Aspen Real Estate Market Update: Signs of Growing Confidence: Six Aspen Properties Over $14MM = Sold (4) and Under Contract (2) Between Jan 31 – Feb. 19. 2011

Link to weekly post Feb 13-20 Aspen Snowmass Weekly Sales and Statistics.

Update: Since Jan 31st, there have been (6) big money Aspen real estate transactions over $14MM: Five (5) of these have occurred in the past 10 days alone with (3) closings and (2) going under contract; an Old Snowmass 200+ acre ranch went under contract on 2/18 with an ask price of $14MM; the sixth sale was Sony record impresario Tommy Mottola’s Aspen Wildcat Ranch which sold at the end of January for $17,750,000. A market update, two Estin Report Aspen trend graphs, MLS property links and photos/descriptions of these properties can be found below.

ASPEN REAL ESTATE – Market activity appears to be better than many brokers have expected since the beginning of this year. With President’s Week and Spring ski season upon us, there are compelling reasons to be optimistic for a better sales season than we have witnessed since 2008. There seems to be an increasing ‘sense of urgency’ amongst buyers not wanting to miss out on a market “bottom”, if one can call it that…I wouldn’t call this a “buyer boom” but I will say there has definitely been an uptick in serious buyer activity since the beginning of the year.

It is well known that the wealthy come back into the market first and they usually get the good deals. The high end starts to move and then it trickles down. A 40-year veteran Aspen broker has witnessed this cycle 4-5 times. One has to ask, “If the DJIA has doubled in the past 2 ½ years and real estate is at record lows, where do you think investors are turning to?…”

Many real estate experts agree that the way to make money in a down market is on the buy side – buy low – and specifically ‘buy someone else’s problem. As the economy shows signs of improvement and with a significant number of highly motivated and/or distressed sellers still in the inventory pipeline, buyers are gaining confidence to make their move.

And sellers can be motivated for more than only financial reasons. Two and a half years into this crisis and some may simply be ready – or fatigued enough by the long selling process – to accept the “new normal” and finally reset what they thought their property was worth so as to be able to sell and move on with their lives.

Some Reasons for Increased Activity:

• Stock Market Up = Good news on Wall St. is positive news for high end real estate sales – increased net worth makes people feel better
• Mortgage Interest Rates Up = creates urgency to buy while rates still low, but also may discourage buyers as well
• Energy Exports Up = reputedly the highest they’ve been in the past 18 years signals greater business confidence
• Consumer Confidence Up = (as a “luxury market index”, anecdotally the local Prada Store has had its best season ever so far.). On 2/22, the Consumer Confidence Index crested above 70 for the first time in three years as more consumers believe in the economic expansion. Labor measures improved and more consumers are expecting incomes to increase…It is at its highest level, 70.4 Feb. 2011 vs 64.8 in Jan. 2011, since early 2008.
  
• Seller Realism = There are numerous valid sold comparables now from which to determine the market value of Aspen and Snowmass properties unlike 1-2 years ago when few sales provided one with much confidence in values and added to the pervasive sense of uncertainty...

Sellers also are more realistic to the new market realities not only with regard to price but that buyers are still far too few and have many choices. Buyers can easily go elsewhere unless convinced of great value or a flat out “deal”. Inventory levels are still bulging and while activity is picking up, pricing pressure remains – and is expected to continue as the we get closer to the end of the ski season – in order to get a property sold …The price per square foot of selling properties continues to fall and days on market continue to rise. See The Estin Report: 2010 Full Year Aspen Snowmass Real Estate and Charts below:

Closings (4) and Under Contract / Pendings (2) $14MM – 20MM Since end of January: MLS#’s119008,116696,111509,114105, 117218,119473 . This link is valid for 30 days until 3/18/11.

