern was protection for the buyers and developer in
the case that either the developer walked away from the proj ect
or other timeshare package purchases walked, leaving the remain-
ing purchasers and the developer to shoulder the costs of
operation. The applicant claims that this requirement is
counter-productive and actually jeopardizes the viability of the
project. The applicant believes that with free reign over the
use of sales money, a greater commitment to the project operation
and payment of debts can be made. Furthermore, there are State
consumer laws and the policies of lending institutions to address
the protection of parties involved in real estate transactions.
According to information provided by Merit Investment last July
and by the applicant's attorney in February, the following
characteristics of the Prospector project are tabulated:
2
,......
,'i.
Project Summary
Project Sales Summary
Timeshare Packages
Timeshare Packages
Sold
Timeshare Packages Closed
Timeshare Packages Under
Cont ract
Percentage of Total
proj ect Sold
Based on the decreased number of timeshare packages under
contract, it is obvious that the Prospector is in a more precari-
ous situation now than it appeared to be last JUly. We suggest
that one reason may be the closing restriction; and that elimina-
tion of this restriction; may be even more needed than previously
to help the project. On the other hand, elimination of the
restriction may cause those buyers with packages under contract
to totally lose their investment if the project fails, when the
money would be in escrow otherwise. We present this analysis so
that Council can evaluate these risks and the potential benefits
in making a decision on the applicaitons request.
Units
Units Closed
19
4
July 1985
285
92
Feb. 1986
285
46
37
55
37
9
32%
16%
It appears that there are other prOblems in selling Prospector
timeshare packages besides Condition No. 13, "Rule of Eight",
including a soft market and possibly the marketing techniques
employed. However, at this time the City's interest appears to
be served by easing restrictions on closing to help the proj ect
succeed. If the proj ect continues to be used and maintained,
taxes are paid, and local debts are paid in part or full, then it
appears that the community's welfare is being served. We are not
guaranteed that by granting their request that these benefits
would all be realized.
Given other protection in the City timeshare ordinance, City
conditions of approval, State statutes, and bank policies, we
feel that the effect of doing away with this requirement would
not unduly jeopardize the public welfare. The applicant should
disclose current information about their marketing and sales
program inCluding how packages are composed of intervals,
packages remaining for sale and management of escrow accounts so
that the City can ensure that the Code and the other conditions
of approval are being adhered to.
Regarding the other requests by the applicant, we have the
following comments.
The Planning Office agrees that Condition No. 6 should
to reflect Ordinance 67, Series of 1985 amendments.
transportation, lodging . . . " should be deleted.
Condition No. 9 should be changed to name the current Plan
be amended
"Giving of
3
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Manager. As the management is likely to change again soon, the
names should be left open until the new manager is under employ-
ment.
No change is necessary in Condition No. 27. It presently allows
the developer to use rental money for non-maintenance expenses as
long as "any maintenance which may be necessary" is paid for
first.
ADVISORY COMMITTEE VO'1'E:
expedited review, therefore,
was accomplished.
RECOMMENDED MarION: "Move to approve amendment of Condition Nos.
6, 9 and 13 of approval for the Prospector Timeshare as follows:
This case is being handled as an
no review or recommendation from P&Z
1. Amend Condition No. 6 to take out reference to transporta-
tion and lodging gift prohibition.
2. Condition No. 9 should contain the correct names of the
current Plan Manager;
3. Deleted Condition No. 13;
and subject to the following conditions:
a. The applicant shall provide the City Manager I s Office with
current information about the Prospector I s marketing and
sales program including:
i. The composition of weeks in timeshare packages;
ii. Packages remaining unsold, and
iii. Management of escrow accounts.
This information shall be submitted within sixty (60) days
of this approval.
b. An amended Statement of Subdivision Exception, reflecting
the changes to conditions of approval, Nos. 6, 9 and 13,
shall be submitted to the satisfaction of the City Attor-
ney's office."
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l..-Thc applictlnt will amend the
! 'the following:
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condomi.nium plat to include
'''I'
.a. ,Reference encroachment license <J'rantec1 by COl1l''lcil
for t,he rock fa.cac1e stairs on the north frontage;
b. Indicate book and page of easements for the transformer
in any vaults or pedestals on the property;
2. The applicantfs land,scapeplan \'1ill require final approval
o.f compliance by the Parks Di.rector. The plan should be
all9men.ted to include the follo"ing:
a. The additi6nal side"alk spur on the "est end of the
alleY;
b. r~%1gation of the planting areas along the "est and
n.o,r.thfrontages to maintain trees in those locations.
3. The applican,t must provide sixteen (16) on-site underground
parki.ngspa,ces.
