Park City Mountain Resort Goes Green

With all the talk over the last several years of global warming (or more correctly, climate change) and the concern that we have of ever-rising snow levels, the three Park City resorts have been taking steps to reduce and hopefully eliminate their carbon footprint. Several years ago both the Park City Mountain Resort and Deer Valley Resort purchased wind power electricity and converted their fleets of snow groomers to bio diesel. This year Park City has gone a step further and installed a wind turbine at the top of the mountain along with solar panels with the goal of becoming completely independent from conventional electricity and using only renewable sources. This is a great move and I believe we'll see more and more resorts going this direction.

Last week I talked about my Hero Tree in the backyard that stays green well after the other trees have turned golden. This last weekend it finally gave up and started to turn. I guess this means the end of fall has arrived. While there's still a few splotches of gold in the mountains the leaves are coming off pretty quickly and we're entering the brown season. The brown season is when all the leaves are gone but snow has not yet arrived. It looks like we're going to get another small shot of snow this week and with very cold temperatures. I was just in Deer Valley purchasing my season pass for the year and saw that they had the snowmaking guns out. This is a good opportunity to remind everyone that on November 1 season pass and coupon book rates increase at our local resorts.

Continuing as we have been all fall, there is nothing terribly exciting in real estate  happening. However the past week my phone's been ringing with inquiries for ski condos prior to the start of the ski season. Prices continue to be low and interest rates remain at historic lows and buyers are taking advantage of this. On the flip side, as I mentioned last week, the number of new properties listed are decreasing significantly which is making it harder to find steals. There are great deals out there but I would caution buyers that if they're looking and find something that fits their requirements not to dawdle.

Last weekend the new Warren Miller ski film, Like There's No Tomorrow, premiered here in Park City and now of course everybody is enthused and ready for the start of ski season. If this film comes to a town near to you I recommend seeing it as it's one of his better ones in the last several years. With that, I hope to see you on the mountain this winter!

My Hero

I know every week I talk about just how beautiful it is and how it can't get any prettier...but it does! This weekend was the peak of the colors and it's absolutely spectacular. The hills were awash in color, the temperature was near 70 and then we had a little snow last night. My hero this week is an aspen tree in my backyard. While all the other aspens have turned bright gold and are starting to lose their leaves there is one that holds on and is still bright green. Way to go, aspen. Don't give up!

In real estate news the sales stats are in through the end of September and the trend we have been observing all year is continuing. Comparing year-to-date January 1 to September 30 of 2010 and 2011, the number of single family homes sold is up just over 17% and the average sales price of a home has risen 4.5% from $826,000 to $863,000. Condo sales are up just over 13% and continuing the trend we've seen all summer, average sales price is down about 27%, from $862,000 in 2010 to $623,000 in 2011. Looking at and comparing this September to last September, the number of homes sold was flat at 74 for each month but average sales prices rose almost 24% from $767,000 in September of 2010 to $948,000 for September of 2011. From September 2010 to September 2011 in condo sales, number of sales is up 21% and average sales price continues to decline to just over 35%. A major contributor to this decline was sales in lower Deer Valley where last year there was one sale with a sales price of $2,289,000 and this September there was again one condo sold but sold for $514,000. This shows a decrease in sales price of 77.5%. Now we know condo prices in Deer  Valley haven't decreased 77%; this is just a function of what sold this year compared to what sold last year. I believe that this holds true for the average sales price of homes and condos overall. I do not believe that home prices have increased 17-24% or that condo prices have dropped 27-36%, but rather more expensive homes are once again selling, but buyers are looking for the lower priced condos.

Also a continuing trend we've been following all year: the number of new listings continues to decrease. Year-to-date, 2010 to 2011, the number of new homes listed is down 15.6% and number of condos listed year-to-date is down 18.9%. Looking at September 2010 versus September 2011 the number of new homes listed was down almost 26% and number of new condos listed decreased 31%. I think we have several factors going on here of which I think the major factor is that many of our sellers are not desperate to sell, not in trouble, and are willing to wait until the market starts to return. This is also the message that most agents are telling their sellers: unless you really want to sell and are willing to price it according to today's market, don't sell. However, if the trend continues of number of sales increasing each month and numbers of new properties being listed decreases, something has to give and we're starting to see this. We're seeing well-priced properties selling quickly and we're seeing more and more multiple offers. With the economy continuing to waffle along and interest rates running historically low, buyers are definitely taking advantage of this opportunity and are purchasing. We know there will come a time when resort real estate cannot be purchased for today's prices and interest rates are not this low and we as agents will be hearing "I should have bought back then." If you're in the market for resort real estate don't let this be you.

