chevymadman
07-17-2007, 12:42 PM
Bid upped in indoor ski resort deal
Riverhead Resorts offers town $110M in seeking to build lake and indoor ski mountain in Calverton
BY DANIEL WAGNER
daniel.wagner@newsday.com
http://www.newsday.com:80/search/ny-bzriv135290851jul13,0,447064.story
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July 13, 2007
Riverhead Resorts Llc, the group that is proposing a massive family resort in Calverton that includes an indoor ski mountain and a large man-made lake, has raised its bid for the 755 acres of town-owned land from $100 million to $110 million, according to Morton Weber, lead partner with the Weber Law Group in Melville.
"We have offered $110 million to close on the deal, and we intend to go forward with the project," said Weber, whose firm is representing the proposal.
The matter puts to rest a request by Riverhead Resorts' competitor that the Riverhead Town Board "show strong leadership" by avoiding a bidding war like the one that broke out for 300 acres of industrial-zoned land also in the Enterprise Park at Calverton, or EPCAL.
"One hundred ten is better than 100," said Riverhead Town Supervisor Phil Cardinale yesterday, "but my board and I have to make a real assessment of the property's value and its associated usage."
Last month, while addressing the Riverhead Town Board on behalf of Riverhead Resorts competitor Riverhead Destination Group Llc, which also had offered $100 million for the land, RexCorp Realty head Scott Rechler said such bidding was not appropriate for the recreational site because the town board should subscribe to a preferred vision and work out the details later.
Riverhead Destination Group has proposed EPCAL Centre - also a multiuse family resort, but one that includes a 10,000-seat race track and a driving course, as well as equestrian portions, time-share-style residential units and other family-oriented resort amenities.
Cardinale said he had asked Riverhead Resorts for more information - including the square footage of proposed buildings, assurance that the proposed 350-foot-high ski mountain complies with Federal Aviation Administration regulations governing the adjacent airstrip, the number of time-share units and details about the proposed lake. The town wants to compare that proposal with EPCAL Centre, which has so far provided more detailed planning information.
"I can't compare them without the height thing, the lake thing, the square footage thing," Cardinale said.
He said the town board is giving both proposals serious consideration.
Rechler said he was not surprised that Riverhead Resorts had raised its offer, given Cardinale's statement at last month's hearing that he expected a higher bid. But he maintained the board should decide which project it prefers before pursuing negotiations over the sale value of the land.
"I don't want to play ping-pong on price," Rechler said. "I'm not saying we would not be willing to propose additional dollars, but we would not do it in the vacuum of a bidding war."
He said it is possible that some aspects of the competitor's proposal - such as the energy consumption for the ski mountain and the environmental approvals for the lake - might prevent it from being built.
"Anyone can offer as much money as they want, but if their offer on a project is on a project that isn't feasible, it's irrelevant," Rechler said.
But Weber said that based on a study his clients had commissioned from Ledo International Inc. - "probably one of the world's finest consulting firms" for theme parks and similar attractions - Riverhead Resorts' team is confident that its project "works economically, it works environmentally; and we believe it will work as to the lake, as to the FAA, as to the zoning and square footage."
Riverhead Resorts offers town $110M in seeking to build lake and indoor ski mountain in Calverton
BY DANIEL WAGNER
daniel.wagner@newsday.com
http://www.newsday.com:80/search/ny-bzriv135290851jul13,0,447064.story
Email this story
Printer friendly format
July 13, 2007
Riverhead Resorts Llc, the group that is proposing a massive family resort in Calverton that includes an indoor ski mountain and a large man-made lake, has raised its bid for the 755 acres of town-owned land from $100 million to $110 million, according to Morton Weber, lead partner with the Weber Law Group in Melville.
"We have offered $110 million to close on the deal, and we intend to go forward with the project," said Weber, whose firm is representing the proposal.
The matter puts to rest a request by Riverhead Resorts' competitor that the Riverhead Town Board "show strong leadership" by avoiding a bidding war like the one that broke out for 300 acres of industrial-zoned land also in the Enterprise Park at Calverton, or EPCAL.
"One hundred ten is better than 100," said Riverhead Town Supervisor Phil Cardinale yesterday, "but my board and I have to make a real assessment of the property's value and its associated usage."
Last month, while addressing the Riverhead Town Board on behalf of Riverhead Resorts competitor Riverhead Destination Group Llc, which also had offered $100 million for the land, RexCorp Realty head Scott Rechler said such bidding was not appropriate for the recreational site because the town board should subscribe to a preferred vision and work out the details later.
Riverhead Destination Group has proposed EPCAL Centre - also a multiuse family resort, but one that includes a 10,000-seat race track and a driving course, as well as equestrian portions, time-share-style residential units and other family-oriented resort amenities.
Cardinale said he had asked Riverhead Resorts for more information - including the square footage of proposed buildings, assurance that the proposed 350-foot-high ski mountain complies with Federal Aviation Administration regulations governing the adjacent airstrip, the number of time-share units and details about the proposed lake. The town wants to compare that proposal with EPCAL Centre, which has so far provided more detailed planning information.
"I can't compare them without the height thing, the lake thing, the square footage thing," Cardinale said.
He said the town board is giving both proposals serious consideration.
Rechler said he was not surprised that Riverhead Resorts had raised its offer, given Cardinale's statement at last month's hearing that he expected a higher bid. But he maintained the board should decide which project it prefers before pursuing negotiations over the sale value of the land.
"I don't want to play ping-pong on price," Rechler said. "I'm not saying we would not be willing to propose additional dollars, but we would not do it in the vacuum of a bidding war."
He said it is possible that some aspects of the competitor's proposal - such as the energy consumption for the ski mountain and the environmental approvals for the lake - might prevent it from being built.
"Anyone can offer as much money as they want, but if their offer on a project is on a project that isn't feasible, it's irrelevant," Rechler said.
But Weber said that based on a study his clients had commissioned from Ledo International Inc. - "probably one of the world's finest consulting firms" for theme parks and similar attractions - Riverhead Resorts' team is confident that its project "works economically, it works environmentally; and we believe it will work as to the lake, as to the FAA, as to the zoning and square footage."