4. The' B,~o,ject must, include amenities as proposed including
a S\!n.g,.c.k on the third floor, on-site parking, lobby, and
uI:!-itame,nities including a hot tub, sauna, wet bar and
m,a,so,r;'lxy fireplace.
5. Occupan..cy by a timeshare owner is limited to thirty (30)
clays 'I?e!;ow.en December 10 and llarch 26.
6. kl0 )."robibited marketing practices "ill be a11o",ed including
the giving of gifts in a deceptive manner, use of public
malls or streets for sale, phone solicitations to visitors
at other lodges, or the giving of transportation, lOdging
or O,ther gifts valued in excess of $100.00,
Tbe nineteen (19) renovated units found in the Prospector
mUs.t each b. split into fifty-tl'IO (5?) "eeks. Seven (7)
\'1cceks 'must be re served for the m.nintenance of the proj ect.
Fp.Mr (4) of these seVen (7) .\'leeks must be used exc'lusively
fortnl3,intenance \'lith no rentals or other uses al1o\>1ed.
T,\",09.f toe four (4) \'leeks mLlst be in the spring \'lhile the
rem,aining t"o (2) "eeks must be in the fall. The remaining
forty-five (45) weeks must be sold as propoced in three
(3) "eek timeshare packages. Each three (3) l'leek package
m,U):!!tcont~in a peak sLlmmer/off-winter '<leek, and an off
s,eIlS"-n l'l!\,ek in either the spring or the fall.
7.
a'
8. No right-to-use timeshare leasehold >lill be a11o>led. All
Pro.sp.eo.,!;oo.r timeshare interest sales must be on a fee o"nership
bas,is.
9.
Timber ,Rlln Realty and Terry Liming as plan Hanager and
10,o.al co!'tao.t I<ill be resp,onsible for the marketing program
for tne P.rospector. The marketing program identified in
tbe. timeshare application must be adhered to.
R..
10.
lis proposed, the applicant must establish four
ac.cO\ln.t.s for opera.tion of the budget system.
tbes,e accountS have been established must be
(4) banking
Proof that
documented
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to the Cit-y of Aspen when such accounts are established.
ll.. Th~ issuanc~ of a C~rtificat~ of Occupancy Hill be sufficient
to meet the requirements of Section 20-H (F) (2) o. the
Code regarding th~ useful lB. o. mechanical and electrical
equipment in the Prosp~ctor.
12. Th~ mandatory tVIO (2) month deposit and any dOHn payments
m~de in conjunction with the purchase of a timeshare unit
must be held in an eSCrO\'l account l11"l.til closing or the
issuance of a Certificate of OCcupDncy, whichever is later.
The escro,w agent must be a title cOl7lpany in Aspen I a neutral
third party.
13. No closing will be allovled until at l~ast eight (8) of
the to,tal fifteen (15) timeshare packages are sold for
any given un ,i t .
14. Wh~n closing occurs, the declarant as well as the new timeshare
o,.,ner~ m..u,st then begin to pay their que.rterlY ass"essment
fees for that unit. For any unsold units the developer
is respo,nsible for operating costs,
15. The Interior Reserve Fun,d and the Exterior Reserve Fund,
bo.to e~'p)e,nditures itemized in the maintenance/assessment
fees, cannot be reduced or suspended during the first five
(5) years a.fter the first closing. 1IJ.l other expenditure
item.s uS..ed in the calculation. of the assessment fees can
b.e adjusted with the approval of the ooo,rd of l'lanagers.
The: m,oneydes ignE\tcd for the reserve funds must al\.,a~tS
be h.e.ld in escrOI< to be used as needed for interior and
exterio,r repairs and maintenance. Designated monies going
into the res~rve fund (estimated at $10,000 per year) cannot
be redu,ced "r eliminated until the fund has accumulated
$50 , 00.0.
16. The Prospect.or timeshare units are limited to six (6) occupants
at <\)1Y one t iwe .
17. The applic.l1nt "ill submit a fifty (50) year ,loed-restr iction
fo.r th~ ewplpyee unit (HOO) meeting the form and standards
pf the ,.ttorney's Office.
18. The ""ners are required to o\'ln the common areas and common
am.e.nities in the Prospector Lodge and this must be reflected
in the app.ropriate documents.
19. Tflj;! B,p,axc1 of' t.1anagers rilllSt Clesignate a local managing age,nt.
20. One deed must be conveyed for each three vloek package so
that:. week,s are never sold individually.
21. R~ferences must be made throughout the application and
exhibits attached to indicate that the project is subject
to all of the requirements in Section 20-24 as "011 as
the State Ti.meshare La\'ls "hich are already specified in
tho sp,plicatipn and attachments.
