Vermont — This past spring, Burke Mountain Resort was sold to a group of investors after being under a federal receivership for around a decade. This occurred in a Ponzi scheme-like situation that scammed many foreign investors. These individuals expected to gain citizenship or a green card by growing Burke Mountain and Jay Peak. That seemed to be the final piece of the puzzle, concluding the EB-5 saga. Or was it? There was, in fact, another significant matter of business that needed to be addressed: the investors.
VTDigger reports that a settlement has officially been reached with the investors. These investors will receive $183,322. This represents approximately 36% of $500k, which was the minimum amount that these individuals paid to finance the projects at Burke Mountain Resort. This payment will be given to the 121 EB-5 investors who invested in Burke Mountain.
This money comes from the $11.5 million that came from the sale of Burke Mountain Resort earlier this year. There’s also approximately $10 million from a settlement with Raymond James regarding the investors, which will be allocated towards the sale. The total allotment distributed amongst the investors will be $21,940,000.
Over at Burke Mountain, work continues on offseason improvements, which include needed snowmaking upgrades. The new owners plan to invest millions in the next few years, which will include the development of new trails, snowmaking upgrades, and the modernization of the ski resort’s infrastructure.
Image Credits: Burke Mountain Resort
