Park City Pending Sales Way Up!
June 29th, 2009 Categories: Park City, Statistics & Trends
Park City Real Estate Market: Did We Hit “The Bottom”?
If you’re like most people, even if you’re convinced that Park City’s LOCATION is right for your family’s future mountain getaway, you have been waiting for the right TIMING to invest, right? Resourceful, disciplined investors take advantage of market fluctuations to acquire assets at rock-bottom prices.
Park City Pending Sales By Month
As you can see for yourself, the number of pended sales in the Park City area is up. Way up over previous months. Inventory is being absorbed at a much faster rate than any point during the year.
What does this mean for you?
Procrastination is Your Enemy.
This is the opportunity you have been waiting for. Finally, there’s a chance to enter the Park City market when prices are depressed and you have superb variety of properties to evaluate. Imagine the alternative–you could wait ’til next year…
…When the sellers who DESPERATELY NEEDED to sell already did, after savvy buyers already grabbed the most desirable properties at the best prices–the kind of deals worth bragging about in years to come.
We Guide You to the Best Deals…but We’re Not Mind-Readers!
Our distinctive style of service allows you to chart your own course. We will explore your specific goals and listen to where you are in your research process, so we can support you in your search. You’re in control, and we’re always there when you need us.
Describe what you’re looking for and we’ll work tirelessly to help you find and acquire it. It’s that EASY.
Contact Us Today for a No-Obligation “Market Bottom Consultation”
Imagine the fun you’ll have when your family finally owns a legacy property in Park City! But the process takes time and careful planning. Don’t miss this rare market opportunity–it’s a winning decision!
We’re waiting to hear from you. Just send us a quick note to: Info@ParkCityRealEstateGuide.com
Or, for faster service… Call ParkCityRealEstateGuide.com today at 1-800-485-0218.
Warning:
You might be surprised by the tone of our conversation. There will be no pressure, no hassles, no gimmicks. But don’t just take our word for it. Find out for yourself!
We only take on a handful of serious buyers each month to ensure remarkable service and results. If you don’t like our style, it’s not a problem. Simply ask us not to contact you again, and we’ll pleasantly honor your request. We can’t work with everybody…
In short, you’ve got nothing to lose….and think of what you have to look forward to!
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Park City Real Estate Sales Stats
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Park City Condo Managment Companies–15 Questions To Ask
May 19th, 2009 Categories: Hotels & Lodging, Local Services, Real Estate
Let’s face it…
It’s been a tough couple of months for Park City & Deer Valley property managers.
With a couple of Park City’s largest property managment companies annoucing they would be late on rent payments due to owners…
Park City & Deer Valley second home owners and investment property owners might want to take a closer look at who’s managing their investments, and ask some due diligence questions.
By the way, these questions were forwarded to us by our friend Jonny Totten from the Park City Area Lodging Association. Thanks, Jonny!
Questions to Ask and Understand When Choosing a Park City or Deer Valley Property Management Company
· How many years has the Property Management Company been operating?
· Business hours: do they vary with different seasons?
· After hours: how are check-ins handled?
· How are emergency- maintenance problems handled?
· Are services sub-contracted or do you maintain a staff to handle housekeeping and maintenance services?
· Review contract in detail and understand the commission structure; i.e. is it based on gross revenue or net revenue?
· How are travel agent and/or credit card fees handled?
· What housekeeping and maintenance services are included? Is there a fee associated?
· Understand cancellation terms and the need for honoring existing reservations.
· How often are owner statements prepared? Review a standard year-end statement to understand credits and charges.
· How do you handle advance deposits? Do you have a trust account for owner rental revenue?
· How do you market your company, and more specifically, how will you market my property?
· What are the start-up costs?
· Do you have projections so I can know what to expect in upcoming years in addition to past years’ actual revenue #s for comparable type properties?
·What can you provide to me with regards to your company’s financial strength and ability to perform on your contractual obligations to owners?
