The Telluride Report | Volume IV 2015

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THE TELLURIDE REPORT Volume IV 2015 CHRISTIE’S CONTINUES TO SET WORLD ART AUCTION RECORDS Five world auction records for an artist set at Christie’s in The Artist’s Muse sale, as modernist masterpiece sells for second highest price ever paid at auction. Amedeo Modigliani’s Nu couché (Reclining Nude), painted in 1917-1918, led the way on a night of records at Christie’s New York, realising $170,405,000 (with buyer’s premium) in The Artist’s Muse, a curated Evening Sale. In doing so, the modernist masterpiece eclipsed the previous auction record for the artist by almost $100 million and became the second highest price ever paid at auction for a work of art.

REAL ESTATE MARKET

With the increase in commercial leasehold

UPDATE

redevelopment opportunities of commercial

Market is Holding Firm Through First Three Quarters of 2015

rates within the Historic Town of Telluride and structures, the commercial segment of the market has rebounded dramatically since the beginning of 2014 (sales up 100%). Values of

Following a strong 2014, both in gross dollar

this property type have increased nearly 50%

volume and incidents of sales, the first three

since the end of 2014.

quarters of 2015 indicate that the market is holding firm. Although the statistics indicate a

Additional artist world auction records were set with Roy Lichtenstein’s Nurse, an iconic Pop Art heroine painted in 1964, which sold for $95,365,000; Femme nue couchée, executed in 1862 by Gustave Courbet (1819-1877), realised $15,285,000, almost $12 million more than the previous record; Lady Abdy by Baltus, painted in 1935, sold for $9,909,000, more than three times the previous record for the artist; and The Little Star Dweller (2006) by Yoshitomo Nara, which realised $3,413,000 (all prices including buyer’s premium).

slight downturn from the previous year of 7.5%

Further records for an artist were set by Paul Gauguin’s Thérèse, 1902-03, which sold for $30,965,000, and Ernst Ludwig Kirchner’s Tänzerin mit gehobenem Bein, 1913, which realised $8,005,000, both world auction records for a sculpture by the artists.

According to the MLS, approximately $125.2M

($355M vs. $383.9M), sales data during 2014 included an extraordinary sale of the Madeline Hotel at $39.8M. Excluding this transaction, the market in 2015 is on par with the prior year.

of sales are currently under contract, which

For value-driven investors, Telluride Mountain

would seem to indicate that year-end totals will

Village homes and condominiums continue

approach the volume achieved in 2014.

to be quite attractive, together with regional homes. For those interested in a design / build

With premiums, the Artist’s Muse sale, which offered 34 masterpieces, realised $491,252,000 / £325,830,239 (87 per cent sold by value). On the night, 12 works sold for hammer prices of more than $10 million, including Homme à l’épée by Pablo Picasso ($20,885,000), L’homme à la pipe by Paul Cézanne ($20,885,000) and James Lord by Alberto Giacometti ($20,885,000). Excerpt from Christie’s

Given falling energy prices in key Telluride

process, excellent vacant ground opportunities

buyer market segments, volatility in the stock

exist in nearly all market segments. With the

and financial markets and the approach of

lack of standing inventory in the Town of

election year uncertainties, the Telluride real

Telluride, we believe that vacant lots will be a

estate marketplace appears to have maintained

focal point for investors and developers in the

stability.

upcoming year.


above average moisture, cooler temps and a

(2) ”Closing Disclosure” Form - integrates and

winter storm pattern that tracks through the

replaces the existing RESPA HUD-1 and the final

Four Corners region and Telluride should see

Truth-in-Lending forms.

Contributed By Company Meteorologist, Broker Associate Scott Kelley

a banner snowfall season. It is predicted that Telluride will get up to 120 percent of its normal

Regardless whether a real estate broker

With a “Godzilla” El Nino forecasted for this

snowfall this winter.

personally prepares the closing documents

winter, locals and visitors alike are excited about

and conducts the closing in-house or a broker

the potential for record-breaking snowfall. We

Additionally, our San Juan Mountains have a

engages the services of a title entity, which

have to admit, we’re hoping we don’t have to

reputation for slowing down storm systems.

is most common in our market, the licensee

burn any skis to please Ullr this season.

So, when a snow storm gets hung up in the

is responsible for ensuring the Commission-

mountains, we get dumped on with fluffy, fresh

approved form is used and properly executed

powder - another bonus! Think snow.

for each transaction.