Each week brings us closer to the opening week of ski season. Deer Valley opens in about 6 weeks so continue the leg workouts, the core body workouts and start focusing on aerobics. See you on the mountain this winter!

Fall Colors and Snow

Well the much-anticipated snow storm arrived on schedule last week and snowed off and on here for several days. Sunday morning it finally started to clear up so I drove up in the local mountains to take some very pretty pictures of snow-capped mountains blending in with the fall colors. It really is a magical time of year. But as the ground is still quite warm, all the snow down low has melted off. I do suspect that the higher elevations' north-facing slopes now have snow for the remainder of the year.

Last week's paper published the story that the Hotel Park City had signed an agreement with Marriott Hotels to be part of their flagship hotel chain. Well, this was a bit premature, as while the Hotel Park City is moving that direction and is close to signing, the deal has not been inked yet. From what I hear it is extremely likely this will happen and I think it will be a good benefit for condo owners at Hotel Park City as Marriott brings lots of name recognition and useful insights.

The big news this week is that the readers of Ski Magazine voted Deer Valley as the #1 Ski Resort in North America for the 5th season in a row. What makes this most remarkable is that no resort has received the #1 ranking 5 times, let alone in 5 consecutive years. Park City Mountain Resort received recognition as the #1 Family Resort and #6 overall. This is a tribute to not only our wonderful resorts, but also to the town of Park City, and all of the shop, restaurant and resort employees who strive to make every visitor feel welcome.

In other local news going on, grading for the Canyons Resort Golf Course is actually under way! Finally, after what seems to be an eternity of infighting, the various landowners have settled their differences and course construction has started. This will be extremely good news for Canyons Resort and owners of condos at Canyons Resort as this should make it a stand alone resort in Park City.

In other Canyons news in last week's post I had talked about the proposed lift connecting Canyons and Solitude Resort. This has been and continues to be a hot topic of conversation around town and interestingly enough in last Wednesday's paper there was a very well-written letter from a local skier in support of the lift. While he brought up many very good points I'm afraid that the majority of Parkites are either still against the proposal or at best skeptical. This debate reminds me of a debate that went on here in the late 1980s concerning the idea that Park City had of putting in a lift connecting Main Street  Park City to the resort. This lift as envisioned would cross Park Avenue (one of the main entrances into town) and unload right in the commercial district. At the time, I remember being quite surprised at how vocal and widespread the opposition to this was. Well, the lift did go in, the ski run crosses Park Avenue as does the lift and it accesses hotels and restaurants in downtown Park City. Since this has gone in I've heard no opposition, just kudos for what a good idea it was. Will this be the same result as the Canyons' proposal to hook up with Solitude? Who knows, but I will certainly keep you posted as to how it's going.

Other than that it's a pretty slow time of the year and everyone is just enjoying a bit of relaxation before winter madness starts. Wolf Creek Resort in southeastern Colorado received over 3 feet of snow and is the first resort in the US to open. I have seen several videos posted on the web of people skiing Alta so it's not far away. Continue working out and I look forward to seeing you skiing this winter.

It Was Only a Matter of Time

After quite possibly the most beautiful September on record, it appears this will all come to an end as the first significant winter storm is forecast for later this week. Heavy rains starting Wednesday, turning to snow Thursday with the snow level lowering to around 6,000 feet; well below Park City which is at 7,000'. While everyone will be sad to see these warm, beautiful cloudless days come to an end, it's also exciting to see the snow come as it is a preview to  the upcoming ski season. Come back next week for photos of snow-covered mountains combined with fall foliage, usually quite spectacular.