22. Th,e financing for the Prospector must be e>:presslY subject
to all restrictions placed on the project,
2:3. The applicant must provide satisfactory hanc1icap access
t,o th~ first level of the Prospector Lodge by installatipn
of a handicap lift or by such other means as may be approved
by the Aspen Building Department. In addition, the applicant
shall make two (2) units on the first level of the Prospector
L,p,dg,esui table for handicap use.
24. The plan manager or the managing agent must apply for and
shPVI evidence to the City of a Colorado State Sales Tax
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be applicable to any short term rental of these units.
A required re.al estate transfer tax "ill apply to initial
and subsequent sales of the tim~share interest and "ill
be collecteaas is done in any other real est~te transaction.
2.$. The Prospector Disclosure State!:lent, the Pros[lector Condominium
Doc,~ments entitled Fractional Estate Declaratiol1, the Prospector
A.rticles'of Incorporation of the Fractional Otmers Association,
ana the By-Laws of the^~sociation as well as a sample
purchas,econtract mllst all be "amended to reflect the conditions
d approval placed on the Prospector through the approval
p.r'ocess.. The Planning OfficE! and the City r~ttorney's Office
mus,t both review and approve the final documents to ensure
th~ changes ana clarifications arc accurately m~de.
2u. Any further updating or amanding of the approved timeshare
documents must be approved through the City according to
the requirements of Section 20-24 of the subdivision regula-
tions.
27. The declarant may rent unseld units but the rental money
must go to\olard any maintenance \-1hleh may be necessary as
a result of the unit's use as D rental.
2a. The applicant 'must clarify throughout the timeshare application
refer~nces to timeshare units versus references to timeshare
intere,sts.
2.9. Thirty percent (30%) of the qualified voters (present or
represented by proxy) of the Factional O"ners Association
~~st be present to obtain a quorum.
3,0. The own.ers may not lease the common elements or amenities
Cexcluding the employee unit) whiCh they 01''" as was proposed
in. the application.
3.l. To ens\!re compliance "ith the proposed marketing program,
t,hl! applicant agrees to post "ith the City suitable security
in the amount of a $20,000 irrevocable letter of credit.
~~. Full details of ' the RCI exchange program (cost, procedures,
~the~ ~rojects involved, confirmation percentages, etc.)
m,u.St be. provicled to the purchasers of Prospector timeshare
interests.
3:$,. As:s-essrnent fees canno,t be increased \'/ithout \Hitte-n notice
being given to the Owners thirty (30) days prior to the
effective date of the increase. Such "ritten notice must
explain the reason for the increase and document the need
f.or th,e increase.
:\,h The applicant must submit to the Finance Director the license
fe.e re.quired by Section 20-24 (S) of the Nunicipal Code,
to be paid on a pro rata basis for the remainder of 1984,
currentlY estimated at 52950.00. Prior to obtaining the
license from the Finance Director, the applicant must first
pay the outstanding fees o"ed to the Planning Office, currently
estimated at $2990..00. The applicant 'shall annually obtain
a n~w license from the Finance Director on or before January
1st of each subsequent year.
.... -_.~
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130
asp
SPEN
CITY
reet
611
V &@&D~&
JlNZ/&1t; ~
MEMORANDUM
DATE: January 20, 1986
TO: Planning Office
FROM: City Attorney
RE: Prospector Lodge - Request for Amendment to Timeshare
Conditions
The request appears appropriate in view of the problems which
apparently have resulted from the condition and the City Council's
willingness to relieve the project of this imposition.
PJT/mc
3F
.;-., "'
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, ~IO,xwmuM
TO':
FROM:
RE:
, City Attorney
Steve Burstein, Planning Office
Prospector Lodge - Request for Amendment to Timeshare
Conditions
DATE:
January 8, 1986
=====================================================================
Attached for your review an application submitted by Nick McGrath on
behalf of his client The Prospector Lodge (Security Pacific Finance"
Corp.), requesting an, amendment to Condition No. 13 of the Conditional
Use (timeshare) and Subdivision approval grant by City Council on ,May
29, 1984 to The Prospector Lodge. This. condition allows that no
closing may take place ,until eight (~) of a tptal of fifteen (15)
timeshare packages' are sold for any given unit.
" '
Pleal?e review this material ,and return your comment s to the Planning
Office no later than January- 28, 1986, in order to give this otace
adegilate time to' prepare for its presentation before City Council ~ f: I '-Ii
, . 'f,'O,/O
Thank you.