Related Park City & Deer Valley Property Managment Articles:
Deer Valley Lodging: Not Too Big To Fail
Park City Property Manager Late on Payment to Owners
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Promontory Foreclosure Auction: The New Owner is…
May 14th, 2009 Categories: Golf, Just Outside of Town, Lifestyle & Activities, Park City
Surprise! In a bizarre turn of events…
The original developers of Promontory–Arizona-based Pivotal Group–tendered a $70 million bid at the April 15 bankruptcy auction, stepped back in, and were able to re-purchase the controlling interest in the project for pennies on the dollar.
Pivotal Now Owns Promontory With Almost No Debt
The Credit Suisse Group lent $350 million to the club in 2005, and most of that money was taken out of the project as “return on capital” by the original developer.
“That is just wiped off the books,” Promontory Managing Director Rich Sonntag said about the debt.
Implausible as it may be, Pivotal now owns the existing club amenities and all future development potential, including the roads, golf courses, clubhouses, and development infrastructure with almost no debt going forward.
Was Bankruptcy Promontory’s Strategy From The Beginning?
Pivotal Promontory Managing Director Rich Sonntag insists that Pivotal CEO Francis Najafi did not orchestrate the bankruptcy to avoid repaying the loans.
Credit Suisse could have emerged as the winning bidder, but the lender withdrew its offer on April 16th.
Credit Suisse Cuts Losses, Not Willing to Increase Stake in Promontory
Credit Suisse had the opportunity to take over the property and protect a $275 Million investment by tendering a bid of $70 million and agreeing to keep the club amenities in operation in the years ahead.
A sign of the global banking crisis and mounting losses around the globe, Credit Suisse was not willing to invest additional funds and opted to walk away from the project instead.
Lenders Providing Financing at Promontory Again?
It should be easier for prospective Park City home buyers and existing Promontory owners to borrow/refinance their Promontory properties.
The bankruptcy had been a dark cloud over the community that prohibited risk-averse lenders from financing homes and lots at Promontory. It sounds like banks will look upon the project with more enthusiasm now that the auction is over.
What Does this Mean for Promontory Home Owners and Club Members?
The good news is that there’s finally some clarity regarding who will control Promontory moving forward.
Like it or not, the developer has the strongest financial position that they have ever had in the project. The infrastructure is almost complete, and there’s no debt!
The bad news is that some members/owners don’t trust Pivotal’s ability to keep the community on track, and they’re disappointed that a new developer didn’t step in and start fresh. Time will tell…
Time to Get a Great Deal at Promontory?
The supply/demand balance of homes at Promontory continues to strongly favor Buyers over sellers.
Since the bankruptcy auction, 4 homes have gone under contract. That matches the total number of homes sold in the previous 12 months!
Cutting right to the chase, Promontory was a popular spot for speculators when the Park City real estate market was booming. Many of those same speculators now can’t keep up with the payments, and we’re seeing quite a few foreclosures and short sales in the neighborhood.
Here are the homes currently available for sale at Promontory
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Park City Property Manager Late on Payments to Owners
May 13th, 2009 Categories: Park City
David Holland Resort Lodging Follows Deer Valley Lodging’s Lead, Suspends Rents Payable to Park City Condo Owners
Chalk-up another victim to the nation’s financial crisis, as economic forces continue to affect Park City’s nightly rental industry.
A downturn in business during the 2008-09 winter season and the inability to get credit forced a second Park City, Utah property manager to suspend rental payments to owners for rentals in Feb and March, 2009.
More Condo Owners Wait to Receive Rents
In letters to unit owners dated March 27 and April 10 respectively, David Holland Resort Lodging stated that not paying owners moneys owned was “due in large part to the severe national economic crisis” and “in past years when we did not meet our rental projections we were able to use our reserves and borrowed funds to make up the temporary shortfall.”
David Holland Zatz, owner of David Holland Resort Lodging, confirmed Tuesday that he, too, sent a letter to about 300 condominium owners at the end of March announcing a temporary delay of payments.
Credit Crisis Hits Park City Property Managers
“Funding I thought would be available to me wasn’t. Not everyone has declined, so I’m still working on it,” he said.
