3 Reasons Mountain Properties are Hot
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Now's a golden age for mountain properties: resorts, vacation home developments and more. Meriwether Cos partner Noah Hahn, whose firm has a $300M portfolio of such developments, tells us why.
1) The Markets Are Starved For Inventory
For a long stretch of time, there was no new construction because of the recession, resulting in inventory that still lags. In fact, he says, "in all of our markets, inventories are down dramatically—these markets are starved.” During the worst of the recession, Noah and his partners Gerry Engle, Graham Culp and Garret Simon—all vets of the resort and hotel industries—joined forces to ID a niche and start buying distressed hotels and resorts.
2) Demand Is Back
Demand for vacation homes in particular is being driven by end users (many of whom are enjoying the equities market boom) in traditional resort markets that are primarily drive-to markets, or those with excellent air access, Noah says. Pictured: The Shores at Breckenridge, a partially completed 11-acre vacation-oriented residential property that Boulder-based Meriweather and partner Pathfinder Partners of SoCal acquired last year. Its first phase is slated for completion this summer. The original developer, Mesa Development, built and sold the first 16 homes, but halted construction due to the economic downturn.
3) Expectations Are Higher
With low inventory and high demand, developers are filling the gap—but with higher-quality product, because that's what people want. “Buyers today expect a different level of quality and design from the product developed and built prior to the recession," Noah says. Buyers want great finishes and great floor plans set up for families and multi-generational users. Pictured: Chadwick Flats, a Meriwether condo development in Steamboat Springs.