; "".;~
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Last
Telephone
Unit WK WK WK Clos
Frischnecht 303-236-1394 101 49 30 31 N N/t+
'Frischnecht 303-697-8129 101 50 29 32 N
Blake 102 11 12 40 N 'i-3-'il~
Ca LDJtL____,__ 305-331-6223 102 49 5!L_5.l...ti_1.~-I' :,j'!,_.___...._..
Barish/Friedman 609-921-3022 106 13 14 48 Y
KugTer:.----------,. 106 9 35 19 Y
[ancast-er----802-67t='5'iOT-T06---S--'32--39"y--.------
Pal mer 1 06 28'-29-42N"'F~:~<5'-"'-"'-"
8hivoane/Fische 106 __ 3 _q,l_.~.L'L '...,....___
Taylor 402-455-1348 106 8 38 32? 1.15-G
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Baird 203 3 13 36 ?NfA--------'
Co:D,'n::::::==-=......30~-697:1633 _20{=. 31 ~ 4f,....,,28 _L,J.ilir--
Johnson 210-297-5070 203 9 52 42 Y
Potok -"".-~---.. 20T----'4--S--24T----...-"
Ross/Wa 11 ace 203..".__6___L. 43__.?..,:I:b;,.:..~.,___..._...,
Ross/Wallace 301-46<;'-9699 203 10 11 37? '1-?..gS
Ross/l~all ace 203 30.. -38"'39'1--q-::-:3.:i;'$'...'--..----..
Atwater 303-726-5775 205 6 27 40 Y
Calkins 617-732-1407 205 52 1239'Y,..--..---..
F! sher 408-395-T470 205-- 7 37 .44Y..-----'.......
Meneses 305=qs4-8718 205 51 50 49 Y
t'lerr i tt 205 8 9 24-?
Merritt 715-839-5222 205 10 25 26 Y
ROse---':--" 213-473-7796 205 3 33 47,Y
Skrzypczak ,7-;, >'$;' "'::3'" 205 2 31 45 Y
Z u kosk i 602-953-:.'ii46720:r-...--'5-..344T.'r.--.--'-.--
Ace 913-649-1328 207--35-3'6"4S---y-----.---"
Boyl e 303-750-5384 20..7---43Cj'-...39'y..'.'..'..........'..--.-...c.....
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Carg lTI--- 203-367-4400 207 5 6. 38 Y "..._______._..
Carr .-...."2'or.....5'i-'5o.'i!3.'{....'..-.-.
Hansen, 602-998-0442 207 11 25 44 Y
Hargreaves,ltu'l"e 312-49':Fi20'T 207 "~--2-'37"-22Y""-'-:=:=-=~
Kamen 312-432-7248-207-" "73140_ Y -"-":="__.____.....__.
Rautman 207 '---s3'3------z4 Y
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8m! th, A 1 214-689-576~?,.....:.::....LL_!..:f_61....1........._______.____
::imltn, Pat -- 408-258-2999 207 9 29 47_Y .,__
Stevens 207 52 26 41 Y ,,_.____,
D i 11 on -------- 302 56 25 y. ,,____~_.__.
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Morrison ......., .302 5-j-'50"23 y---~=~:='.-...-..."
PaTITler--------....-----~:==.:3QI==.~j 2'= 3Q~~:=i~=T .==:::=::::..__..___...
Per 1 s 505-268-87'21 302... 31 32 47. Y.. _ ....".........
Prohaska--SoS".:s8f:.iTo"Q'c.3oi".jo..-j"j.-4.0"y----.,,-'-'. -- ~,,,._,
Ruehl" 406-256:'40'49--'302"--"''9'- 27' 2T'T-====.:.~=-~.___
Sar ta I n 409-238-4292 .3ii'i"-'-.--T-"28...-.41 Y ,
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8tevenso.j)'---.61i=786=i6oo""302-.. -'131-4 39 Y
ZTegler----jo 3-388=2.883-302..... '5229"48~{ ....,.......-,...,..,
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713-333-:266_~_~Q,i.__",l~._.l.6 48 N 7 - 2..& - 'ilS
205-837-9060 304 50 40. Q,~J::!___202j,.:..1~".,_""_.
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Security Pacific Finance Corp.
10089 WILLOW CREEK ROAD. TELEPHONE (619) 578.6150. SAN DIEGO, CALIFORNIA 92131.1690
December 30, 1985
Mr. Steve Burstein
Director
ASPEN/PITKEN COUNTY
PLANNING OFFICE
130 South Galena
Aspen, CO 81611
Re: Application of Dece~ber 19, 1985, to Amend
The Prospector LOdge Conditional Use Permit
Dear Steve:
Security Pacific Finance Corp. hereby applies for the referred
Subject as it pertains to the elimination of the so-called Rule
of 8 Sales of 15 from the Conditional Use Permit and other items
made a part of the December 19, 1985 application by Attorney
Nicholas McGrath, Jr. We enclose a check for $680 representing
the fee involved. It is our understanding, after talking to
Thomas Schober of Merit Investment Co. (of Aspen), Inc., that he
will be joining Security Pacific in this application.
