Your Aspen-Snowmass 2018 Midyear Real Estate Market Review
Summer is officially here and the town is bustling. The flowers are in full bloom, the landscape is lush green, the days are long, and the real estate market is strong. It truly doesn’t get better than this. Summers in the Valley are a cherished season, and there’s no other place I’d rather spend this time of year.
The luxury market is particularly robust. During the first half of 2018, luxury activity reached an all-time high with 23 sales over $7 million compared to an average of 17 over the past 5 years. The previous high was set in 2017 with 21 sales. The overwhelming majority of these are newer, contemporary homes near downtown Aspen.
Sales in Aspen decreased during the first half of 2018, more so in the single-family market than with condos. The drop is likely limited more by supply than demand. There are fewer listings compared to a year ago, and some buyers are becoming discouraged by the rising prices and narrowed offerings. The average price rose to $1,524 per square foot, a 15% increase compared to the first half of 2017.
Unit sales grew 40% in Snowmass Village, boosted by the robust activity in Base Village. Most of the Base Village transactions so far have been Viceroy studio and 1-bedroom condos which has brought the average price down a bit, but per square foot condo prices remain stable. Pre-sales in The Limelight and Lumin luxury condos are also promising, with 7 out of 14 available units under contract in the $1.675 to $3.3 million range. The steady construction progress has certainly brought a renewed sense of optimism to the town.
An uptick of activity is evident in the commercial market. In Aspen, Chicago-based developer Mark Hunt recently purchased the historic Boomerang Lodge for $10 million. The City of Aspen is under contract to purchase the former Aspen Daily News Building from Mark Hunt for $23 million. Hunt will design and build the City’s new office space as part of the deal. In Snowmass, a local investment group led by the Romero Group recently purchased the Snowmass Mall for $28.5 million. In addition, the Snowmass Club is under contract for around $20 million to ABA Hospitality based out of San Francisco. The sale will include the 18-hole golf course, spa and health club facility, and management of contiguous vacation properties.