With 25 years in town, Zatz has successfully navigated his company through the recession in the 1980s and the slowing following Sept. 11, 2001. The difference this time is that banks still lent money during those periods.
“It’s just a different environment right now,” he said. “We’ve weathered all the storms before. I’m confident we’ll be able work through.”
There are vendors affected as well as owners, but the accounts with Home Owners Associations are separate, he said.
Related Park City Property Management Articles:
Interviewing Park City Property Managers: 15 Questions to Ask
Deer Valley Lodging Delays Rent Payments to Owners
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Deer Valley Lodging–Not “Too Big To Fail”
May 13th, 2009 Categories: Deer Valley®, Park City, Real Estate
Deer Valley Lodging Delays Payments to Deer Valley Condo & Deer Valley Home Owners
Deer Valley lodging, a management company owned & operated by Premier Resorts International, sent a letter in late March 2009 to hundreds of property owners warning them that the company would be unable to make rental revenue payments to property owners for rentals in February & March, 2009.
According to the letter, “This extraordinary situation necessitates that we delay payment of current amounts owed to condominium unit owners under our Rental Agency Agreements. DVL plans to pay all owners the full amounts owed as soon as possible.”
The astonishing demise of one of Park City’s most influential property-management firms is being felt in many sectors of the Park City business community.
Because of the enormous range of services property managers offer, the line of unpaid creditors includes everyone from florists to plumbers.
Deer Valley Lodging Terminates Over 100 Employees
Since the announcement, Deer Valley Lodging–Deer Valley Utah’s largest property management firm–has been searching for solutions to its cash-flow challenges.
During the first week of May, Premier Resorts laid off over 100 employees, and announced a cancellation of accrued, unused vacation pay, sick leave, and personal time.
And the news hasn’t gotten any better for Premiere Resorts since the initial announcement…
Premier Resorts (DBA Deer Valley Lodging) Headed Into Bankruptcy?
Park City attorney Joseph Tesch filed a petition for involuntary Chapter 7 bankruptcy in federal court on behalf of a handful of condominium owners at The Lodges at Deer Valley, most of whom are also board members of the homeowners’ association.
According to Premier Resorts International, the parent company of Deer Valley Lodging , the filing “complicated” the company’s search for a solution to pay the 500 plus owners who have not received past-due rental revenues for February and March rentals.
The letter also said the filing “will likely affect our ability to attract financial assistance.”
It was hoped, briefly, that an investor would step in to assume the company’s financial obligations, but it appears now that will not happen. Deer Valley Resort is forming its own property-management arm.
Deer Valley Resort Steps Up, Forms New Lodging & Reservations Division
Premier Resorts, DBA Deer Valley Lodging, had use of the Deer Valley® name through a licensing agreement with Deer Valley Resort. Based on the recent turn of events, Deer Valley decided to revoke the licensing agreement and form a new company to handle the property management needs of the Deer Valley community.
The new company will provide property management services for Deer Valley condo and home owners, and community HOA’s (Homeowner’s Associations).
Kim McClelland will head the new company as Director of Lodging Operations for Deer Valley Resort Lodging and Reservations. Mr. McClelland is a longtime local lodging veteran who has also served as president of the Park City Area Lodging Association, the Park City Rotary Club and the Park City Chamber/Bureau. He is also involved with the Utah Office of Tourism and the Utah Ski Association.
We hope the new company will hire many of Deer Valley Lodging’s other key staff as well!
Related Park City & Deer Valley Property Managment Articles:
Top 15 Questions to Ask Your Park City Property Manager
Park City Rental Agency David Hollands Delays Rental Payments to Owners
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Deer Valley Condos: Appreciate Your Assets
March 4th, 2009 Categories: Deer Valley®, Park City
Exploring Deer Valley, Utah Condos For Sale
I toured clients three bedroom condos in Park City & Deer Valley, Utah last week. It was the first time this particulary family had looked at condos here in Park City although they do own time-shares in Park City already.
