Stoweflake file photo.
by Timothy McQuiston, Vermont Business Magazine
The auction of the Stoweflake Mountain Resort will not take place. Thomas Hirchak Company was scheduled to conduct a foreclosure auction on July 14 at 11 am for the Stoweflake Mountain Resort and Spa at 1746 Mountain Road in Stowe.
Tyler Hirchak, CAI, told VermontBiz that, "It is currently cancelled at this point."
The hotel is again taking reservations and the receptionist said that the owners are planning renovations.
The auction, initially scheduled for May 15, comes four years after the family-owned resort and spa, famous as a wedding venue, was sold by the Baraw family in December 2021 to a New York firm. It was again sold in April 2024 to a Massachusetts-based firm, which owns a handful of other Vermont hotels. The total amount owed is over $15 million. The Superior Court, Lamoille Division (Hyde Park) ruled in March that the property can be foreclosed and can be sold to the highest bidder at a public auction.
According to the Morrisville-based Hirchak company, the property features 116 hotel rooms, a four-bedroom rental residence, and 1,200± square feet of leasable, street-level commercial space. Additionally, participation in a managed rental pool of 32 privately owned townhomes offers potential for up to 64 supplementary revenue units.
The property also features a 22,000-square-foot conference center, a 40,000-square-foot Spa and Sports & Wellness Center (currently not open), indoor and outdoor pools, tennis courts, racquetball and squash facilities, and a nine-hole par-three golf course. The on-site restaurant (currently not open) offers seating for up to 165 guests, enhancing the resort’s full-service appeal.
Tyler Hirchak told VermontBiz that the plaintiff, M2 Stowe LLC, financed the purchase by JMH Stowe and can now sell it at auction or potentially take it over themselves. There is no contingency.
In December 2021, MCR Development from New York City — the country’s 4th-largest hotel owner-operator — acquired the Stoweflake for $13 million. The resort was founded, owned and operated by the Baraw family since 1948.
That ownership was short-lived as the resort was sold again in April 2024 to Jamsan Management of Lexington, MA, Massachusetts for $19 million, according to the Stowe Reporter.
Jamsan Management also owns four other hotels in Vermont, including the Delta Hotel in South Burlington, The Fairfield Inn in Williston, the Best Western Plus in Waterbury and the Capitol Plaza Hotel in Montpelier. The Stoweflake is still listed on Jamsan’s website but the reservation link was not able to complete a transaction. Jamsan has not yet responded to a request for information about the legal action or the status of the hotel.
JHM Stowe, LLC and Ashok Patel are listed as defendants in the foreclosure case brought by M2 Stowe LLC. Efforts to reach M2 Stowe or its registered agent have been unsuccessful. Ashok Patel is listed as VP of Development at Jamsan Management.
According to the Vermont Secretary of State’s office, the Registered Agent on file for M2 Stowe LLC is Corporation Service Company (CSC), located at 100 N Main St Ste 2, Barre, VT 05641. The company's principal address is 1503 LBJ Freeway Suite 300, Dallas, TX. CSC describes itself as a leader for business, legal, and financial services worldwide. It is the preferred solutions provider for more than 90% of the Fortune 500. The company offers deal and transaction services for corporations, law firms, financial institutions, and real estate companies. It offers registered agent and matter management services and solutions, litigation management systems, and document management services. It says it has 8,000 people in the organization.
Registration for the May 15 auction begins at 10 am. There will be no open house.
Overview of the Case
The Vermont Superior Court, Lamoille Unit, issued a foreclosure judgment March 7, 2025, against JHM Stowe, LLC and Ashok Patel following a complaint filed by M2 Stowe LLC on August 5, 2024. The judgment, dated March 5, 2025, ordered the foreclosure and public sale of Stoweflake Resort, located at 1746 Mountain Road, Stowe, Vermont, due to outstanding debts.
Financial Details
The total amount owed under the December 21, 2023 promissory note includes:
- Principal: $13,405,000.00
- Accrued Interest (as of March 5, 2025): $1,692,335.34
- Court Costs: $317.93
- Recording Fees: $90.00
- Service of Process Fees: $135.00
- Attorney's Fees: $18,692.19
Total Due as of March 5, 2025: $15,116,570.46, with additional interest accruing daily at $4,407.30 per diem until redemption.
Property Description
The foreclosure order covers:
- Real Property: Stoweflake Resort at 1746 Mountain Road, Stowe, Vermont. The mortgage was recorded in Book 1214, Pages 311-322 of the town's land records on December 22, 2023.
- Personal Property: All business assets, including accounts, contracts, deposit accounts, equipment, inventory, investment property, and more.
Redemption Rights
- JHM Stowe, LLC can redeem the property by April 10, 2025, by paying the total amount due to the Clerk of the Court before 4:30 p.m..
- Redemption is also possible up until the public sale date under 12 V.S.A. § 4949(a).
Foreclosure & Public Sale Process
If JHM Stowe, LLC does not redeem, the court will:
- Issue a Certificate of Non-Redemption.
- Order the public sale of the property to the highest bidder, within six months of the last redemption date.
- Require public notice: The sale must be advertised in a local newspaper for three consecutive weeks before the auction and mailed to all involved parties.
- Conduct the auction at Stoweflake Resort, with a required deposit of $50,000 in cash or certified funds.
- Confirm the sale and distribute the proceeds under court supervision.
Deficiency Judgment
If the sale proceeds do not cover the full debt, the plaintiff (M2 Stowe LLC) may seek a deficiency judgment against the defendants.
Appeal Process
Defendants can file a motion to appeal within 10 days of judgment entry.
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