Burke Hotel One Step Closer To Opening; Federal Receiver Secures Certificates Of Occupancy
One of the issues holding up the opening of the new hotel and conference center at Burke Mountain Resort has been resolved. The federal receiver in control of the property now has copies of the needed Certificates of Occupancy, according to a state official.
Jerry Davis, principal and president of PeakCM, the contractor that built the hotel, was withholding the certificates of occupancy from Bill Stenger and the hotel’s ownership because of unpaid bills.
Davis said he had an agreement with Stenger that the hotel would not open until the more than $5 million he was owed – much of it to sub-contractors – was paid or an arrangement for payment was made. He said he has met with the receiver and believes “he has a genuine interest” in making good on what his firm and the subcontractors remain owed, which is now about $3.9 million.
PeakCM is still owed about $500,000 on the Burke snowmaking upgrades and more than that on work done on the Newport AnC Bio project, said Davis in an interview on Tuesday.
Davis said the receivership now has a copy of the CO to open. “I’m supportive of them opening the hotel,” he said. “We’re just going to try to hold our ground. I’m just hoping everybody works together now to get us paid.”
Of the remaining $3.9 million outstanding on the new hotel project, Davis said the majority of that is owed to subcontractors.
Through it all, Davis remains positive about the completed projects, the jobs they did create and the hotels that are here. Of the Quiros/Stenger partnership, he said, “They’ve given us a lot of work, and we’ve been able to hire a lot of people. I’m appreciative of the work… The projects are successful and beautiful.”
Davis said his firm is offering its support to the federal receivership under the contractor’s warranty to help in any way with the hotel start-up because of the staffing changes, to offer re-training for employees on how the hotel operates, and to help get them going. “We have offered our services,” he said. “I want to see that hotel opened.”
The federal receivership has obtained copies of the needed state and local permits that allow the hotel to open, Steve Olson, president and CEO of the Kansas-based Leisure Group now operating the resort, informed the Burke select board Monday.
Patricia Moulton, secretary of the Vermont Agency of Commerce and Community Development, one of the two state agencies responsible for overseeing the EB-5 program in Vermont, said on Tuesday, “It is my understanding that the receiver asked the CO’s to be reissued to him or the resort, not sure which, and that can be done apparently.”
Moulton said she could not speak to why Stenger had not obtained the certificates the same way; the resort had certificates of occupancy filed at the Vermont Department of Public Safety, the Vermont Department of Public Health and locally at the Town of Burke’s offices, said Moulton.
- Vermont EB5 Regional Center
- Jay Peak - Q Burke Mountain Resort, Hotel and Conference Center L.P.
- Jay Peak - AnC Bio Vermont
- Ariel Quiros
- Bill Stenger
Subscribe for News
Join Professionals on EB5Projects.com →
This website is for informational purposes only and does not constitute an offer or solicitation to sell shares or securities. Any such offer or solicitation will be made only by means of an investment's confidential Offering Memorandum and in accordance with the terms of all applicable securities and other laws. This website does not constitute or form part of, and should not be construed as, any offer for sale or subscription of, or any invitation to offer to buy or subscribe for, any securities, nor should it or any part of it form the basis of, or be relied on in any connection with, any contract or commitment whatsoever. EB5Projects.com LLC and its affiliates expressly disclaim any and all responsibility for any direct or consequential loss or damage of any kind whatsoever arising directly or indirectly from: (i) reliance on any information contained in the website, (ii) any error, omission or inaccuracy in any such information or (iii) any action resulting therefrom.