Like many of our clients, they want to take advantage of the buyer’s market that Park City has become.
Inventory is up…
List prices are down…
For the first time in years, there are MOTIVATED SELLERS in Park City & Deer Valley Utah.
Three Reasons Why Today’s Buyers Are Investing in Park City & Deer Valley Properties
1) They want a place for their family to gather and share good times
As adult children spread across the country it’s great to have a central gathering place with convenient access from wherever your family ends up.
2) Confucious say: Your stocks may go to zero, but your home in Park City will not…
Take a look at real estate as an asset class compared to stocks, corporate bonds, etc… and you’ll see that Park City & Deer Valley real estate has proved to be a sturdy investment.
Today’s Park City & Deer Valley real estate buyers are looking to invest money in a more stable asset class than the roller coaster that is Wall Street… and who can fault them for that?!
If you’re like many investors, you would be happy with a simple return of your investment these days, not a return on your investment!
3) Here’s the big benefit of owning Deer Valley & Park City real estate…
You’ll get to appreciate your asset while your asset appreciates. How Fun is Your 401-k?
Back to the story about our Park City property tour…
Condos in Lower Deer Valley
We covered a lot of ground in three separate days of touring, but we spent much of our time in Lower Deer Valley which has a plethora of options in the three bedroom category.
Today’s buyers in Deer Valley have a great opportunity to own a piece of Park City’s Gold Coast for a significant discount over years past. Multiple listings in most of the complexes along the Deer Valley Loop, such as Fawngrove, Boulder Creek, Pinnacle, Portico, and Chapparal offer choices of floor plans, location and price points.
Park Meadows Offers More Square Feet for the Same Price as Lower Deer Valley
We also saw some three and four bedroom listings in Park Meadows neighborhoods like Four Lakes Village and Fairway Village which offer more square footage, great outdoor living and great views for similar prices as the Lower Deer Valley options.
The less convenient access to Park City’s Historic Main Street and the free Park City bus system might discourage some families who want to rent their properties while they’re not here enjoying them.
Warning: Don’t Be Overwhelmed by all the Great Park City & Deer Valley Properties For Sale
You’ll face an abundance of options, but don’t let the variety of available inventory be an impediment!
It’s a blessing…Chances are good you’ll find a property that meets your requirements, and you won’t need to win a bidding war with other buyers to acquire it for a compelling price!
The Evolution of a Park City Property Search
From the point when your search for Park City real estate begins, your conception of the type of properties that fit your criteria may evolve.
It may take some time and conversations with your family decision-making team to reconcile your contradicting perspectives…shocker!
We hear it over and over…how surprised our clients are with our casual no-pressure approach.
In these challenging times, you need a thoughtful and professional consultant to help you stay on target…not a desperate rookie who relies on high-pressure tactics and makes your exploration a miserable process.
Begin Your Park City & Deer Valley Real Estate Research Here
The bottom line is that the Park City & Deer Valley real estate market is a target rich environment for people looking to invest in the Park City lifestyle. The lifestyle and family-fun dividends you’ll receive every day just might be more fun than looking at your retirement account statements…
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Promontory Emerging From Bankruptcy?
February 24th, 2009 Categories: Golf, Just Outside of Town, Real Estate
Good News: Park City Development Back On Track
This is an update to our previous post about Promontory’s Private golf community in Park City, Utah.
PROMONTORY COMMUNITY BACK ON TRACK: Promontory and Lienholders Reach Agreement for Reorganization
PARK CITY, UTAH, Feb. 24, 2009 - On February 9, 2009, the Promontory operating entities, Promontory’s secured lenders and the Promontory Unsecured Creditors Committee (comprised of Promontory Members and Owners and other unsecured creditors) reached agreement on a joint plan of reorganization for Promontory. This plan sets the stage for the resolution of the involuntary Chapter 11 bankruptcy proceedings brought against Promontory by a group of its second lien lenders last March.