Your assistance in effecting code changes as they affect The
Prospector has been appreciated.
Sincerely,
,_".,J
Project
Resort &
//)
~
er
dministrator
Real Estate Financing
FDM:klr
Enclosure
cc: Gary M. Linnabary
J. Nicholas McGrath, Esq.
Thomas Schober
SUBSIDIARY: SECURITY PAClnCCORPORATION
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December 24, 1985
Aspen/pitken County Planning Office
130 South Galena
Aspen, CO 81611
D rn@rnDWrn
JAN - 61986 'i~
Attention: Steve Burstein
Re: Application to Amend Prospector Lodge Conditional Use Permit
Dear ~lr. Burstein:
Merit Investment Co. (of Aspen), Inc., joins in the application
of Security Pacific Finance Corp., dated December 19, 1985.
Very truly yours,
;i.~be"~i~
Merit Investment Co. (of Aspen), Inc.
TS:nek
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J, NICHOLAS MCGRATH, JR" P,C,
ATTORNEY AT LAW
600 EAST HOPKINS AVENUE
SUITE 203
ASPEN. COLORADO 81611
December 19, 1985
AREA CODE 303
Aspen/Pitkin County Planning Office
Attn: Mr. Steve Burstein
130 South Galena
Aspen, Co. 81611
Re: Application to Amend Prospector Lodge
Conditional Use Permit
Dear Steve:
I represent Security Pacific Finance Corp., which is the
lender to the extent of over 3 million dollars on the Prospector
Lodge timesharing project.
This application is to amend the Prospector conditional use
and subdivision approval permit as adopted on May 14, 1984. We
anticipate that the developer ~erit Investment Co. of Aspen will
join application but ask that it be considered whether or not
that be the case.
By way of background, Security Pacific's note and deed of
trust is in default, with over $600,000 in interest currently
due. Security Pacific's desire to have the permit amended is a
reflection of its security position. The principal reason for
the application is to amend condition number 13 that allows no
closings until eight of a total of 15 timeshare packages are sold
for any given unit. Since Security Pacific's acquisition and
development loan is repaid to the extent of approximately 40
percent of the proceeds of each sale this means that money is
tied up without paying down that loan. Thus, interest is
increasing; in order to recoop the interest, the developer must
raise prices, which has an opposite effect of what is intended.
We believe there is no sound reason for this so-called rule of
eight. As you know it was applied on an ad hoc basis and does
not appear in the timeshare ordinance itself. Since once there
is any closing and parts of units are therefore timeshared all of
the remainder must be timeshared as well under the city's
ordinance. Hence, there is no reason of consumer protection or
otherwise to maintain this particular condition, which works a
hardship upon Security Pacific and the developer as well. By the
way, several of the owners who are in limbo, that is who have
purchased timeshare intervals but have not been able yet to close
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LAW OF'FICES
,J, NICHOLAS MCGRATH, ,JR.
because of that rule have also expressed their view that the
condition should be changed on the ground that it ties up their
money without the ability to use the units, etc.
All in all we would like that condition amended to eliminate
any requirement for number of intervals in a particular unit
being sold before a closing. The owner benefits by being able to
close in the ordinary course and use his interval, the developer
benefits by being able to use its approximately 60 percent for
sales expenses (and many local sales expenses have been unpaid),
and the like, and the lender (my client Security Pacific)
benefits by being partially repaid on its loan. It is our
understanding that there may be as many as 25 or 30 contracts
that are not closed some of which may be lost by the mere passage
of time.
As long as
condition 13 of
there are a few
follows:
we are seeking a change to the rule of eight, or
the Prospector Lodge conditional use permit,
other amendments we would desire. They are as
Condition
Amendment
6
Amend the prohibited marketing practice
and gifts by deleting it. The new amendment
to the timesharing ordinance you will
consider in January on second reading will
provide the standards in this area.
9
Should be deleted as Timberline Realty and
Terry Lining are no longer associated with
the project.
13
The rule of eight; discussed above.
27
The use of rents solely for maintenance ought
to be broader so that the condition says rent
should be applied first toward maintenance then
towards reduction of debt.
It is our understanding that this amendment is both of a
conditional use permit and of subdivision approval and therefore
should go to the Planning and Zoning Commission and thereafter to
City Council.
