The first residents of the Villages at Hayden subdivision were expecting to move into their new homes by the end of the year, but the development's five model homes still sit unfinished, mired in legal battles and facing foreclosure.

Photo by Brian Ray

The first residents of the Villages at Hayden subdivision were expecting to move into their new homes by the end of the year, but the development's five model homes still sit unfinished, mired in legal battles and facing foreclosure.

'Nowhere to live'

Possible foreclosure forces would-be residents to find homes elsewhere

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— The first residents of the Villages at Hayden subdivision were expecting to move into their new homes by the end of the year, but the development's five model homes still sit unfinished, mired in legal battles and facing foreclosure.

A skid-steer loader sat barely visible - and almost completely buried in a snowdrift - in an empty lot across from the homes on Lake View Drive on Thursday. The street, though cleanly plowed, was empty and silent.

In September, construction was halted at Lake Village, the first phase of the Villages at Hayden development, and Hidden Springs Ranch because of an ongoing legal dispute between the developers and their primary contractor. Hillsboro, Ore.-based Robinson Construction Co. filed liens against 4-S Development totaling $2.13 million - $1.41 million for the Villages and more than $700,000 for work done at Hidden Springs Ranch, according to documents from the Routt County Clerk and Recorder's office.

Compounding the developments' difficulties, foreclosure proceedings began last month for many of the lots in the Villages at Hayden subdivision.

Lots in Lake Village are scheduled to be sold to the highest bidder at public foreclosure auctions in February, but the developers are hoping to resolve the matter before then and finish the project, said Denver-based attorney Jay Labe, who is representing subdivision owner Mountain Adventure Property Investments, in the foreclosure.

Steamboat Springs attorney Alan Keefe, representing the interests of Vectra Bank, declined to comment. The bank was still owed more than $3.13 million on the Villages properties when foreclosure notices were filed Dec. 12, according to Routt County documents.

Many of the people who had bought or reserved homes in the Villages at Hayden subdivision have been unable to sit tight until the legal issues are resolved, especially those who were trying to sell their former residences, said Colorado Group Realty broker and owner Kelda Combs Wall.

In November, developer Roger Johnson said about half the homes in each development had been sold or were under reservation. Johnson did not return calls for comment.

Combs Wall has friends and clients who once were planning to make their home there. Many of them have been forced by the construction delays to make their homes elsewhere, buying other properties in Hayden and Milner.

"They couldn't wait," she said.

Hayden is a particularly painful market for such a snafu, given that many families looking to buy homes there are priced out of new residential developments in Steamboat Springs and are unlikely to qualify for construction loans, Combs Wall said.

"They invest their money, their time, they find a place, they find a house - and then it's gone," Combs Wall said. "I just feel bad for the people who found a home, had an emotional attachment to it, and now have nowhere to live."

The town of Hayden recently was named a party to some of the ongoing litigation with Robinson Construction Co., since some of the improvements made by the firm were to the town's roads and rights-of-way in the subdivisions, Town Manager Russ Martin said.

Attorney Mike Halloran, who represents the town of Hayden, declined to comment on the matter last week, because he has not yet reviewed the lawsuit.

To contact Melinda Dudley, call 871-4203

or e-mail mdudley@steamboatpilot.com

Comments

inmyopinion 6 years, 11 months ago

condoguy- you are correct. Mr. Johnson is both the developer and the listing broker, he does offer a co-op commission to buyer brokers.

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thecondoguy1 6 years, 11 months ago

knowitall, I am not here to defend the Realtors, they do that for themselves everyday and seem to do just fine, Mr. Johnson is a terrific example of one who has the go it alone business model, something went wrong, maybe he should have invested in a little help. I know how you feel it's wise to be aware of expenses doing a real estate transaction 6% of a million bucks is 60 grand, you don't need a PHD to figure that out. I have always found it profitable to deal with professionals, my plumber and landscaper don't have MBA's either, but I do, I want to use it working smart and making the big money, not trying to cut corners because I am bitter or jealous over what a vendor makes in the deal. Getting petty and cheap is no substitute for prudence, skill, and diligence. Good luck at all you do..........

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peabrain 6 years, 11 months ago

knowitall, clearly your moniker is a farce. Get you head out of the sand and do a little homework before you place your fingers on the keyboard.

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ColoradoNative 6 years, 11 months ago

In September, construction was halted at Lake Village, the first phase of the Villages at Hayden development, and Hidden Springs Ranch because of an ongoing legal dispute between the developers and their primary contractor.

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inmyopinion 6 years, 11 months ago

know it all- Realtors have nothing to do with this article. After reading your posts on various articles, i have formed the assumption that you have serious class envy, and are bitter that anyone has made money off of real estate investments in the Yampa Valley. If you are going to make a comment about Relators and your ooinions of them, at least have a good reason.

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ColoradoNative 6 years, 11 months ago

I think you nailed it. It's obvious he missed the boat!

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STEMBOATwannabe 6 years, 11 months ago

You should read your comments KNOWITALL, because you do not sound too intelligent. Being cocky is not a way to express your opinion.

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thecondoguy1 6 years, 11 months ago

what a guy..................... I hope the Realtors are able to get their buyers earnest money returned, and the puplic is not caught up in this mess.

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thecondoguy1 6 years, 11 months ago

I don't see where a local Realtor was ever hired to market this property, I believe Roger Johnson the big shot developer, listed these homes for sale, and likley cooperated with the Realtors for buyers. We better hope next time a local Realtor is involved, it takes big money, not big shots to pull off a community like this.

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colowoodsman 6 years, 11 months ago

I did some work for 4-S and Robinson at Hidden Springs and I would not look forward to working with them again. Lots of questionable practices including legal status of workers. If Routt Co. is so desirable for rich people to live here why wouldn't workers want to live here to if they could afford it??? And I agree with knowitall 'realators suck'. I can remember when they started selling lots at Steamboat Lake and Stagecoach. What promises they made. Then both those developers went bankrupt!

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stompk 6 years, 11 months ago

I don't think one can blame the real estate agency.

It's the greedy developer. And who financed it? That is who stopped the project. The suits.

But the contractors are who took a beating. And that is the public.

This is just the beginning though, in my opinion.

We are going to see all of these big developments slow down or even come to a halt.

The big investment companies are going broke, and borrowing from Korea and China.

The dollar value is way down, while gold is way up. Inflation.

Common folks with mortgages are borrowing their equity to stay afloat, and maxing out credit cards.

American Express, says they are having trouble getting payments. Why?

Recession is on.

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