Credit Suisse To Form New Promontory Entity
The plan provides for the first lien lender group headed by Credit Suisse to form a new entity that will take ownership of Promontory’s operating companies, subject to Credit Suisse’s arrangement of exit financing. This plan, if approved by the Bankruptcy Court, could allow Promontory to emerge from bankruptcy as soon as the end of March, 2009.
Promontory Plan Includes Funding To Continue Development of Amenities
The proposed plan of reorganization protects the interests of Promontory’s residents, owners and Club Members.
It also provides funding to continue development and amenity construction, thereby maintaining Promontory’s original vision as a four-season, multi-generational luxury community. Promontory Club’s membership agreements, and Promontory’s obligations under lot purchase agreements and related development agreements, will be assumed by the new owners.
Promontory Will Retain Key Employees?
Further, most key operational employees will be retained as Promontory continues its high standard of member services while restoring its development and sales operations. Finally, the plan establishes a reserve for payment of unsecured creditor claims.
Promontory Debt Decreased
According to Rich Sonntag, Promontory’s Managing Director, the reorganization will leave Promontory with decreased debt levels, thereby improving its financial position during the current market downturn, while preparing the development for profitability and market leadership when the greater real estate market recovers.
Sonntag commented, “I’m very pleased with the agreed reorganization plan. Promontory will be emerging from bankruptcy committed to its core vision and under a financial plan that protects its owners and members and positions us to continue amenity development and recapture market share.”
Promontory will be the first luxury planned community to emerge from bankruptcy out of a number of projects that were forced into Chapter 11 as a result of the market downturn in 2007-08. According to Sonntag, “Promontory can now showcase its completed amenities and fully developed lots at a time when other projects are either hamstrung by financial challenges or merely at the beginning stages of their development.”
Promontory Golf Course
Promontory’s new Jack Nicklaus Signature Golf Course was recently named #3 of the best new private courses in the country for 2008 by Golf Digest magazine.
Promontory Bankruptcy Website
Court documents containing details of the Promontory reorganization plan are posted on the Promontory Unsecured Creditor’s Committee website: www.promontorycommittee.com.
About Promontory
Promontory is a 7,200 acre, 10-square-mile recreational second home and private mountain community in the heart of the Utah Rocky Mountains just outside of Park City, Utah. Promontory’s unique mountain ranch setting offers diverse year-round recreational amenities and activities for the multi-generational family.
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2008 Park City Real Estate Sales Stats
January 27th, 2009 Categories: Real Estate, Statistics & Trends
We are all happy to see 2008 in the rear view mirror.
Park City Real Estate Sales: The Truth About 2008…
The stats are now compiled, so let’s look back at 2008 Park City real estate sales.
(Data courtesy of the Park City Board of Realtors)
Park City Home Sales
In 2008, 496 homes sold in the greater Park City, Utah area. This represents a 41.4% decline in the number of homes sold compared to 2007. Total home sales volume was down 47.8%. The average sales price was $974,953, an 11.3% decrease from the previous year.
Park City Condo Sales
In 2008, 483 condos sold, a 38.5% decrease from 2007. Total condo sales volume was down 42.4%, but the average sales price declined only 6.3% across all MLS areas.
Park City Land Sales
In 2008, 209 lots sold, down from 551 lots in 2007. Total sales volume of vacant land in 2008 was $113,309,829 a 67% decrease from 2007.
Park City Sales Stats
Here’s the bottom line… The real estate market in the Park City & Deer Valley area is not dead.
True, the global economic conditions have been felt in Park City, but overall the Park City market is still showing strength compared to most of the rest of the country.
Total sales volume was just over $1 billion in 2008. This was the 5th best year in the history of Park City real estate (only 2004-2007 were better).
Want to Track Park City Real Estate by Neighborhood?
Click Here for Park City Sales Stats By MLS Area
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Park City & Deer Valley Real Estate: The “Halo Effect” of Branded Hotels
December 24th, 2008 Categories: Deer Valley®, Hotels & Lodging, Park City, The Canyons®
It’s no secret–the economy is on everybody’s mind these days…
How Will The Economy Impact Real Estate in Park City & Deer Valley, Utah?