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LAW OFFICES
J, NICHOLAS MCGRATH, JR,
Thank you very much. I look forward to meeting with you
soon to discuss this. Naturally, in the circumstances, we would
appreciate very prompt processing.
Sincerely,
I~ U'CwSQ
J. Nicholas McGrath, Jr., P.C.
cc: Paul Taddune, Esq.
pm2: Iberl219
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READY~~RE
MEDICAL
C L
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C
November 7, 1985
Prospector Lodge
Attention: Mr. Buzz Fedorka
301 East Hyman
Aspen, Colorado 81611
RE: My unit #304 that I purchased in December of 1984
RE: Rule of * 8 that must presently be sold out of 15 before closing can take place.
Dear Buzz;
I am very unhappy that I cannot use my condominium unit #304 yet because
of Some rule that requires 8 out of the 15 time slots to be sold before your
company can "close-out" the unit and completely furnish the unit with the
furniture, et cetera. As you know, I have already paid a substantial down-payment
and have alread paid the closing costs that amounted to a total thus far of
almost $8.000.00 (see copy of my receipts attached). I feel that the city ordinance
that requires 8 out of 15 be "sold" is very unfair as it makes it impossible for
me to use my property until 8 slots are sold in my unit. I therefore can't use
the unit that I 'have already paid almoSt $8,000 for for my Winter ski trip, for
trips to Aspen during the summer, et cetera.
Not only is the city ordinance rule unfair to us owners of units, it is also
unfair to the Aspen business community because the business community will be
losing out on a lot of business if my family and friends can~t use the unit
until some time in the future when 8 out of 15 slots sell. If we are able to start
using the unit, I am sure the other owners of units in the Prospector will have
their family and friends corning to Aspen year-round to spend money in the Aspen
business community.
I am very pleased
professional attitude.
with my purchase
Ya'll have been
of the unit and with you and your staff's
very helpful thus far and I want you to
do whatever you can to try and convince the City Of Aspen to repeal the unfair rule.
Please let me know if there is anything that I can de from here to help.
Sincer.. el~'.,< \U'~
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Dr. Steve Anders
-
FUmy, INDUSTRIAL & MINOR EMERGENCY MEDICINE
4101 AIRPORT FREEWAY, SUITE #101 . BEDFORD, TEXAS 76021 .8 A,M,' 9 P,M, 7 DAYS A WEEK. 283'5888 (METRO) 540-4333
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MEMBER
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W. Kelley Carr, 8.S., D.D.S., M.S.D.
P.....ti.e Limited to OrtJ.odoatica
RoLertoon Bldg.. Room 207
216 N. 4tJ. Street
P. O. 50", 25
LaIayette. J..diana 47802
November 4, 1985
(317) 742.21"
Mr. C. Welton Anderson
Ch.ai:rperson, Aspen Planning and Zoning Corrmission
130 S. Galena Street
Aspen, Colorado8l6ll
Re: TiJneshare Code Arrendrrents November 19," 1985
Dear Mr. Anderson:
As an owner of weeks 43, 50 and 51, Unit 207 in The l?rosJ?E:ctor lOOge, I would
request you favorably consider Arrendrrents 1 and 2 to Section 20~24--T.i.rresharing
of the Aspen Municipal Code.
In regards to Arrendrrent 3, I would view the $5,000 annual license to not be
unreasonable since it: "
1) Is another wew: of collecting sales tax or preventing loss of revenue
from owners living outside of Colorado who might not' report fran
rentals made and collected aut of state, and
2) since Point (S), Subpoint (6) says "Licenses shall be granted only if
the "project is in CCI:lpliance with the regulations of this section......"
indicates costs will be incurrec1 by the City of Aspen in seeing the
Prospector project is COllplying with subdivision code 20-24.
I have read the Aspen subdivision code 20-24 very carefully and do not see any
restriction in the code requiring 8 of 15 units to be sold (escrowed) before
allaving closing of the sales. The copy of the subdivision code I have was given
to me by the Aspen Planning Office .:j.n ~"Ocj;qber3~"_J.9S5. _ LLthis restriction
does"iiJ. fact apply, then I believe it shoUld have been in the code section with the
numerous other restrictions. My wife, a Cit~r Council IOOrl'ber in West Lafayette,
Indiana, advises me that a restriction of this type would be in the code section
of their City Code. My wife further tells me she would be afraid of passing a
restriction of this type as being a restraint of trade.
