Value of project shared by developers is more than double the valuation of all construction in Steamboat Springs in 2023, but it won’t contribute to local housing.
Editor's Note: This story incorrectly stated the date of Steamboat Springs City Council’s second reading public hearing about a lavish development proposed at the base of Steamboat Resort. That second reading is scheduled for Tuesday, Jan. 7.
One of the last empty lots adjacent to Steamboat Resort’s base area will be filled with a part hotel, part condo project that developers boast is worth $500 million — a value that is more than double the valuation of all construction in Steamboat Springs in 2023.
The project, called The Stockman, will include 41 hotel rooms and 204 condos on a on land between Slopeside Grill and T-Bar and includes an extension of the base area promenade. Alterra Mountain Company, which owns Steamboat Ski & Resort Corp. is a development partner on the project and owns the land.
Steamboat Springs City Council approved the development plan unanimously on first reading Tuesday, with second reading scheduled for Jan. 7.
“I really like this project, I think it is really well thought out,” said Council member Steve Muntean, prior to approval. “I think this will really be a catalyst to really get that whole area developed up there, which has really been kind of an eyesore for a long time.”
The value of all construction in Steamboat Springs set a new record in 2023, when it was more than $228 million, according to numbers from the Routt County Regional Building Department. The Stockman’s value is not only said to be more than double that number, but it would also exceed the value of all development in Routt County — including Steamboat development — in 2023, which neared $406 million.
Co-developer Craig Cavileer with Fort Worth-based Majestic Realty Co. told Council it was a $500 million project on Dec. 3 as part of his argument for why they shouldn’t postpone consideration. Council did postpone consideration until Tuesday because the Planning Commission minutes for this project were delivered to Council late after Thanksgiving and not all members had a chance to review them.
The Stockman — seemingly the highest-valued single development ever in Steamboat Springs — is not required to make a contribution toward affordable housing locally as part of approval.
While Council Members have discussed the idea of adding requirements for new developments to contribute toward affordable housing in some way — often referred to as inclusionary zoning — no such requirements are currently in place.
“We knew we didn’t have to do any housing,” Cavileer said, when asked what community benefit the project was going to provide. “This is one of the few properties that you will see really anywhere in the country that is fully open [to the public] first floor, 365. That was really our commitment, as there was no other commitment for us to provide for housing.”
“There is substantial economic benefit directly to the city, also to the county,” Cavileer continued. “There is a lot of output out of here that could be reinvested thoughtfully.”
Council member Dakotah McGinlay acknowledged that the project would likely lead to more tax dollars for the city, but it would also add to the services it needs to provide.
“To develop more and more without also providing specific carveouts for housing and transit,” McGinlay said. “I think it is important to acknowledge that that is not a part of this proposal.”
The city’s former community housing ordinance, which required developers to provide deed restricted units, dedicate land or pay a fee was repealed in 2019, after an extended suspension of those regulations that spanned seven years starting in 2013. Then Council member Heather Sloop, who was in the minority of that 5-2 vote, warned at the time repealing the ordinance was “short-sighted.”
“It remains our problem,” said Council member Joella West on Tuesday. “We are not in a position to ask the developer to solve our housing problem at that level. … They are solving a different problem that is also important here.”
“I do think developers have a role in helping the city with affordable housing and I think as council we probably need to talk about that,” said Council member Amy Dickson.
The Stockman occupies land that was once the Thunderhead Condominiums but has been vacant since 2008. The building will front Ski Time Square Drive and utilize a fully electric snowmelt system.
“We really see the entire ground plane of this facility as a community amenity,” Cavileer said. “It’s really a zero entry fee into all of our public spaces.”
The building required three largely uncontroversial “major variances” to be approved, each endorsed by Steamboat planning staff. Senior City Planner Kelly Douglas said the project not only meets the city’s development code requirements for approval with conditions but that it aligns with the Mountain Area Master Plan and Steamboat Springs Area Community Plan as well.
The first variance was related to retaining wall standards, which require walls over six feet to be stepped, rather than one tall wall. Staff recommended approving this variance because it allows for the promenade extension and compliance with Americans with Disabilities Act requirements.
The second variance is to building massing standards, which require building designs to have a step-back when taller than three stories. Douglas said most of the building does meet the standard, but a few areas where stairwells are located did not. Douglas noted this variance is somewhat common.
The final variance had to do with roof form standards, essentially the shape of the roof. The standards call for roofs to slant out at a certain slope, allowing snow to slide off the side of the building. Because of the height of this structure, developers designed a handful of roof sections to slide in, to avoid snow falling onto sidewalks and the main driveway.
“I do like the project and I think when looking at this, the variances are reasonable from a design standpoint,” said Council member Michael Buccino. “This does get my approval.”