ASPEN—Four high-profile commercial buildings in Aspen’s downtown core changed hands in December 2012, accounting for nearly $54.5 million of that month’s real estate sales and half of the commercial building sales for the year.
In fact, all but two of the nine commercial building sales of 2012—a record going back at least a decade—took place in the latter half of the year, helping to fuel Pitkin County’s highest dollar volume of real estate sales since the pre-recession peak.
Two commercial building sales were recorded on December 31: the Ellie’s, or American National Bank, building on Main and Mill, for $12 million; and Amelia’s Building on the Hyman Avenue Mall (with just two retail spaces) for $3,225,600.
Earlier in the month and on the same day, the Volk Plaza (Paradise Bakery) and Mountain Plaza (Bidwell) buildings, which sit across from each other on the corner of Galena and Cooper, sold for $17.25 million and $22 million, respectively.
The common denominator for three of December’s four commercial sales is that they were sold by siblings who inherited the property after long tenures of family ownership and wanted to split up their estates, said local commercial broker Karen Setterfield, who was involved in the Volk, Bidwell, and Amelia’s sales.
Renowned Aspen architect Fritz Benedict designed the Bidwell building in 1965 for 10th Mountain Division veteran Bert Bidwell, who has since passed it on to his three children. Dick Volk’s father bought his corner lot in 1947, when it was the town dump, and built his namesake building there in 1986. And Amelia’s Building, built in 1973, is named for Amelia Kopp, who added the second floor for her hair salon which she operated for decades before transferring ownership of the building to her two sons over the last several years.
Another prominent downtown building changed hands on November 30. The Anderson family sold the building that houses their business, Pomeroy Sports, on Durant and Hunter across from the gondola plaza, for $7.5 million.
The buyers of the Pomeroy building include members of the local Souki family (headed by Texas energy executive Charif Souki), and although the other buildings’ buyers are all either part-time or full-time locals, according to Setterfield, most wish to remain anonymous for now.
The buyers in Setterfield’s deals “were already interested in Aspen,” she said, “and in most cases they already own a home or other property here. So Aspen is on their radar, it’s part of their goals.”
The buyer for the Bidwell building is listed as 434 East Cooper LLC and the Volk building is now owned by Galena Cooper LLC. The buyer of Amelia’s Building lists an address that is the office of longtime local landlord Frank Woods.
American National Bank reportedly purchased the building it occupies, although the buyer is technically listed as Aspen Branch Holdings LLC.
The Souki family, via Ajax Holdings LLC, is also under contract to buy the Mason Morse building on East Hyman, sometime early this year.
The nine commercial building closings in 2012 are the outcome of a very active couple of years in that sector. A record number of commercial properties, several of them among the most valuable buildings in town, had been placed on the market, and 2012 marks the most active year of commercial property sales in Aspen in at least a decade, according to an analysis of MLS (Multiple Listing Service) data.
Other high-profile commercial property sales in 2012 include the Gap building at 204 S. Galena, for $13.25 million; the Taylor Building at 602. E Hyman (corner of Hunter), for $6.7 million; the AG Sheppard Building on Hopkins and Monarch, for $2.8 million; and the commercial portion of the Mother Lode Building at 314 East Hyman, for $3.2 million.
Although it’s a subjective matter whether the buildings were worth what the buyers paid for them (in most cases they sold for more than the Pitkin County Assessor’s value but less than the original list price), it’s clear that location helped determine the prices.
The Volk Plaza Building, with its highly utilized gathering space in front of Paradise Bakery, commanded the highest price per square foot of the 2012 sales. The $1,779 per square foot its buyer paid was just a fraction above the $1,679 per square foot the Souki family paid for the Pomeroy building, according to information provided by Setterfield.
The AG Sheppard Building, a historic Victorian on the corner of “Restaurant Row” commanded $1,303 per square foot, only slightly higher than the buyer of the Bidwell building paid ($1,298 per square foot), which in turn is somewhat higher than the $1,192 per square foot that the Gap building’s buyer paid.
The Gap building has approvals in place to be replaced by a larger building, perhaps as early as this year, while the Bidwell building has a pending redevelopment application. The Taylor Building is one of several downtown buildings wishing to add a third-floor penthouse.
Follow Catherine Lutz on Twitter @cathlutz