California company closes on Cordillera purchase
December 28, 2012
EDWARDS, Colorado – A California company partly owned by David Wilhelm closed Friday on the $14.2 million deal to buy the Club at Cordillera out of bankruptcy.
Earlier this month, Wind Rose outbid one of Donald Trump’s companies and Alpine Bank at the bankruptcy auction. The bank was paid for a $12.5 million loan it had made to Cordillera.
Friday’s closing also ends the $108 million class action lawsuit Cordillera property owners filed against Wilhelm.
The Cordillera property owners association will receive Summit Athletic Club, Trailhead Children’s Center and Cordillera’s nine-hole Short Course.
A management company will run the club, said Dan Fitchett, chief executive officer for the Club at Cordillera.
“We are sensitive to the fact that this has been an arduous process. Consequently, we are focused on our members, and the Cordillera property owners, and the commitment we have to each of those stakeholders. Our goal is to improve the club experience and restore property values in the community,” Fitchett said.
Membership plunged after Wilhelm collected an estimated $8 million in membership dues, then opted not to open three of Cordillera’s four golf courses, just days after he said in writing that he would, former members said.
Former members who want to rejoin will have to pay $3,500, and their $12,500 dues each year for the next two years. Those dues cannot be raised for two years.
Wilhelm is an investor in Wind Rose Holdings, listed as a California investment group.
While Wilhelm remains a Wind Rose Holdings investor, he will have neither a management nor day-to-day operational role in the new structure at The Club at Cordillera, he said in a prepared statement.