Housing lottery awards eight lots to lucky locals

First in a series of houses for blocks 79 and 80

By Mark Reaman

Eight lucky locals had their names pulled out of the bin last Thursday, June 23 as the first step toward owning an affordable house in Crested Butte.

Mike Horn, Warren Seekatz, Trevor Main, Andy Allen, Susan Emery, Kent Cowherd, Beth Goldstone and Tiffanie Simpson were selected out of 20 people who had their names in the bin for a chance at a single-family lot on blocks 79 and 80 on the northeast side of town.

Each now must come up with an escrow down payment to buy his or her lot from the town. The lots range from 3,000 to 6,000 square feet and range in price from $25,000 to $75,000. A typical town building lot is 6,250 square feet and the going price for vacant land in town is well into six figures.

Three of the eight lots were so-called “micro lots” meant to provide a site for a small home.

“The next step is for the people chosen to execute purchase contracts and meet with a lender,” explained Crested Butte town planner Michael Yerman. “Then they will have to apply for a building permit and construction financing. The winners have six weeks to come up with the escrow payment and be under contract with the town.”

The escrow amount is 25 percent of the purchase price. For example, the winner of lot four on Block 80 can purchase the lot for $75,000. The escrow amount is $18,750. For the least expensive micro lot that will sell for $25,000, the escrow payment is $6,250.

“Coming into the lottery we didn’t quite know what to expect,” explained lottery participant Mike Horn. “Based on the high demand, we figured our chances were pretty low, so we went in with low expectations. Then they called our name for the first lot. I jumped up as if I just won bingo or a raffle, then Lori and I just looked at each other in amazement. ‘We’re building a house in Crested Butte!’ Followed by, ‘We’re building a house?!’ We’ve got a million questions but we’re excited to figure it out.”

And figure it out they must.

The winners have two years to start construction before they would lose their right to the property. They must pull a building permit by 2018. All the house plans have to go through the Board of Zoning and Architectural Review (BOZAR) before being approved for building.

“We are so stoked,” said Kevin “Pinball” Emery. “We got one of the micro lots and immediately went over and planted a flag on it. We think it will give us a great view of Red Lady for the rest of our lives.

“Some things need to fall into place but we have some builders lined up already,” Seekatz continued. “You need family and friends to make this work. We are hoping to start construction next spring.”

“The goal is to put people in successful housing situations,” Yerman said. “We will work with the applicants and the lenders to help get the houses built.”

“The Housing Authority is extremely happy to work with the town of Crested Butte to provide affordable, in-town places to live,” added Gunnison Valley Regional Housing Authority (GVRHA) executive director Karl Fulmer. “The sale of block 79 and 80 lots in 2016 will be followed by the production of ownership and rental units in subsequent years. Ultimately, the goal of the town of Crested Butte and the GVRHA is to provide housing choices that are located closer to employment centers, thus preserving what is most important—a sense of community.”

The lot sales will assist the town in the next step of the housing plan on blocks 79 and 80. According to Yerman, the next phase is to design housing that will be built by the GVRHA. The idea is to have three duplexes and a triplex designed and built for purchase by qualified locals.

“That makes it easier for conventional financing,” explained Yerman. “The idea is that we hold another lottery in 2017 for those units that would be built. It is all part of the plan to get more people living in town in affordable housing.”

In an ideal world with an organized and focused buyer, there could be a new affordable house going up by this fall.