Real Estate In the News — November, 2022

Real Estate in the News

“I am grateful for what I am and have. My thanksgiving is perpetual.” — Henry David Thoreau

A Huge Thank You ...

The reports below include October and they sure tell the story of how quickly our real estate appreciated and how numbers of sales have dropped. The decrease in sales, is partially due to lack of good inventory and partially because of the increase of appreciation, limiting the number of Buyers that can enter the market in the Roaring Fork Valley. The economy may further limit sales, however we are seeing decreasing sales more across the nation than we are at home!

May you all have a wonderful Thanksgiving Holiday of good friends, family, great food, and some time off! Thank you again!

With great gratitude,

Tory@ToryThomas.net 415 East Hyman Avenue, Aspen CO 81611 c 970-948-1341 | t 970-925-6060 | f 970-920-9993

Aspen

Water, Electricity Bills to Rise

Aspen residents and businesses can expect their water and electric bills to climb slightly in 2023 as the city tries to keep up with rising costs of services and goods, the Aspen Daily News reported. The rate and fee increases, like most things these days, are tied to inflation and rising supply cost.

The rate and fee increases will depend on whether the customer is a residential or commercial unit, as well as its location. For example, downtown residences may see a 5.78% increase to their water rate, while residents in “pump zones” near Red Mountain or Buttermilk may see a nearly 7% increase. Similarly, the average Aspen electric bill is expected to increase by about 1.5% next year, while larger homes and businesses may be charged 3-4% more. There are also levels in the electric fund for affordable-housing neighborhoods, senior citizens and small commercial businesses, all of which can expect their electric bills to increase between 1-2%.

Occupancy Down in Aspen, Snowmass this Summer

Occupancy at commercial lodging properties in Aspen and Snowmass Village fell 12.8% in August, mirroring a trend experienced throughout the summer, the Aspen Daily News reported.

The latest occupancy report showed that Aspen and Snowmass Village were 60.9% full in August this year compared to 69.9% last August. The drop can be attributed to loosening Covid-19 restrictions that prompted people to go overseas. In addition, the number of available rooms has increased, which affects the occupancy percentage.

Actual occupancies for the entire summer, May through October, show that occupancy is down 12.8% for Aspen and Snowmass Village combined. Despite the drop in occupancy over the summer, properties in Aspen experienced a surge in the average daily rate compared to last year, while Snowmass Village is flat. Aspen’s average daily rate currently stands at $628 for the summer — compared to $540 last year. Snowmass Village has an average daily rate of $281 compared to $280 last year.

Construction on the White Elephant Underway

Site work for three unbuilt residential chalets being advertised for $25 million each has

started in the West End neighborhood as part of a Boston company’s project that also calls for the redevelopment of the Hotel Aspen into a luxury boutique lodge, the Aspen Times reported. The residential development known as the White Elephant Aspen Townhomes is slated for East Bleeker Street and is located across from the Yellow Brick Schoolhouse and around the corner of a White Elephant Hotel planned for Main Street. Construction on the new hotel is scheduled to begin later this fall and last 24 months. The hotel has a scheduled opening of late 2024.

A limited liability controlled by New England Development LLC, a privately held Boston-based firm, bought the Hotel Aspen property on 110 E. Main St. and development entitlements for $37.5 million in October 2021. With the acquisition came approvals to build a 54-bedroom hotel and build three 5,000-square-foot homes.

New Listings 12 7 - 41.7% 162 139 - 14.2% Sold Listings 17 9 - 47.1% 120 68 - 43.3%

Median Sales Price*

$9,050,000 $13,000,000 + 43.6%$9,537,500 $12,975,000 + 36.0% Average Sales Price* $8,960,292 $17,563,889 + 96.0%$11,530,741 $16,805,587 + 45.7%

Percent of List Price Received* 93.9% 92.7% - 1.3% 95.0% 95.7% + 0.7% Days on Market Until Sale 113 41 - 63.7% 147 104 - 29.3%

Inventory of Homes for Sale 81 70 - 13.6% -Months Supply of Inventory 6.1 8.2 + 34.4% -* Does not account for seller concessions and/or down payment assistance. | Activity for one month can sometimes look extreme due to small sample size.