NEW REGULATIONS IN PLACE WHEN USING A LENDER Changes to Make For Easier Transactions In October 2015, the Consumer Financial Protection Bureau issued changes to its TILA-

If the title entity preparing the closing documents on behalf of the broker is using a closing statement other than the Commissionapproved closing form, the broker is responsible for completing the Commission-approved form in accordance with Commission Rule E-5 and retaining the form for a period of four years.

RESPA Integrated Disclosure. The goals of El Nino is terminology used to define higher than normal Pacific Ocean temperatures over the equator region and the associated weather patterns that occur. This year’s El Nino may be

the changes are to make an easier-to-use mortgage disclosure form, improve consumer understanding, aid in comparison shopping and prevent surprises at and just prior to a closing.

one of the strongest on record and is expected to influence weather patterns and the track of storms due to the position of the Pacific jet stream.

The four existing disclosures required under Truth-in-Lending (TILA) and the Real Estate Settlement Procedures Act (RESPA) for transactions secured by real estate have been

In an El Nino pattern, storm tracks split

consolidated into two new forms:

when approaching the west coast, sending drier, mild weather to the north and above

(1) “Loan Estimate” Form - integrates and

average precipitation to parts of California, the

replaces the existing RESPA Good Faith Estimate

Southwest and the Gulf Coast. Combine the

and the initial Truth-in-Lending forms and

If you have any questions or you’ like to receive more information on this topic, please contact your TREC broker.

TELLURIDE FALL VIDEO

BY BROKER ASSOCIATE FRANK STRACHAN

NOVEMBER

CALENDAR OF EVENTS

EL NINO IN THE SAN JUAN MOUNTAINS

20 25 26

Gondola Opens Donation Day Telluride Ski Resort Opening Day Thanksgiving Day

DECEMBER DECEM 2 2-13 13 2-18 18 4-6 4-6

Noel Night Holiday Prelude Cup and Bowl Show Telluride Arts Bazaar Young People’s Theater Presents Shrek, The Musical! 5 Ski Tree Lighting & Ullr’s Ceremonial Ski Burn Old Fashioned Christmas 5 Ski Patrol Begins First Year as Union Celebration at Schmid Ranch 8 Presents “Racing Extinction” Heading intoMountainfi its first fulllmwinter season The North Pole On Ice 11-12 represented by a union, the Telluride Ski Patrol Teton Gravity Research: “Paradise Awaits” 11 ratified their first union contract Monday night 12 Rock And Roll Academy Winter Concert by a13 50-1 vote. The three-year deal addressed Palm Arts Dance Presents “Snowed In” several concerns 19 of the Rail Jam that led to the formation Pop-Up 20-21 of the union,Holiday including wageMarket security and Hamlet on the Big Screen 20 increases, benefit improvements, a grievance 23 Warren Miller’s “Chasing Shadows” policy and improvements in job security. Christmas Eve Torchlight Parade 24 “The25 approved contract is a win for patrol, a Christmas Day 5 win 27 for management a win for the Telluride Amy Helmand & The Handsome Strangers Tanya LivebeAtassured Club Red 27 community, whichTucker can now that Jewel Live In Concert 28 the ski mountain will continue to operate with 29 Smokey Robinson Live In Concert 9 a professional ski patrol unit that is focused Keller Wiliams & More Than A Little 31 on safety in some of the mostHall challenging 31 The Preservation Jazz Band mountain terrain in theEve country, ” TonyParade Daranyi, New Year’s Torchlight and 31 a 16-year skiFireworks patroller and member of the

TELSKI TAKES NEXT STEPS WITH PATROLLERS TO ASSURE MOUNTAIN SAFETY

bargaining committee, said in a statement.

JANUARY JANU

1 New Year’s Day Particulars ofBaker’s the contact not been Group 6 Dozen,have Yale’s A Capella released butTelluride the agreement Art Walkincludes secured 7 Telluride 14-17 wage increases acrossFire theFestival board and for new


Signature Program Properties 1 4 0 H I G H C O U N TR Y R OA D

TREC PARTNERS WITH TELLURIDE ARTS DISTRICT TREC and Telluride Arts District Begin Partnership to Display Art in Real Estate Offices TREC’s offices on Main Street and the Mountain Village Core are now proudly displaying artwork by artists affiliated with the Telluride Arts District. Cloud Series II by Corine Scheman

Christie’s International Real Estate, a wholly

High Country Chateau captures the essence of the rugged American West combined with Colorado mountain luxury. Floor-to-ceiling windows frame the extraordinary mountain views and infuse the interior with warmth and light. The great room features a massive stone fireplace and 25 foot vaulted ceilings with handcrafted, Douglas Fir beams and trusses. | Offered at $8,900,000

S E E F O RE V E R V I L L A GE P E N TH OU SE 120

owned subsidiary of Christie’s, is the world’s

Telluride Arts District is a non-profit

oldest fine art auction house. As TREC is an

organization that was established on

Exclusive Affiliate of Christie’s International Real

November 17, 1971 as the Telluride Council

Estate, a partnership between our company

of the Arts and Humanities, known as TCAH.

and Telluride Arts District only seemed natural.

