Bulk sale at Cassidy Ridge one of the largest transactions in recent history
By Collin McRann
The sale of 18 units of the property, which is located on San Joaquin Road, closed on Wednesday for roughly $16 million. A Texas-based company, Gulfstream Management Partners, bought the units from a Texas-based bank.
The property has been in rough financial waters since it was completed in 2011. Its developer, Behringer Harvard, could not sell the property for more than it had spent to build it. As a result Behringer decided to give up the deed for the property to the bank as an alternative to foreclosure.
About a year ago, the bank decided it would do a bulk sale of the unsold luxury units (18 out of 20) and started looking for buyers. Gulfstream showed interest, and ended up paying cash for the units. Gulfstream is now embarking on a new effort to sell and rent the property’s units. In addition to the 20 main luxury units there are parking spaces, storage spaces and three deed-restricted units at Cassidy Ridge.
“This is certainly one of the biggest transactions to occur in years,” said Pat Pelisson of Telluride Properties, who is the listing agent for Cassidy Ridge. “We’re re-launching the property, marketing it and putting a lot of money into it. We anticipate adding a lot of amenities, namely a fitness center and some common hot tubs and a fire pit for everybody to use. This is a very nice property with some of the best views and ski access in the region.”
Cassidy Ridge is located on a hillside near the Sundance ski run. The complex includes two, three and four-bedroom units that offer views of the San Juans, the Sneffels Range and the distant La Sals.
“As part of our improvements, we are increasing the ski access,” Pelisson said. Right now, residents walk down the heated driveway, across the road and ski down a groomed run. But, the parcel includes a perpetual easement to allow for direct access to the Sundance ski trail.
The units are expected to sell at around $780 a square foot. Two of the units were sold before the bulk sale, and one of the owners is expected to move in during the next 60 days.
The interior finish is modern with sleek lines and dark wood floors and the kitchens have stainless steel appliances with soapstone counter tops.
While Pelisson said second homeowners will likely be looking at Cassidy Ridge, they also expect interest from fulltime residents and renters.
“We think the secondary rental pool will be very strong,” Pelisson said. “We are in fact going to furnish a few units this winter and start renting them out.”
Gulfstream’s decision to pay cash for the property means there is no more debt. On Thursday the company threw an open house in a penthouse unit to show off the property. Company representatives say Gulfstream has experience with similar properties and has had success elsewhere.
“With a wide variety of high-quality investments available, it takes one with special qualities to attract our attention,” said Frank Howard, a founding member of Gulfstream who oversees all acquisitions and management, in a news release. “Cassidy Ridge offered excellent potential, amazing views, great fundamental values and superb quality. That’s why we are here. Our team has had extensive experience and great success with condominiums in North Carolina, Florida, Mexico, California and Texas and we expect another success story with Cassidy Ridge.”