Real Estate Perspective 2019

There is a lot happening around here with regard to a couple of large projects in Mt. Crested Butte-the North Village and the Nordic Inn.

Last year the parcel of land known as the North Village or Snodgrass sold and the new owners have been working with the Mt. Crested Butte building department to come up with a plan to develop the parcel.  Mt. Crested Butte has begun the process of entering into a 3-way partnership with the Owners of the North Village and the Rocky Mountain Biological Laboratory (RMBL).  Click Here to read the story in the Crested Butte News.

Another project in Mt. Crested Butte is the Nordic Inn.  Last Fall the Planning Commission voted to hand the project over to the Mt. Crested Butte Town Council and they worked on the project and late in December they approved the project.  The project will now move back over to the Planning Commission with recommendations. Click Here to read the story in the Crested Butte News.

For the past 2 years the Aperture Subdivision has been coming to fruition and in December Bluebird Real Estate closed the first Developer Home for $4,267,500. The home has 4580 square feet with 6 bedrooms and 6.5 baths and a 2 car detached garage.  I like this lot because it is adjacent to the Slate River and you can hear the sound of river all day.  There are currently 18 home sites available for sale.

In 2019, the number of residential transactions throughout Crested Butte and Gunnison trended downward with sales down 16% or 89 units.  The bright spots in the information shows that Downtown Gunnison, Downtown Crested Butte and Crested Butte South were up while all other areas showed less sales.  Although the number of transactions declined, depending on where the property is located, property values increased.  For example, the average sold price for a single family home in Downtown Crested Butte or Rural Crested Butte was roughly 30% higher than 2018.  The single family average sold price in Downtown Crested Butte was $1,734,224 and in Rural Crested Butte the average sold price was $1.698,093.  

Vacant Land sales declined 25% in 2019 compared to 2018; in 2018 there were 286 parcels sold and in 2019 the total transactions stood at 212.  Downtown Gunnison, Powderhorn and Downtown Crested Butte were the only areas that experienced an increase in the number of transactions.  As land becomes more expensive, so does the down payment to obtain a mortgage.  Most lenders require somewhere between 30% – $40% down.  This past year approximately 77% of land sales were cash.

In commercial real estate, there are several empty buildings on Elk Avenue in Downtown Crested Butte and a few retail stores have announced they are closing their doors at the end of the ski season due to rent increases.  It is already a challenge to operate a retail or restaurant establishment because of our seasonality related to the tourist economy. 

Overall, our inventory remains low at this time which in turn keeps listing and sales prices trending higher.  Although our market is considered a Sellers market, if the property owner really wants to sell, the price must reflect the sold comparable properties with regard to location and condition.