The organization was the first non-profit in the

TREC is excited to tap into its art connection

region, and served to incubate a culture of the

stemming from Christie’s and partner with

arts that has come to define Telluride.

Telluride’s local thriving art organization, Telluride Arts District.

Over the years its mission has remained virtually unchanged. Its unique concern is to elevate and promote a culture of the arts in the Telluride Arts District, comprised by numerous institutions, artists, and events, which engage artists from around the region and across the globe.

Current pieces include a wood and light sculpture from Katy Parnello’s Electroliers series The finest Penthouse in Mountain Village is available for sale. With wide views to the Wilsons and the ski area, this See Forever condo has it all with the finest of finishes, appliances and furniture. Three bedrooms on the main level and and additional bedroom on the upper level are complete with antique chestnut flooring and vaulted ceilings. | Offered at $6,499,000

in the Main Street office and Cloud Series II by Corine Scheman in the Mountain Village Core From the Electroliers series by Katy Parnello

office. Stop by our lobbies and take a look!


RECENT SALES

QUENTIN TARANTINO’S HATEFUL EIGHT GETS RELEASE DATE Film To Premiere On December 25th in 70mm Format; In Theaters Nationwide On January 8th

LOT 161C-R, LOTS 3 & 11 THE RIDGE $8,100,000 Sold by TREC

On Christmas Day, The

RECENT ACCOL ADES Forbes | Top 10 Ski Resort in North America SKI Magazine | 4th Overall Ski Resort in the West Conde Nast | Best Small Cities in the US

NEW LISTINGS

Hateful Eight, filmed in 104 SNOWDRIFT $2,300,000

DIAMOND RANCH 2 $2,080,000

Listed by TREC

Listed by TREC

Telluride last winter, will premiere in 70mm format. The digital version will follow suit on January 8th, when it hits theaters nationwide. 66 CANYON DRIVE Tarantino wrote and directed The Hateful

TRAILS EDGE UNIT 2 MAIN ST. PENTHOUSE $3,450,000 $1,348,430 Sold by TREC

Listed by TREC

Eight, a post-Civil War era western, which

One of the best settings in Ski Ranches is enjoyed in this 5-bedroom, 4300-sq-ft home with all-day sun. OFFERED AT $1,850,000

409 WEST DEPOT AVENUE This high-end custom luxury home is located steps from the Gondola, Lift 8 and Main Street. OFFERED AT $6,995,000

includes Samuel L. Jackson, Kurt Russell, Bruce Dern, and Jennifer Jason Leigh among its cast. The movie was filmed over the course of

CASSIDY RIDGE C401 125 N. FIR STREET B $1,450,000 $2,500,000 Listed by TREC

Sold by TREC

DOWNTOWN TELLURIDE 232 West Colorado Ave. 970.728.3111

several months in early 2015, at the historic Schmid Ranch, on one of Telluride’s mesas. A statement from Weinstein Company exec

60 SUNRISE CIRCLE Situated on a private one-acre lot in the Ski Ranches, this residence is a perfect “cabin in the woods.” OFFERED AT $1,195,000

109 EAGLE DRIVE Situated on a sunny knoll top with views of the ranges, golf course and western sunsets. OFFERED AT $1,695,000

Erik Lomis reads, “Our long relationship with Quentin Tarantino is one of the cornerstones

MOUNTAIN VILLAGE 567 Mountain Village Blvd. 970.728.6655 MOUNTAIN LODGE 457 Mountain Village Blvd. 970.369.6003 www.telluriderealestatecorp.com

of this company, so it’s incredibly special to us to be releasing his latest film in such a spectacular way on 70mm — we can’t think of a finer Christmas gift to be giving movie lovers and Tarantino fans this year.”

LOT 138 MOUNTAIN VILLAGE Excellent building lot with 180-degree views of the Wilson, San Sophia, and Palmyra Ranges. OFFERED AT $1,850,000

94 PALMYRA DRIVE Large ski access home with privacy, oversized garage, covered patios and outdoor hot tub. OFFERED AT $1,925,000


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