Are your restrictions on the nurrber of units which have to be sold before closing
the same on the other TiIreshare project (Shadow Mountain Lodge)? The Aspen Daily
News, Saturday, November 2, 1985 is -reporting ShaCb.l Mountain Lodge is only required
to sell five fractions before closing. A principal of zoning and planning is an
"across the board" application of the code or regulations. Are you developing and
enforcing your code and regulations equitably? '
My wife, Il\Yself, and two children have been coming to Aspen for many years. I have
been Skiing here since 1988. As a family we have spent 9 of the last 11 Christmases
in various locations in Aspen. My son has been in Aspen for all of the last eleven
7{ Smile is Happiness
....",'
I""',
~
.page 2
November 4, 1985
Christmases. Our visit to The Prospector at the end of October in the "off
season" took place 'because of our =ershi.p of a Timeshare unit at The Prospector.
Our particular unit was occupied by another owner the previous week. Neither of
our two groups of people wo]lld have spent time or noney in Aspen this fall, if
we did not = a Timeshare at The Prospector. Timesharing does seem to increase
economic activity in Aspen in the "off season".
V-::lease help support the viability of The Prospector project by actions which
support The Prospectors developer's .opportunity to succeed in his project while
also protecting the inany absentee owners of units.
'. Aspen .is-'a lovely, wonderfulp-1ace. Although we travel often and'widelYiit
is the bnly place where we have ever wanted to go back to so often that we
were willing to pUrchase a T~. We are quite happy with our Timeshare
unit overlooking Wagner Pax:k..'
Sincerely,
~o(k-;. ~
W. KellJl-c>~ \J
WKC: pas
CC: Mayor of Aspen
Mr. Tom Schober, President Merit Investment Co.
twJ~~~ ,
Businesses visi tedr. during our s'ta1i, Budget Rent-A-car, Karl's Drug Store, Aspen
Drug Store, crossroads Drug Store, Aspen Mine Co., Little Annie's, Chart House,
Red Onion, Hicko:ry Hous!'!, Hills Photo Galle:ry, Aspen Sport, Guido Sport, ~lin Ski,
The next ski shop with an Italian ~ name, LaCantina, Cliff's Bake:ry, City Market,
Andre's, Cookie ShoP ,and several. waoon' s shops.
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MEMIER
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W. Kelley Carr, B.S., D.D.S., M.S.D.
P"olioe Li.iled 10 o.l~odo.li...
,Roberloo. Bldg.. Roo. 207
218 N, 41~ Street
P. 0, 80z 2S
L.r.yette. I.di... 47802
Novenber 4, 1985
(117) 741.1111
Mr. C. Welton Anderson
Chaizperson, Aspen Planning and Zoning Cc:rnni.ssion
130 S. Galena Street
Aspen, COlorado 81611
Fe: Ti.mashare Code Al1endmmts Noverrber 19, 1985
Dear Mr. Anderson:
As an owner of weeks 43, 50 and 5l, Unit 207 in The Prospector I.OOge, I would
request you favorab;Ly =ider Al1endmmts 1 and 2 to Section 2Cl-24-Ti.masharing
of the Aspen Municipal Code.
In regards to Al1endmmt 3, I would view the $5,000 annual license to not be
unreasonable since it:
1) Is another w<r:/ of collecting sales tax or preventing loss of revenue
from CMners living outside of Colorado who might not :n:port frem
rentals made and collected out of state, and
2) since Point (S), Subpoint (6) says "Licenses shall be granted only if
the project is in ccrrpliance with the regulations of this section......"
indicates oosts will be incurred by the City of Aspen in seeing the
Prospector project is CCI:'Il?lying with subdivision code 20-24.
I have read the Aspen subdivision code 20-24 very carefully and do not see any
restriction in the code requiring 8 of 15 units to be sold (escrowed) before
allCMing clOSing of the sales. 'Ihe ropy of the subdivision code I have was given
to ITe by the Aspen Planning Office in Aspen, October Jl, 1985. If this -restriction
does in fact apply, then I bel-ieve it should have been in the code section with the
nurrerous other restrictions. My wife, a City COuncil rrerri:ler in West Laf<r:/ette,
Indiana, advises ITe that a restriction of this type would be in' the code section
of their City Code. My wife further tells ITe she would be afraid of passing a
restriction of this type as being a restraint of trade.
Are your restrictions on the nUlli:ler of units which have to be sold before closing
the sarre on the other Timashare project (Shadow M:>untain IDdge)? The Aspen Daily
News, Saturday, Noventler 2, 1985 is :n:porting Shada.t M:>untain I.OOge is only required
to sell five fractions before closing. A principal of zoning and planning is an
"across the board" application of the code or regulations. Are you develq;>ing and
enforcing your code and regulations equitably?
My wife, Il!iself, and two children have been caning to Aspen for many years. I have
been skiing here since 19B8. As a family we have spent 9 of the last 11 Olristmases
in various locations in Aspen. My son has been in Aspen for all of the last eleven
71. Smile is Happiness
.
