Pitkin County approves $3.25 million to support resident‑owned purchases, adopts deed restrictions for two mobile home parks

Pitkin County commissioners on Sept. 25 approved an emergency ordinance adopting deed restrictions for the Aspen Basalt and Mountain Valley mobile home parks and confirmed a $3,250,000 grant to West Mountain Regional Housing Coalition to support resident purchases of the properties.

The actions complete steps needed by the lender for a planned closing in October and attach long‑term affordability controls to the parks. Ashley Pearl, Pitkin County housing and resiliency director, and April Long, director of West Mountain Regional Housing Coalition, described the documents and the loan structure to the board.

Why it matters: The measures are intended to keep the parks as manufactured‑home communities operated and owned by residents, preserve affordability for current residents and create rules for future sales. County staff and coalition leaders said the work brings together multiple local governments, private lenders and donors to prevent the parks from converting to market development.

Pearl told the board that Rock Capital USA is the senior lender on the acquisitions and that Pitkin County’s $3.25 million was required as demonstrated proof of funds while the loan package was assembled. April Long said the effort has been “amazing and incredible,” praising local government cooperation and community fundraising.

Key provisions and limits - The county’s contribution is structured as a subordinated loan that is repayable if the property is resold or in the event of default; the loan carries 6% annual interest and in some default scenarios the rate can increase (the senior lender’s loan term in the current package is 30 years). Pearl said Pitkin County will be in “fourth position” behind senior lenders for repayment. - The approved restrictive covenant (deed restriction) is recorded against each park and is intended to run with the property ‘‘forever, unless foreclosure,’’ Pearl said. The senior lender’s lien will take priority in a foreclosure; if there are insufficient sale proceeds to repay the county in full, repayment would be pro rata. - Current residents are grandfathered in. Future home buyers during a 60‑day priority window must be local workforce buyers (local employer and income under 200% of area median income); after 60 days the local‑workforce requirement drops but the 200% AMI cap remains. - Homes must be resident‑occupied; short‑term rentals of whole homes are not allowed, though renting a bedroom is permitted under the covenant rules and program policy. - The deed restriction includes a right of first refusal / right of first purchase for the full park only (not on individual units), and West Mountain Regional Housing Coalition is named as the primary enforcer with fallback enforcement rights if West Mountain is unable to enforce.

Officials acknowledged tradeoffs and remaining gaps. Pearl and April Long said the coalition and lenders included conservative estimates for capital needs and that some capital projects (sewer, encroachments, other repairs) remain to be addressed; the senior lender’s due diligence has reduced some anticipated capital demands but not eliminated them.

Pearl also told commissioners that the county and coalition will continue fundraising to cover gaps so lot rents remain affordable; she said the fundraising effort included contributions from Aspen Skiing Company, Atlantic Aviation and private donors and that additional fundraising and intergovernmental agreements are still expected.

Board response and vote Commissioners debated the timing and whether the county should ask for more subsidies; they ultimately voted to adopt the emergency deed‑restriction ordinance and to confirm the county’s $3.25 million contribution. Commissioner Greg Poshman said he was “optimistic and really grateful” for the local effort to preserve resident housing. The motions were seconded and passed (commissioners voted aye). Pearl said closing was scheduled for Oct. 13 and that the lender required the deed restriction adoption prior to disbursing grant funds.

What happens next Pearl and Long said the coalition will finalize the loan and closing, proceed with property transfers to resident‑owned entities and continue fundraising for rental assistance where lot rents increase beyond some residents’ ability to pay. The board was told a related intergovernmental agreement among participating local governments will return to the BOCC for action at a future meeting to describe how repaid funds would be distributed and who would assume enforcement responsibilities if the coalition cannot.

Speakers quoted in this article spoke during the Sept. 25 Pitkin County Board of County Commissioners meeting; quotes are drawn from remarks recorded in the meeting transcript.

Ending: Commissioners thanked coalition staff and volunteers and urged continued fundraising; county staff said they would return with any further procedural or funding items needed to complete the closings.