CRESCENT H PROPOSAL TRACTS 10, 16 & 17
1185 C R E S C E NT H R OA D JACKS ON , W YO M I NG 8 3 001
Recent Crescent H Sales History Crescent H Ranch saw its peak in value in the early 2000’s then had some Parcels sell in the mid to late 2000’s at fairly significant discounts. Prices have not fully recovered in Crescent H and projects have surpassed Crescent H in terms of desirability and pricing (Tucker Ranch, Indian Springs, 3 Creek Ranch, Shooting Star). The reasons behind this change in buyer perception are somewhat unclear although one could point to: two high-end golf clubs coming onto the scene when previously there was only JHG&T and Teton Pines which did not compete, the larger homes in Crescent H now being 15 years old and are not current as the high-end product that is selling (also more contemporary and of the stone/reclaimed timber look) and smaller focus on fishing in lieu of winter recreation (JHMR).
New Construction Countering these factors, Crescent H has only improved since then with the removal of the commercial entitlements of the former guest ranch. In addition, 3 significant homes have been built on Tracts and 3 Tracts sell in the high-$4M’s to $5M, one First Filing lot sold and one under contract.
T he O PP O RT U N ITY Currently, Crescent H offers their homeowners wonderful amenities - unparalleled fishing, access to the Snake River, and a trail system with direct access to the national forest. Creating a ranch amenity could have the effect of enhancing the project and increasing property values across the board. There are a couple of examples of this in the Valley currently, the two best being Lake Creek Ranch and Indian Springs.
LAKE CREEK RANCH Owns horses for member’s riding, boards owners’ horses and has a maintained trail network both summer & winter. The employ a ranch manager full time who lives in a home on the ranch and a summer wrangler, who also resides on the ranch. The ranch manager either maintains the roads or manages the contractors who do and serves as a bit of de facto security as he is always around. HOA dues are $17,000 and there are 19 lots (rough annual budget of $380k).
INDIAN SPRINGS Has maintained trail network, swimming pool, lodge, tennis courts and an indoor horse boarding facility. They employ a ranch manager who lives on site as well. HOA dues are approximately $5,000 annually and there are about 50 lots (rough annual budget of $250k).
Crescent H Ranch TRAC TS 1 0, 1 6 & 1 7
Crescent H Could create a superior amenity to both of the above projects with the fishing, a better trail network, access the National Forest, riding arena, community lodge and guest housing (Liar’s den and cabins). All of the facilities are already in place – maintenance, housing, lodge, cabins and additional housing present if there is additional summer help needed. With approximately 80 properties between the combined HOAs, a $400k budget (higher than both of the above examples) would only cost $5,000/yr which is not a significant increase over the existing budget.
The SUMMARY Of f e r i n g List Pr i c e Per Lo t Assess m e n t Financ e Op t i o n s
Tracts 10, 16 & 17 $17,400,000 Apx. $200,000 1. HOA finances through a local bank 2. A group of Crescent H homeowners purchase & finance to HOA 3. The Knobloch Family Foundation (Downington 242 GP LLC) finances
From an economics standpoint, a purchase of Tracts 10, 16 & 17 (listed at $17.4M) would result in a per lot assessment of $217k. This purchase could be financed by a local bank or by a group of CH homeowners and assessed over time. The question will undoubtedly be raises as to whether all owners are assessed equally as there is a significant difference in property values between the 1st Filing owners and the Tracts and Parcels. On the one hand, because the added amenities are shared by all equally, the acquisition should be shared equally. On the other hand, if the assumption was made that all properties increased in value the same %, then the Tracts and Parcels should shoulder a larger burden than the 1st Filing lots. Regarding HOA dues, it seems that all are paying the same currently so there is not an issue.
It is ou r op in i on th a t t h e i n c r e as e i n va l ue p r o vi d e d to ea ch ow n er sig n i f i c a nt l y o ut w eig h s t he ca p i ta l c o st a n d th e a n n u a l c o s t s a r e m i n i ma l . Fu r t he r, i n sp ea k in g w ith t h e f a m i l y, th e y w o ul d t h i nk favo r a b l y a b ou t h a v i ng t he HOA p u rc has e t h e r a nc h so th e econ om ics s ho ul d b e m o r e f a vo r a b l e .
1185 CRE S CE N T H R OA D WIL S ON , W YO M I NG 8 3 0 1 4
P RO P OSAL TR ACT 1 0, 1 6 & 17
T RAC T 1 6 | 5 3 -ACRES | 40,0 0 0 SQF T TOTA L B UI L D I NG SPACE
TRACT 10 - 35 ACRE S | 2 0,000 S Q F T TOTA L BUI LDI NG S PACE
LODGE: 3,320 SQFT AMENITIES: POND, COVERED PORCHES, 2-WOOD BURNING FIREPLACES
VACANT LAND
TOTAL BATHS: 2
TRACT 17 - 3 5 -ACRE S | 2 0,000 S Q F T TOTA L BUI LDI NG S PACE
COMMERCIAL KITCHEN: DRY STORAGE, WALK-IN REFRIGERATOR, BUTCHER BLOCK COUNTER TOPS
PROTECTED VIEWS; PROXIMITY TO LODGE
EQUESTRIAN CENTER/RANCH LIAR’S DEN: 2,158 SQFT BEDS: 3
WORKSHOP/BARN: APX. 2,500 SQFT (INCLUDES 4 LARGE BAYS, LOFT, STORAGE AND HAY SHED)
BATHS: 3
EMPLOYEE HOUSING: 3 CABINS APX. 1,000 SQFT EA.
WOOD FLOORS, COVERED PORCHES, VIEWS OF THE POND
RESIDENTIAL STUDIO & LAUNDRY: APX. 1,277 SQFT
CABIN 1: 750 SQFT BEDS: 1 BATHS: 1 FIREPLACE , FURNISHED, PRIVATE BATH CABIN 2 - 800 SQFT
P RO P E RTY DE S CRI P TI O N Historic Lodge, Liar’s Den, 2 Guest Cabins, Equestrian Center, Barn/Workshop V I E WS Grand Teton View, Mountain View, Sleeping Indian View CRE S CE NT H A ME NI TI E S
BEDS: 1 BATH: 1 FULL KITCHEN, FIREPLACE, FURNISHED, FULL BATH GRA H AM-FAU PE L - M E N D E N H A LL & A S S O CI AT E S
888.301.240 2 g fm @jhrea .com
GRAHAM-FAUPEL-MENDENHALL & ASSOCIATES Jackson Hole Real Estate Associates Christie’s International Real Estate 307 690 0204 888 301 2402 gfm@jhrea.com grahamfaupelmendenhall.com 80 W. BROADWAY JACKSON, WY 83001