Residents Push Colorado Town To End Eldora Ski Area Purchase Immediately
Nederland’s increasingly complicated effort to buy Eldora Mountain Resort is facing growing opposition from residents who want town leaders to end the deal before more money is spent trying to make it work.
Residents packed the Nederland Board of Trustees meeting this week, with multiple speakers questioning whether the town should continue pursuing the Boulder County ski area from POWDR. The opposition comes as Nederland works to restructure a financing plan that has already missed its original closing timeline and failed to attract enough investor support in its original form.
The town is trying to buy Eldora for $120 million and has authorized up to $225 million in revenue bonds to finance the purchase, transaction costs, reserves and future capital needs. If the deal does not close, Nederland estimates it could still be responsible for approximately $2.5 million in expenses tied to the attempted acquisition.
(comments on Eldora begin @ 20:26)
The $2.5 Million Question
That potential loss has become one of the biggest issues surrounding the deal.
In a Sept. 30 update, Nederland said transaction-related costs would total approximately $2.5 million if the acquisition fails to close. The town says those expenses would be covered through investments it began making in 2023.
If the deal closes, those costs would instead be reimbursed from bond proceeds.
That leaves trustees weighing two difficult options. Walking away now would mean absorbing millions of dollars in expenses without acquiring the ski area, while continuing to pursue the deal could require more time, restructuring and additional costs.
Some residents argued that money already spent should not be a reason to continue with an acquisition they believe presents too much financial risk.
The Original Financing Plan Didn’t Work
Nederland originally planned to finance the purchase through revenue bonds backed by money generated at Eldora rather than local property taxes, sales taxes or the town’s general fund.
Trustees authorized the Mountain Recreation Enterprise to issue up to $225 million in bonds, even though the ski area’s purchase price begins at $120 million.
The additional borrowing capacity was intended to cover financing costs, reserves, improvements and other expenses associated with the transaction.
Investor concerns eventually forced Nederland to reconsider the structure.
Potential bondholders reportedly wanted stronger security tied to Eldora’s assets and less leverage in the transaction. The original purchase agreement with POWDR also expired before financing was completed, although negotiations have continued.
Nederland is now working on a sale leaseback structure intended to make the bonds more attractive.
Under the proposed arrangement, POWDR would sell Eldora to Nederland, which would then transfer title to a bond trustee representing investors. The trustee would lease the ski area back to Nederland, allowing the town to operate the resort while the debt is repaid.
Once the bonds were paid off, ownership would transfer back to Nederland’s Mountain Recreation Enterprise.
Another $20 Million Could Be Needed for Improvements
Nederland is also looking beyond the purchase price.
The town has been exploring approximately $20 million in philanthropic or outside funding for future improvements at Eldora rather than placing those costs on the ski area’s balance sheet.
Potential projects include the approved Jolly Jug terrain expansion, replacement of the Corona lift, a mountaintop lodge and additional summer operations.
Nederland’s current Eldora FAQ says the financing is being structured so repayment comes from ski area revenue rather than property taxes, sales taxes or the town’s general fund.
Town leaders have argued that Eldora can generate enough money to cover operations, debt payments, maintenance and reserves.
Residents questioning the deal have focused on whether those projections leave enough room for unexpected costs, weak winters or future capital needs.
A Deal That Has Become Much More Complicated
When Nederland began exploring the purchase, the idea of community ownership attracted significant attention.
Town leaders presented Eldora as more than a ski area. They envisioned a publicly owned resort that could support local jobs, keep the mountain connected to the community and potentially generate revenue for future public projects.
By early 2026, trustees had approved the $120 million purchase and authorized the bond financing needed to pursue it.
Unofficial Networks reported earlier this month that the transaction had fallen behind schedule as Nederland struggled to finalize financing and the exclusivity period with POWDR expired. The latest meeting marks another significant shift.
The challenge is no longer simply finding a financing structure that works. Town leaders are now also dealing with residents openly calling for Nederland to stop pursuing the purchase altogether.
For now, POWDR remains the owner and operator of Eldora Mountain Resort, and the proposed sale is not expected to affect normal ski operations this winter.
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