The other big news for the week here in Park City was an announcement by the Canyons Resort that they would like to connect the Canyons with Solitude Mountain Resort in Big Cottonwood Canyon by chairlift. Not surprisingly, the overall reaction has been less than warm. In fact, downright chilly. I say not surprisingly because as long as I have been in Park City (since 1984) there have been various proposals to connect some or all seven of the local ski resorts together. This can be accomplished with about four chairlifts and would make the most incredible ski resort in North America, if not the world. While this is quite common in Europe, connecting ski resorts owned by different entities is virtually unheard-of in the U.S. I only know of one that has done this, and that is Snowbird and Alta in Little Cottonwood Canyon here in Utah. The strongest and most vocal opponent to connecting the Canyons and Solitude is the Save Our Canyon organization. This is a group of backcountry skiers who strongly oppose any new development in either Little or Big Cottonwood Canyon and have been able to rally enough support to block any ski area expansion. I'm not sure that Talisker Corp, the owner of the Canyons Resort fully grasps the fight that they're going to have on this. In the 7 days since this announcement has come out, there have been two editorials and several letters in our local paper opposing the expansion and the Save Our Canyons organization has already posted this on their website and is garnering opposition. So this will be an interesting battle to see what happens, but I can assure you, it is unlikely that there will be a chairlift connecting the Canyons and Solitude for the next ski season. This will be a many year fight primarily because any proposed skiing and lifts crosses Forest Service land.

In real estate news, there was an article recapping last summer's visitor count here in Park City and while specific visitor numbers have not been tallied interviews with various hotel owners or management companies indicated that the summer was a mixed bag. Overall, visitor nights were up but not consistently throughout the summer and average daily rental rate was up only slightly if at all. For the upcoming ski season, the major holidays (Christmas, Sundance, President's week) are just about completely booked and I have heard the Deer Valley ski school is completely booked for Christmas. The trend for the last few years has been for winter visitors, other than for the major holidays, to book closer and closer to their actual trip. Generally waiting to see which resorts have the best snow, where they can get the best rates, etc. If this storm comes in this week as expected, we typically see a marked increase in phone reservations as early snowfalls usually makes national news and piques the interest of skiers.

So, winter is coming! Continue your workouts and I look forward to seeing you on the ski slopes this winter.

Underwear Runners Strike Salt Lake

This past Saturday the big protest in Salt Lake, was, as only Utah can have it, about 3,000 people stripping down to their underwear (nudity was not allowed of course) and running en masse to the State Capitol in a protest of Utah's overbearing morality laws. If this will actually have any effect on the Legislature and its opinions is doubtful but it certainly is humorous. Way to go, Utah: throw caution to the wind and take chances.

On a much more positive note, the fall colors are absolutely astounding. It seems that they're changing by the minute. The weather for the past week just doesn't get any better. Temps in the low 70s, bright blue skies, the maples are bright red and the aspens are just beginning to turn. I took a drive this past weekend up in the mountains and it was truly breathtaking. If you ever get a chance to come out and see the fall colors in the Rockies, forget New England: this is where you need to be. As I mentioned a moment ago, the aspens are just starting to turn so we've only got another 3 weeks of peak colors. Yes it's been a little late this year which I suspect it's due to the wet spring and summer.

In real estate news, there's nothing really exciting to report. Sales continue to be quiets strong for this time of the year. In looking at what's selling, its still all over the board from the very low condos in the $100,000 range to the multi-million dollar homes and condos. I have noticed that multiple offers are occurring more frequently on well-priced properties again in all price ranges. The stock market continues its dizzying roller-coaster ride but seems to be holding about where it was 3 years ago. It seems if it goes above this point it doesn't stay for long and comes back down, and the same is true if it drops below the 3-year average: doesn't stay long and comes back up. What this means for real estate: I haven't a clue. So far it doesn't seem to be having a strongly negative effect but I think this winter is going to be very telling.

Forecast is for storms to start rolling through next weekend and into the following week, so this may be the first significant sign of winter approaching. So continue the leg-strengthening exercises, get your core muscles strong, and I look forward to seeing you on the slopes this season.

Fall Colors

As you've heard me say many times, September is the best month in Park City. Bright blue skies, chilly nights, warm days and COLORS! It is amazing the difference since last Monday. Almost all the maples have turned and the aspens are beginning to turn as well. It is truly a magical time to be in the mountains.