New Listings 11 7 - 36.4% 202 153 - 24.3% Sold Listings 29 10 - 65.5% 208 110 - 47.1%

Median Sales Price* $2,100,000 $2,525,000 + 20.2%$1,972,500 $3,025,000 + 53.4% Average Sales Price* $2,662,241 $3,176,000 + 19.3%$2,796,685 $4,370,864 + 56.3%

Percent of List Price Received* 98.4% 96.3% - 2.1% 97.1% 97.8% + 0.7% Days on Market Until Sale 122 23 - 81.1% 95 43 - 54.7% Inventory of Homes for Sale 39 48 + 23.1%

Key Metrics

Woody Creek

Woody Creek

Single Family

New Listings 1 0 - 100.0% 11 9 - 18.2% Sold Listings 2 0 - 100.0% 9 0 - 100.0%

Median Sales Price* $21,012,500 $0 - 100.0%$12,650,000 $0 - 100.0% Average Sales Price* $21,012,500 $0 - 100.0%$13,216,111 $0 - 100.0%

Percent of List Price Received* 96.5% 0.0% - 100.0%95.5% 0.0% - 100.0% Days on Market Until Sale 182 0 - 100.0% 197 0 - 100.0% Inventory of Homes for Sale 5 8 + 60.0% Months Supply of Inventory 3.5 8.0 + 128.6% * Does not account for seller concessions and/or down payment assistance. | Activity for one month

to

Median Sales Price* $0 $0 $0 $0 Average Sales Price* $0 $0 $0 $0

on

Median Sales Price –Townhouse-Condo Rolling 12-Month Calculation

$600,000

$400,000

Median Sales Price –Single Family Rolling 12-Month Calculation $0

$800,000 1-20171-20181-20191-20201-20211-2022

$200,000

Snowmass Village

Town Says Krabloonik Must Leave

Having been found out of compliance with its lease and failure to provide proof of how the errors will be rectified, Krabloonik was issued a final notice of default by the Town of Snowmass Village on Oct. 6 and vacated Nov. 1, the Aspen Daily News reported. Krabloonik is a dog-sledding operation, and

the owners must rehome the 156 dogs that currently live there. The dogs’ futures are up to the owner to figure out, and the town will not play a role in rehoming them. The Aspen Animal Shelter and Colorado Animal Rescue work with Krabloonik to adopt out retired dogs, but the shelters don’t have room for all 156.

New Listings 5 3 - 40.0% 59 48 - 18.6% Sold Listings 4 3 - 25.0% 60 32 - 46.7%

Median Sales Price*

$4,807,000 $6,015,000 + 25.1%$4,837,500 $6,143,750 + 27.0% Average Sales Price* $5,705,250 $6,205,000 + 8.8%$5,356,875 $7,286,316 + 36.0%

Percent of List Price Received* 95.2% 91.8% - 3.6% 96.5% 95.6% - 0.9% Days on Market Until Sale 223 131 - 41.3% 151 110 - 27.2% Inventory of Homes for Sale 14 18 + 28.6% Months Supply of Inventory 2.2 4.4 + 100.0%

* Does not account for seller concessions and/or down payment assistance. | Activity for one month can sometimes look extreme due to small sample size.

New Listings 9 3 - 66.7% 248 153 - 38.3% Sold Listings 20 9 - 55.0% 207 102 - 50.7%

Median Sales Price* $1,425,000 $1,990,000 + 39.6%$915,000 $1,437,500 + 57.1% Average Sales Price* $1,707,377 $2,460,222 + 44.1%$1,339,509 $1,962,732 + 46.5%

Percent of List Price Received* 99.2% 97.2% - 2.0% 97.9% 97.8% - 0.1% Days on Market Until Sale 65 65 0.0% 98 37 - 62.2% Inventory of Homes for Sale 18 40 + 122.2%