Closed: MLS 111509 – 875 Star Mesa, Aspen, CO Closed at $16,000,000/$1,160 sq ft. Built 2009.Original Price $32,000,000 and on the market 615 days since 06/10/2009. (Photos courtesy of Morris & Fyrwald/Sotheby’s International RE)

Photos courtesy of Morris & Fyrwald/Sotheby’s International RE)

(Photos courtesy of Morris & Fyrwald/Sotheby’s International RE)

(Photos courtesy of Morris & Fyrwald/Sotheby’s International RE)

(Photos courtesy of Morris & Fyrwald/Sotheby’s International RE)

Closed: MLS #114105 – Smuggler Mtn single family home, 201 Sesame St, Aspen, CO:Sold Price: $20,000,000 /$1,808 sq ft. Built 2006. Original Price: $29,950,000 and on the market 608 days since 12/15/09. (Photos courtesy of CB The Aspen Broker LTD)

(Photos courtesy of CB The Aspen Broker LTD)

(Photos courtesy of CB The Aspen Broker LTD)

(Photos courtesy of CB The Aspen Broker LTD)

MLS #114105 – Smuggler Mtn single family home, 201 Sesame St, Aspen, CO: Sold Price: $20,000,000/$1,808 sq ft; Ask and Original Price: $29,995,000 (On the market for 608 days since 12/15/2009). This is a stunning contemporary 2006 home built at the base of Smuggler Mountain with sweeping soutgh and west facing views of town, the ski mountains and Mt Sopris. It is 11,061 sq ft with 7 bedrooms/7 baths/3 half baths, 4+ car garage on almost .42 acres with gated driveway. The list broker comments, “Modern meets majestic. With painterly, panoramic views of Aspen Mountain, Independence Pass and Mt. Sopris, this 7-bedroom residence features a wonderful flow of interior to outdoor living. Every detail of this designer masterpiece is crafted with exquisite materials from around the world. Enjoy the chic sophistication of living and entertaining all within walking distance to town. Complete with 2 firepits, swimming pool, 2 hot tubs, expansive decks, a 10,000 bottle wine storage area and private gate.Directions: First right on Smuggler Mountain Road – through gate. ” 2008 Taxes: $35,323 Yr. Under Contract Date: 01/27/2011; Sold Date: 02/10/2011. (Photos and description courtesy of CB The Aspen Brokers)

Closed: MLS # 117218 Tommy Mottola’s former Wildcat Ranch closed on Jan 31, 11: Sold Price: $17,750,000/$1,775 Sq Ft. Built 1999/Remodeled 2003. Original Price: $27,500,000. On the market 243 days since 7/02/10.

(Photos courtesy of Joshua & Co)

(Photos courtesy of Joshua & Co)

(Photos courtesy of Joshua & Co)

(Photos courtesy of Joshua & Co)

(Photos courtesy of Joshua & Co)

MLS #117218 – single family home on 324 acres, Wildcat Subdivision, 1801 Lake Wildcat Way Snowmass Village, CO: Sold Price: $17,750,000/$1,775 sq ft; Ask and Original Price: $27,500,000/$2,750 sq ft.(On the market for 243 days since 7/2/10). This is a 8 bedroom/8 bath/ 2 half bath, 10,000 sq ft 1999 built/2003 remodeled home on 500 acres with a 4+ car garage. This home belonged to record producer Tommy Mottola, See news article. The broker’s comments are, ” This magnificent 10,000 square foot log residence is situated in Wildcat Ranch offering views of the Elk Mountain range from every room. Decorated in a hip western style, with 35-foot ceilings, it has a very dramatic feel. The plank floor, log-treated stairs, end hewing and peeled and polished log posts lend a rustic air to the stairway and entrance, which opens to the expansive yet intimate living room. The dining room features a double-sided stone fireplace providing a warm and spacious area for entertaining family and friends. The property is complete with two separate guest houses offering privacy for all your guests. 324 acres of space to play allow you to have all the toys and the property is complete with a “toy barn” for storage. 2009 Taxes: $60,161 Yr. HOA Fees: unknown. Under Contract date: 11/30/10; Sold date: 01/31/11. (Photos and description courtesy of Joshua & Co).

