Receiver Seeks Court Approval of Burke Mountain Sale
The $11.5 million transaction could take place in early May.
Saturday, April 19, 2025, NewEnglandSkiIndustry.com
Burke Mountain may soon have new ownership if the receiver's Motion for Entry of Order Approving Sale of Burke Mountain Resort and Granting Related Relief is approved.
In a Friday court filing, government-appointed receiver Michael Goldberg requested permission to bypass the auction process and proceed with selling the area to Bear Den Partners LLC. According to Goldberg, the auction process used with the sale of Jay Peak in 2022 would not have the same result at Burke, as there is less interest and more potential stumbling blocks, such as a first-right-of-refusal with Burke Mountain Academy. According to Goldberg's motion, Burke Mountain Academy, the State of Vermont, and directors of the common recreation area have assented to the sale to Bear Dean Partners. According to the motion, Bear Den Partners is requiring a quick sale to begin capital improvements, and will withdraw its offer if an auction is ordered.
Established as a Vermont business entity on April 4, 2025, Bear Den Partners LLC's organizer is Kenneth Graham. The Graham family's trusts are the only entity with at least a 25% stake in the company. Other owners include Burke Mountain Academy and the Schaefer family (owners of Berkshire East, Catamount, and Big Red Cats). According to the receiver, "every principal of Bear Den Partners is a lifelong skier and outdoor enthusiast and has deep roots in the Northeast Kingdom."
Bear Den Operations Company LLC, Bear Den Water Utility Company LLC, and Bear Den Road Company LLC were established on April 14, 2025. A purchase and sale agreement was executed with the receiver on April 17, 2025. The agreement includes a clause that ensures continuity of existing employees as part of the sale.
According to the receiver, Bear Den Partners has committed to invest $10 million in short-term improvements and $20 million in the longer term, including "snowmaking, adding lifts and cutting new trails and building out the summer recreational offerings, as well as improving the guest experience by making hotel renovations."
Located in northeastern Vermont, Burke features two high-speed quads that serve a vertical drop of 2,011 feet. Ariel Quiros' Q Burke Mountain Resort, LLC acquired the area in May 2012 for $7.26 million, breaking ground on a $50 million hotel two years later.
The SEC took control of Jay Peak and Burke on April 13, 2016, alleging that Ariel Quiros and Bill Stenger were running a Ponzi scheme that was defrauding EB-5 investors. A Federal program created by Senator Ted Kennedy and championed by Senator Patrick Leahy, EB-5 allows immigrants to obtain a green card in exchange for investing $500,000 in a government endorsed business that creates ten jobs. In the case of the Jay Peak program, 20% to 25% of the investment was taken by developers and agents as fees. Stenger was released from prison on May 8, 2023, while Quiros is at Pensacola FPC prison with an expected release date of December 16, 2025.
No government officials involved in the EB-5 immigrant investment scheme have been charged.
According to VTDigger, the receiver and associated consultants have collected nearly $12 million for their services thus far.