Old Snowmass

New Listings 1 2 + 100.0% 25 22 - 12.0%

Sold Listings 2 3 + 50.0% 18 18 0.0%

Median Sales Price*

$2,259,375 $3,195,000 + 41.4%$1,750,000 $2,625,000 + 50.0% Average Sales Price* $2,259,375 $7,622,383 + 237.4%$2,681,236 $6,148,119 + 129.3%

Percent of List Price Received* 87.8% 97.4% + 10.9%96.5% 95.5% - 1.0% Days on Market Until Sale 94 48 - 48.9% 65 88 + 35.4% Inventory of Homes for Sale 14 9 - 35.7% -Months Supply of Inventory 7.0 4.0 - 42.9% --

* Does not account for seller concessions and/or down payment assistance. | Activity for one month can sometimes look extreme due to small sample size.

Key Metrics

20212022

New Listings 0 0 3 1 - 66.7% Sold Listings 0 0 3 2 - 33.3%

Median Sales Price* $0 $0 $445,000 $526,725 + 18.4% Average Sales Price* $0 $0 $1,008,333 $526,725 - 47.8%

Percent of List Price Received* 0.0% 0.0% 97.6% 99.7% + 2.2% Days on Market Until Sale 0 0 74 149 + 101.4% Inventory of Homes for Sale 1 0 - 100.0% Months Supply of Inventory 1.0 0.0 - 100.0% * Does not account for seller concessions and/or down payment assistance. | Activity for one month can sometimes look extreme due to small sample size.

Percent Change from Previous Year Thru 10-2021Thru 10-2022 Percent Change from Previous Year

Basalt

Eagle County Nears Deal with Farmer Regarding Land Use

Longtime farmer and agricultural leader Jerome Osentowski is closer to reaching a deal with Eagle County that will secure the future of his legacy business, the Central Rocky Mountain Permaculture Institute, on Basalt Mountain, the Aspen Daily News reported. The county originally denied his request for a special use permit on the demonstration farm citing health and safety

concerns.

The two parties reached a draft deal that will be potentially approved in late November that asks Osentowski to meet a number of requirements including upgraded access— the property is on a steep, rugged road— as well as temporary infrastructure, such as port-a-potties, to deal with sewage treatment. Dozens of people spoke in support of Osentowski and his organization.

New Listings 3 4 + 33.3% 65 63 - 3.1%

Sold Listings 8 5 - 37.5% 63 28 - 55.6%

Median Sales Price*

$1,882,500 $2,075,000 + 10.2%$1,450,000 $1,595,000 + 10.0% Average Sales Price* $2,183,344 $2,002,800 - 8.3%$1,915,642 $1,872,750 - 2.2%

Percent of List Price Received* 97.6% 96.0% - 1.6% 96.1% 96.7% + 0.6% Days on Market Until Sale 56 47 - 16.1% 110 59 - 46.4%

Inventory of Homes for Sale 21 27 + 28.6% -Months Supply of Inventory 3.3 7.9 + 139.4% -* Does not account for seller concessions and/or down payment assistance. | Activity for one month can sometimes look extreme due to small sample size.

Key Metrics

20212022

New Listings 2 3 + 50.0% 91 91 0.0% Sold Listings 6 6 0.0% 72 74 + 2.8%

Median Sales Price* $652,500 $1,212,500 + 85.8%$665,000 $955,000 + 43.6% Average Sales Price* $684,667 $1,132,500 + 65.4%$782,190 $1,167,601 + 49.3%

Percent of List Price Received* 98.7% 98.2% - 0.5% 99.6% 100.5% + 0.9% Days on Market Until Sale 19 47 + 147.4% 46 32 - 30.4%

Inventory of Homes for Sale 9 22 + 144.4% Months Supply of Inventory 1.3 3.0 + 130.8%

Median

Median

$900,000

$800,000

$700,000

$600,000

$500,000

$400,000

$300,000

$1,000,000 1-20171-20181-20191-20201-20211-2022

Percent Change from Previous Year Thru 10-2021Thru 10-2022 Percent Change from Previous Year

Carbondale

Town Adopts First AffordableHousing Program

The town of Carbondale is putting its firstever affordable housing plan into action, the Aspen Daily News reported. There are currently over 100 homes listed for sale in Carbondale, but only six units for sale are listed at under $1 million. Nearly 20 years ago, the town adopted an inclusionary housing ordinance that requires any development with over five units to be deed-restricted, and in 2016, the town also finalized the unified development code to mitigate the impacts of free-market residential development on the community and the land.