Closed 2/18/11: MLS # 119008 – 570 Epply Drive, Starwood Subdivision, Aspen, CO; Sold Price: $19,537,000/$1,332 Sq ft.; Ask and Original Price: $19,750,000/$1,347 sq ft. Built 1985/Remodeled 2008. (Description below and photos courtesy of Mason Morse Real Estate)

(Photos courtesy of Mason Morse Real Estate)

(Photos courtesy of Mason Morse Real Estate)

(Photos courtesy of Mason Morse Real Estate)

(Photos courtesy of Mason Morse Real Estate)

(Photos courtesy of Mason Morse Real Estate)

Under Contract / Pending: MLS# 116696 – 1560 Tiehack Rd,Skyview Subdivision in Maroon Creek, Aspen, CO: Ask and Original Price: $17,500,000/$1,553 Sq Ft. Built 2010. (Photos courtesy of Morris & Fyrwald/Sotheby’s International RE)

(Photos courtesy of Morris & Fyrwald/Sotheby’s International RE)

(Photos courtesy of Morris & Fyrwald/Sotheby’s International RE)

(Photos courtesy of Morris & Fyrwald/Sotheby’s International RE)

(Photos courtesy of Morris & Fyrwald/Sotheby’s International RE)

MLS# 116696 – 1560 Tiehack Road Aspen, CO: Sold Price: $13,000,000./$1,154 sq ft; Original and Ask Price: $17,500,000./$1,553 sq ft. and 261 days on the market since June 7, 2010.This is a brand new 2010 built, 11,269 sq ft home with 5 bedrooms/8 baths /3 half baths, on 4.5 hillside acres, with 700 sq ft garage. It was sold fully furnished. The listing broker comments are, “Serenity awaits at Richard Wax & Associates’ newest estate at the gated enclave of Pyramid Point Estates! Enjoy the solitude of 4.5 acres, gain inspiration from the stunning mountain views of Aspen Highlands & Pyramid Peak, and relax in the luxurious residence where no detail has been overlooked. The highlights of the endless list of amenities include a European gourmet kitchen, master suite w/private patio & built-in hot tub that overlooks a waterfall, gorgeous theater with 100’ screen, game room with bar, office or 6th bedroom, 1700 bottle wine room, indoor heated swimming pool, indoor basketball court, elevator to all 4 levels, multiple gas fireplaces, & 2500 sq ft of flagstone deck & patio. Spectacular & meticulously crafted.” 2010 Taxes: $12,973 Yr; HOA Dues: $4,910 Yr. Transfer tax of approx. 1.5 % was applied to buyer for purchase of the property. (Photos and description courtesy of Morris & Fyrwald, Sotheby’s Intl Realty).

Under Contract / Pending: MLS# 119473 – 4001 Snowmass Creek, Snowmass CO: Ask and Original Price: $14,000,000. 200 acres with 11,271 sq ft home and quarters. (Photos courtesy of Mason Morse Real Estate)

(Photos courtesy of Mason Morse Real Estate)

(Photos courtesy of Mason Morse Real Estate)

(Photos courtesy of Mason Morse Real Estate)

(Photos courtesy of Mason Morse Real Estate)

(Photos courtesy of Mason Morse Real Estate)

Under Contract /Pending MLS #119473 – 4001 Snowmass Creek, Snowmass, CO: Ask and Original Price $14,000,000.(On the market for 31 days since 01/19/11). This is a 200 acre ranch with a 1986 built / 1991 remodeled 11,271 sq ft home wih 6 bedrooms/5 baths/2 half baths and 3-car garage.The listing broker comments are, “Located on a completely private, flat 200-acre mesa in the lower Snowmass Creek Valley, only a short drive from Aspen and Basalt, this is a perfect Gentleperson’s Ranch of Family Retreat. The property is bordered by public lands and conservation easements, giving access to miles of horse and hiking trails. The large main house features 6 bedrooms and baths’ a pool/entertainment house plus a caretaker’s house. Other features include the pool and recreation area, horse stables, hay barn corrals and horse paddocks. There are Senior Water Rights for irrigation and agricultural usage. This is a unique and irreplaceable property and represents a great opportunity.” 2009 Taxes: $35,369 Yr. Under Contract Date: 02/17/11.(Photos and description courtesy of Mason Morse Real Estate) .

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