Owens Financial, the owner of the mixed-use development project known as Chateau at the Village, is looking for a buyer, or buyers, for the 11.5 acre area in South Lake Tahoe once known as "The Hole."
The Walnut Creek based financial company has revived the area with Phase One of the development completed with retail and restaurants, and Phase Two underway. Owens Financial has no interest in continuing with the next two phases so the property is up for sale according to Jeffrey Hutchins, a vice president with Kidder Mathews of San Francisco, the company acting as exclusive agents for the seller.
Being billed as a "retail and large-scale residential development site," the Chateau comes with no listing price.
Between acquisition of the 29 parcels that make up the Chateau project area, site preparation, design, fees and construction, Kidder Mathews says over $42 million has been spent by Owens Financial to date.
Benjamin Pollock, Senior Vice President of the San Francisco based real estate company, said potential investors can look at those figures, and the value of entitlements for 450 additional residential or hospitality units that come with purchase to evaluate the value.
"We have been marketing the property for a few months and are receiving strong interest," said Pollock. "We are encouraging bidders to submit offers based on what makes sense to them rather than providing them general pricing guidance."
He said the owner will consider a sale of the entire Chateau development site to one buyer or of separate phases to different buyers. Condominiums, timeshares or hotel rooms could be built on the property.
The second phase currently being built will have 30 high-end condominiums on the two upper floors of the three story project, and 20,000 square feet of retail space at street level. This phase is known as Zalanta, and local real estate company Chase International is handling the sales for the condominiums which range from $895,000 to over $2 million. Over 70 percent of the units have reservations for them (they cannot be sold until the project is completed).
"Chase International will remain the agents for the Zalanta," said Pollock. "The 30 units at the Zalanta project will proceed to be built and sold independently of the sale of the rest of the Chateau project."
"We hope to see the project continue as permitted," said Tom Lotshaw, spokesperson for the Tahoe Regional Planing Agency.
While the future owner could use the Chateau area for something other than already permitted, they would be required to request a plan revision, one that is consistent with the current area plan.
"I really hope they're able to attract a developer and finish the project," said Nancy Kerry, City of South Lake Tahoe City Manager.
To see the 24-page sales flyer, visit Kidder Mathews website.