Ski company gets more Park Avenue project development rights

ASC, which already planned to develop the Grand Summit Hotel and build a gondola to its Heavenly Ski Resort, will also develop the Lake Tahoe Inn.

"It became clear to us that the project wasn't going to go ahead on time as the community wanted," ASC chief Les Otten said of the decision to take on another piece of the project.

ASC will have 273 rooms in the Grand Summit Hotel and about 500 rooms in the Lake Tahoe Inn.

HKM Partners had the original rights to the inn, but sold to Canada-based Trilogy Development Corp. When Trilogy stepped out, ASC stepped in. The dollar amount of the agreement wasn't disclosed.

"Everyone concerned wanted to see the project move forward in 1999," said Dennis Harmon, Heavenly's managing director. "Trilogy didn't think they could make that deadline."

When redevelopment plans began about 10 years ago, the gondola was the only piece of the project planned by Heavenly, then owned by Kamori International Corporation. ASC purchased the resort in August 1997.

Besides the two hotels and gondola, the project will include retail shops, a cinema and ice rink.

Demolition of the 1950s-era buildings between Park Avenue and Embassy Suites Resorts on the south side of U.S. 50 is expected to begin in May 1999.

Between now and then, final architectural plans will be made by the developers while the city Redevelopment Agency begins negotiations to buy out business in the demolition area.

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