Last Sunday was our annual fall classic, the Tour de Suds bike race. This is a mountain bike race from City Park in Park City to the top of Guardsman's Pass, which divides the Park City side of the Wasatch mountains and the Salt Lake city side, 7 1/2 miles in length and 2,700 vertical feet. So named "Tour de Suds" as it originally started at the Brew Pub on Main St, rode to the top and back down for what else, brews! This has developed into an annual event with most riders dressing in some sort of wacky costume. Other than that it's pretty quiet in town these days. Most music is done, all festivals but the Park Silly Sunday Markets are done and the restaurants are empty.

In real estate news, probably the thing affecting us the most is the erratic economy: one day stocks are up 300 points, the next down 400 and so the yo-yo goes. In looking at August 2010 versus August 2011 it's clear the uncertainty in the US and world economies is having an effect. Home sales for August 2010 were basically flat: 73 in 2010 compared with 75 in 2011. However the average sales price was down 12.6% from $755,900 in 2010 to $660,700 in 2011. Number of condo sales was up slightly: 37 in 2010 compared to 44 in 2011, for a 18.9% increase. But the average sold price increased quite dramatically, up 70%: $502,900 in 2010 to $854,000 in 2011. While this would appear to be great news, in looking at the numbers, the average sales price was skewed by five sales in Empire Canyon of Deer Valley with average sales price of almost $3.5M compared to 2 sales in 2010 with average sales prices of $2.5M and one sale in St. Regis in Deer Crest with a price of $3.2M where in August 2010 no sales in St. Regis. Another area that helped skew the prices was lower Deer Valley, 2 sales in August 2010 with average sales price of $894,500 and 3 sales in August 2011 with average sales price of $1,715,00, or up almost 92%. What this does show is that all aspects of the market are selling and high-end buyers are not afraid to jump in right now.

Last weekend was cold, rainy, and our first forecast with the snow level in it (albeit at 10,000 feet); a sure sign winter is on its way. So continue your ski workouts and let's go skiing when you're in town!

Fall Has Arrived

There is one tree on the Park City Resort that gives up way too easy and is the first tree to turn every fall. This past weekend I notice it has changed colors and is bright red in a sea of green on the resort. I've informed the other trees to hang on and don't give up so quickly but I'm afraid fall is here. This weekend was cool--actually chilly--and quite rainy. A perfect weekend for tennis and football. On Saturday, went out to Rockport Reservoir, one of the local reservoirs here, to attend a blues festival. While the music was terrific, the weather was not. Driving out, we encountered severe lightning, high winds and heavy rain. While at the festival site it was only light rain, the temperature was in the low 50s and it really wasn't very pleasant for sitting outside listening to music. But that's fall in the mountains and we just get used to it.

The other news over the weekend is that La Nina has returned! For skiers this is generally good news as a La Nina weather pattern typically means that the Pacific northwest through northern California and the northern and central Rockies tend to be wetter and colder than normal. Bad news is that the southwest (California, Arizona, New Mexico, Texas) tends to be warmer and drier than normal. The same pattern that we saw last winter that brought record snows to Utah and record drought to Texas.

In real estate news real estate continues to be quite active. In looking at our MLS sales, as of today, 9/12, there are 20 homes within the Park City limits with contracts pending on them waiting to close. Of these homes, the least expensive home under contract has a list price of $638,000 and the most expensive is a ski-in/ski-out in the Bald Eagle community of Deer Valley with a list price of $7,250,000. Of the 20 homes with contracts pending, 6 have a list price over $2,000,000.

As of today and inside the city limits there are 44 condos with contracts pending on them with the low price of $125,000 up to the high of $6,250,000. Included in this are about 10 condos in the St. Regis hotel in Deer Valley that have been under contract for quite some time and are still waiting to close. What this does show is that there is a lot of activity going on right now and it covers the full range of prices. When I talk to most buyers and sellers, I am always asked what is selling. And when I show them statistics such as these they are usually quite surprised as their guess would have been only the lower price range would be selling. Another thing that I take from these statistics is that the buyers are out there and are looking in all price ranges and are ready to purchase if the property is right for their needs and they feel it is properly priced for today's market.

Hopefully we will have our traditional Indian summer here but I am seeing signs of the aspens starting to turn. I would expect by early October we should be pretty close to peak colors. With all the rain that we've had, I believe that the colors will be particularly vibrant this year, so if you've never seen fall in the mountains, this may be a great year to do it. And be sure to stop in and say hello if you are in town, particularly to see which restaurants are open and what events are going on.