With a $1 billion redevelopment of Vail already underway, two developers are eyeing another major project: a $500 million opportunity to move the city-owned Lionshead parking structure underground and redesign the 6.3-acre piece of prime local property.
The town of Vail, which put out a request for proposals in May, has not committed to moving forward with the project. It says only that it is interested in ideas to fund needed capital and operational improvements at the garage. The town also would like to add 400 to 500 parking spaces to the area.
The two developers vying for the possible contract are Avon-based East West Partners and a team from Dallas, Open Hospitality Partners and Hillwood Capital.
Not everyone is thrilled about the potential redevelopment.
Several Lionshead businesses say that the current construction – such as the $250 million Arrabelle at Vail Square being built by Vail Resorts Inc. – has already negatively affected traffic. The loss of public parking while the project is underway would cause further harm, said Kevin Foley of the Lifthouse Condominiums and a Vail Town Council member.
“A lot of people here would like to have a little break before we jump right back into it,” he said.
East West Partners will present its plans for the site to the public this week.
Its proposal includes a 150-room hotel, 75 fractional condos and 120 wholly owned condos. East West also will feature 35,000 square feet of retail and restaurants, including space for several businesses currently in the parking structure, such as a local information center.
“We feel that we can create a project that meets the marketplace up here and generates the kind of vitality and skier days that will give Vail a nice economic boost,” said East West partner Chuck Madison.
The Avon-based firm pledges to match the existing 1,150 parking spaces.
The Dallas group, which initially approached the city about the site, made its public presentations late last month.
Their proposal includes two 120-room hotels – a W Hotel and a St. Regis – plus condos, fractionals and a cultural center with up to 30,000 square feet of meeting space. It is also offering to build at least 350 additional underground parking spaces.
“Here you have one of the premier resorts in the world, and at the gateway you have this parking garage,” said Mark Masinter, a partner in Open Hospitality. “To me, it’s unattractive. It’s a great space that is being under utilized.”
Final proposals for the parking structure are due Sept. 29. East West will hold its open houses Wednesday and Thursday from 4 to 6 p.m. at the Antlers Lodge in Lionshead.
East West is working on a $400 million Westin Riverfront Resort in Avon. The company is also part of one of the two teams bidding on the contract to redevelop Denver’s Union Station.
Staff writer Julie Dunn can be reached at 303-954-1592 or jdunn@denverpost.com.