..
,,...,,
,..."
Page 2
NOvember 4, 1985
Christmases. Our visit to The Prospector at the end of Oci:d:ler in the "off
season" took place because of our amership of a Timeshare lmit at The Prospector.
Our particular unit was occupied by another amer the previous week. Neither of
our two groups of people would have spent ti.rre or noney in Aspen this fall, if
we did not am a Timeshare at The .Prospector. Timesharing c'bes seem to increase
ecx:l!lanic activity in Aspen in the "off season".
J/
Please help suPPort the viability of The Prospector project by actions which
support The Prospectors developer's opportunity to succeed in his project while
also protecting the many absentee amers of units.
Aspen is a lovely, wonderful place. Although we travel often and widely, it
is the only place where we have ever wanted to go back to so often that we
were willing 1:0 purchase a Timesham. We are quite happy with our Timeshare
unit overlooking Wagner Parle.
Sincerely,
, /(
Lu ttel /"\,
W. Kelley Carr \
/
'-(_.'f.- '\,
WKC: pas
cc: Mayor of Aspen
v'Mr. Tan Schober, President Merit .Investnent CO.
&...10 (,'(-1. :...:.......;.'....) ~,y'........,t.<,.. ~I
Businesses visited\during our stay, Budget Rent-A-Car, Karl's Drug Store, Aspen
Drug Store, Cross~ Drug Store, Aspen Mine CO., Little Annie's, Chart House,
Red Onion, Hickory House, Hills Photo Gallery, Aspen Sport, Guido Sport, Haelin Ski,
The next ski shop with an Italian type nane, LaCantina, Cliff's Bakery, City Market,
Andre's, Cookie Shop, and several wanen' s shops.
r-,
r-,
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"'::'';''A.:lE CG. REPHESENTA:f~V2S Fon E"-ECT::-:CAL . _
31:i7Au:i.wOOG Ct.
uubilf~. CEliO 43n17
6:4a764-3;rOJ
74:29 Elmhurst ,'We. N.W,
N. Ca.nton. 'Of.l~v o.t4'i'~[)
215-497-%25
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3S1~ ?C06:t Df.
Dayton,O>dc. (5,C::.~,::
~ 2::"-29;ja69~2
ASp~n City Council
Aspen Colorado 81612
Sep~ember 26, 1985
Attn: Presideet of City Couecil or Mayor
':;e..: }.en:en.;
S"~~Gct; Proposed Cbanges ~n Timeshare Ordinance
- :,Ote "i.<h interest your discussions conce"."" the above crC:in::dlc,:
~L'. e~fect on buyers of Timeshare units. This was repOrted 1n ~~a S.
.2c~, issue of the Aspen Times ~o which we aabscribe.
'Cu ili1gh: De interested in Lhe effects on the buyers such as ~yself,
~ecaase of the inordinate delays in closing We are unable ~o definill:~
:~::.&" our Sprir.g vacations with ou;:, children a:ec: OUr fri~,.::s si::ce 1,C '...
~na~::'e to definitely confirm that We Wi::'. have acc~ss to OUr unit u' .,
we ;,.eve closed, This will mean that pernaps 8 people wil J, ::ot b'2 "
ever the 2 weeks period with loss of inc0_2 for merchants and the ,~: Erec,
v/ e :. a v e had $ iI, 550'. 00 pIt; s c 1 0 sin g. co s t s 0 f U, 7 7 . 3 7 t i EO d up for va::"': :1 <:
periods beginning last March ObViouSly we coule use this money fcr ~acy
p~r~OS0S, It_i~_2~I_~~~~tanQin~_i!_i~-l~~22_Q~lQ_id_~~~~~_~f_~-22l~
i~Y~_l!_~~~~lf_~~_~!~i~_i~!~E~~!_!~_~~E_~~~~~~!~
T~e delBYS also interfere with our payoL~ plan~ to ~uy off OUr ~0_:S2Z3,
I~ fu~ure deliberations please consider these effects on other bUY0~s, c~
POtential bUYers,and t~e way it imp~cts On the developers ability to see:
aU61~ionel units and promote tee whole concept.
My family, and friends, are lOOking fo;:,ward ~0 the use oc OUr
Ka~ch &~d hope we will not have to 10 el'~here, We are thrilled
prospects of owning a piece of Aspen if ~, v f~ several weeks,
yea:-s of visiting it would be great to 1::'''0 "Our Own Place,."
u:-~:;. -c.
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at ':1:2
Afte:;: 2~.
cc:Buss Fedoxkar We are still looking -!for
':tne... Lis t of furniShJ.ngs ..for the uni t,.
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Li:l & Xarie Blake
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