The new affordable housing plan outlines the town’s goal — to double the current number of 144 town-owned, deed-restricted, rental-capped units in town by 2032 — and a number of strategies to help the town get there. Some of those ideas include a buydown program, and a 6% short-term rental tax to help fund the program.

Batch Closes Its Doors

Aly Sanguily and Chase Engel, married owners and operators of Batch Provisions, closed their doors in early November, the Aspen Daily News reported. Batch moved in at 358 Main St., a building that’s over 110 years old, in 2017. Following the success of a Roaring Fork Beer Company tasting room near the production facility on Dolores Way, the downtown location became a First Friday staple and favorite year-round nook for locals and tourists alike.

The couple found out their lease would not be renewed because the entire building is for sale. They also cited the increasing cost of running a business and a loss of employees because of affordability as challenges to continuing to keep Batch open.

New Listings 11 11 0.0% 183 175 - 4.4%

Sold Listings 16 18 + 12.5% 149 104 - 30.2%

Median Sales Price* $1,075,000 $1,691,750 + 57.4%$1,450,000 $1,627,500 + 12.2% Average Sales Price* $1,492,547 $2,115,361 + 41.7%$1,546,578 $1,901,041 + 22.9%

Percent of List Price Received* 96.7% 94.5% - 2.3% 98.1% 97.7% - 0.4% Days on Market Until Sale 62 74 + 19.4% 57 72 + 26.3% Inventory of Homes for Sale 46 55 + 19.6% -Months Supply of Inventory 2.9 4.9 + 69.0% -* Does not account for seller concessions and/or down payment assistance. | Activity for one month can sometimes look extreme due to small sample size.

Key Metrics

20212022

New Listings 5 2 - 60.0% 81 68 - 16.0% Sold Listings 10 3 - 70.0% 92 55 - 40.2%

Median Sales Price* $622,500 $1,850,000 + 197.2%$635,000 $900,000 + 41.7% Average Sales Price* $717,600 $1,477,658 + 105.9%$713,068 $1,006,274 + 41.1%

Percent of List Price Received* 100.7% 98.7% - 2.0%100.0% 99.5% - 0.5% Days on Market Until Sale 15 107 + 613.3% 53 41 - 22.6%

Inventory of Homes for Sale 6 19 + 216.7% Months Supply of

Percent Change from Previous Year Thru 10-2021Thru 10-2022 Percent Change from Previous Year

Glenwood Springs

City Partners with Habitat for Humanity on Two Units

Habitat for Humanity is working with the city of Glenwood Springs to build two new housing developments, the Glenwood Springs Post Independent reported. Earlier this year, Glenwood Springs City Council agreed to partner with Habitat for Humanity

Roaring Fork Valley to build two affordable housing units on city-owned parcels of land. Now they are drafting a deed restriction agreement and memorandum of understanding. One unit is planned to go up at Eighth Street and Midland Avenue while the second is planned to go in by on Airport Road called the Iddings project.

Glenwood Springs

New Listings 14 24 + 71.4% 216 194 - 10.2% Sold Listings 22 12 - 45.5% 192 142 - 26.0%

Median Sales Price* $732,500 $783,238 + 6.9%$765,000 $850,338 + 11.2% Average Sales Price* $814,306 $1,015,206 + 24.7%$833,768 $963,501 + 15.6%

Percent of List Price Received* 99.4% 96.0% - 3.4% 99.4% 98.4% - 1.0% Days on Market Until Sale 16 63 + 293.8% 36 50 + 38.9%

Inventory of Homes for Sale 33 42 + 27.3% Months Supply of Inventory 1.7 2.9 + 70.6%

* Does not account for seller concessions and/or down payment assistance. | Activity for one month can sometimes look extreme due to small sample size.