We sat down and had lunch with some of the brightest minds in resort real estate last week.
Guests at the event included Harry Frampton (Founder of East West Partners and Chairman of the Urban Land Institute) and Jim Flaum, the Managing Broker for Slifer, Smith and Frampton Vail Associates Real Estate.
These guys have been selling ski-in/ski-out real estate for decades, and they traveled to Park City to generously share some of their experiences in challenging economic times with a handful of local brokers who had been invited to the think-tank themed luncheon.
Good News For Park City & Deer Valley Real Estate
Global hotel brands St. Regis, Montage, and Waldorf=Astoria all have ultra-luxury hotels under construction in the Park City/Deer Valley area.
The Halo Effect: ”Branded” Hotels Will Redefine Deer Valley Real Estate
According to Frampton, Deer Valley will see a “Halo Effect” the day the St. Regis Resort & Residences, Deer Crest opens its doors in 2009.
“We saw it happen with the Ritz Carlton in Bachelor Gulch. As soon as the hotel opened, we saw a totally different type of visitor to the valley.” The type of visitor who only stays at branded 5 star resorts…
Will History Repeat Itself in Deer Valley, Utah?
So what was the impact on the local real estate market in Vail when the Ritz Carlton opened? “Average prices increased from $200-400 per square foot at neighboring properties in town,” according to Frampton.
Expert Says Global Hotel Brands Will Elevate Park City, Utah as a Travel Destination
There’s tremendous power and leverage behind the global brands. According to Jim Miller, General Manager of Dakota Mountain Lodge, “branded hotels will help elevate the Park City area as a destination.”
Consider the new Waldorf=Astoria Dakota Mountain Lodge, for instance. Hilton is the parent company of Waldorf=Astoria Collection. Dakota Mountain Lodge is the only true ski-in/ski-out property in Hilton’s stable.
Park City Hotel Reservations Turbocharged?
Hilton books over 1 million room nights per day using a robust online reservation system for their 3,300 properties. This doesn’t even include the additional rooms reserved on online travel sites like Hotwire, Expedia, and Travelocity.
Furthermore, they have more than 200 global salespeople whose sole job is to promote and book group and conference reservations at Hilton hotels around the world. This could be a key ingredient in creating business during the non-skiing months.
The ability to tap into sister brands is critical. Think of the 20 Million Hilton Honors customers, not to mention their cooperative marketing agreements with airlines, credit card companies, etc…
St. Regis & Montage Also Have Marketing Machines
Do you think this might have an impact on real estate in Park City or Deer Valley?
Related Articles:
Park City and Deer Valley’s Best Cash Flow Condos are…
The Best Cash-Flow Condos in Deer Valley (Part II)
Deer Valley Is Not the Only Smart Money Bet in Town (Part III)
St. Regis Resort and Residences, Deer Crest
Dakota Mountain Lodge and Waldorf=Astoria Announcement
Deer Valley Montage Hotel
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Park City Child Care | Deer Valley Babysitters
December 21st, 2008 Categories: Deer Valley®, Local Services, Park City
Coming to Park City or Deer Valley, Utah This Winter?
If you need some help with your kids while you’re in Park City & Deer Valley skiing, we are enthusiastic supporters of Park City Sitters.
Park City & Deer Valley Babysitters Are Still Available for Presidents Week
Park City Sitters still has a few highly capable sitters who aren’t booked for every night of theFebruary busy holiday period…yet!
Park City Sitters: Deer Valley & Park City’s Premier Child Care Service
As they have learned during their 5 years of serving the Park City & Deer Valley families, last minute reservations are challenging during the holiday week.
The longer you wait, the less availability they will have…
You can reserve your Park City or Deer Valley Babysitter by calling Park City Sitters’ reservation line at 435-640-7193 or you can make reservations online using their quick and easy online reservation form:
Online Park City Child Care Reservations
By the way…
Park City Sitters is the preferred provider of child care services for Stein Eriksen Lodge, Utah’s only true Mobile 5 Star Rated Hotel.
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