Developer Donald Trump's plans to build a luxury hotel in Aspen, Colo., were thwarted last month when Rosslyn-based Hadid Development Corp. outmaneuvered the New York real estate magnate to buy a six-acre site at the base of Aspen Mountain.
A group headed by Mohamed Hadid, the Savannah Partnership, paid $42.8 million cash for the proposed hotel site and an additional 66 acres that includes a residential area and a 60-acre meadow that is home to the Aspen Music Festival.
"This is our first major project outside of the D.C. area," said John G. Sarpa, senior vice president for Hadid. "Through some new financial strength we were able to look at a project like this," he said.
Sarpa said Hadid Development Co. has reached an agreement with the Atlanta-based Ritz Carlton chain to manage and operate the hotel.
Trump was close to acquiring the property from Commerce Savings of San Antonio after it was repossessed from a financially troubled Texas developer. The New York developer agreed to purchase a 12-acre parcel in the center of Aspen for $17.5 million. But before the transaction could be completed, Hadid took advantage of a Colorado law that allows a creditor to buy foreclosed property by paying all previous debts. Hadid worked with a creditor, Mainland Savings Association, to pay off the $42 million overdue loan and redeemed the site.
"We put up the cash, all of the documents are signed, and we're waiting for the 25-day period under the Colorado stature to elapse," Sarpa said. Hadid will take title on Aug. 4.
Plans for the Aspen site include a $100 million, 447-room resort hotel at the base of the mountain and a high-end residential area at the "Top of the Mill," a six-acre site that borders the finish line of the World Cup ski races.
A spokesman for Hadid estimates that the company has $300 million to $400 million worth of projects under way, with a total of 3 million square feet of space under control, built or planned.
In other developments in commercial realty:
Peat Marwick Main & Co., a national accounting firm, signed a 10-year lease for 156,000 square feet at 2001 M St. NW from Post Office Box Associates.
Public Utilities Reports Inc., a public utilities association, signed a 10-year lease for 17,768 square feet at Colonial Village I, 2611 Wilson Blvd., Arlington from Colonial Village Center Associates.
Semcor Inc., a defense contractor to the Navy, signed a 5-year lease for 34,773 square feet at Airport Plaza I, 2711 Jefferson Davis Hwy., Crystal City, from Airport Plaza Associates.