New Listings 3 3 0.0% 86 76 - 11.6% Sold Listings 8 3 - 62.5% 76 84 + 10.5%

Median Sales Price* $357,500 $500,000 + 39.9%$395,000 $532,500 + 34.8% Average Sales Price* $400,856 $490,000 + 22.2%$396,363 $532,097 + 34.2%

Percent of List Price Received* 100.3% 97.7% - 2.6%100.2% 98.8% - 1.4% Days on Market Until Sale 44 39 - 11.4% 24 57 + 137.5% Inventory of Homes for Sale 13 8 - 38.5% -Months Supply of Inventory 1.8 0.9 - 50.0% -* Does not account for seller

Pitkin County

Pitkin County Landfill Diversion Works, Cities Need to Sign On

Pitkin County’s landfill in the hills above Aspen Village is in danger of reaching capacity in about eight years, and the recent implementation of a construction debris diversion program is helping to extend its life, the Aspen Daily News reported. About 18,610 tons of construction debris was hauled to the landfill between January and September this year, accounting for nearly 52% of the buried waste in the landfill.

The debris reduction program requires people undertaking a construction project

in unincorporated Pitkin County to pay a deposit of $1,000 per ton of estimated waste for a project. They then track the waste diversion and waste. Any project that separates all recoverable materials and diverts a minimum of 25% of the total project waste by weight gets a full refund. There were 34 projects that had to pay a deposit between January and the end of August 2022. Twenty-eight of them qualified for a full refund. Now officials are hoping that the city of Aspen and Town of Snowmass Village will sign on to the program, where much of the construction currently occurs.

Aspen/Snowmass Ears Third in Magazine Rankings

Aspen Skiing Co.’s four ski areas were collectively ranked third best in the West for a second straight year by readers of SKI Magazine, the Aspen Daily News reported. “The four mountains that make up Aspen Snowmass are the gold standard for American skiing. Aspen Mountain, Aspen Highlands, Buttermilk and Snowmass each have their own character, which is why most skiers visit a different mountain each day of their visit,” the article said.

Along with its terrain variety, AspenSnowmass was touted for its uncrowded conditions. Ironically, given the shoutout for uncrowded conditions, one of the perceived “weaknesses” in SKI’s survey was access along with value. Sun Valley got top billing in the rankings, keeping the position it earned last year. And Deer Valley kept the second spot.

The county made conservative revenue projections in 2020 and 2021, in large part due to the COVID-19 pandemic and suspected implications for the economy. However, after the initial lockdown in 2020, people traveled and the Aspen-area economy boomed. Sales tax revenues soared in both 2020 and 2021. The county thought the bubble had burst and budgeted for a 4.2% decrease in 2022, but this year also defied projections. Sales tax revenues are up 13% thus far.

Fees Coming to White River National Forest Overnight Use

Pitkin County’s Budget Starts to Recoil

Inflation and a souring national economy convinced Pitkin County staff officials to budget conservatively for 2023 but advise the commissioners to dip into historically large reserves to fund priorities and retain employees, the Aspen Daily News reported. County officials project that sales tax revenues will fall 11% next year compared to 2022’s level. That represents a $1.85 million decrease for core services from the 2022 projection.

Overnight visitors heading into certain high-use areas of the Maroon BellsSnowmass Wilderness will have to make a reservation and pay a $10 fee per night starting in 2023, the Aspen Daily News reported. The permit system will apply to the popular Four Pass Loop backpacking route, which includes Snowmass Lake, as well as Geneva Lake and Capitol Lake. A reservation and permit system was implemented in 2018 for the area around Conundrum Hot Springs — now the $10 per night fee will be attached to Conundrum. The permits and quotas are needed to deal with the growing numbers of visitors and the resulting impacts — unburied human waste, garbage, trampled vegetation and compacted soil.