Entrepreneurs Who Bought the Ghost Town Cerro Gordo Had Already Spent This Much to Turn the Place into a Luxury Destination
It’s not every day that an entire town shows up on the market, so when the vast ghost town Cerro Gordo in California was up for grabs, there were no questions why investors geared up and saw potentials of the former mines. But if you were the new owner, with hundreds of acres of land, what would you do with it? A business-minded person would instantly know that the property could easily generate income.
Remote Ghost Town
Don’t be fooled. Cerro Gordo is 200 miles away from the bustling Los Angeles, which means you can spend life at this town in serenity. It sits on the border of the Owens Valley’s Inyo Mountains near the Death Valley National Park. The name of this 150-year-old ghost town literally means fat hill in Spanish and which contains 22 structures.
But if you’re planning to stay at the Old West town, you most likely enjoy long drives because it’s basically remote and isolated. The nearest grocery is 25 miles away in Long Pine, so forgetting sugar or salt from your weekly supermarket-shopping is certainly going to be a hassle.
Strolling in the 300-acre property will feel like you’re in the 19th century with all the antiques and houses left the way they were – from the piano to the bloodstains.
History of Cerro Gordo
The town’s rich history is what makes it even more special. Pablo Flores learned that the town was rich in silver and began mining operations in 1865. Two years later, the word got out and eventually, it drew other prospectors to the site.
But it was more than just silver as others started digging for ore and lead, which all halted in the 1870s, when the minerals became scarce, cases over the mine ownership ensued, and a decline in silver and lead prices happened. However, the operations were revived by the 1900s, thanks to the advancements in technology that pave way for easier ore processing and discovery of zinc carbonates.
Cerro Gordo was first offered with a $925,000-price tag on June 2 last year. Brent Underwood and Jon Bier, two relatively young businessmen, snatched the place for $1.4 million, which was accepted on June 20, and the deal was sealed on July 13, seemingly a reference to the eerie vibe of the place.
Insiders claimed that there were other investors who bid at a higher price, but the two were awarded after promising they intend to respect the heritage.
Luxury Destination Plans
So, what do the young gents plan with the place? Apparently, they plan to feed on an urban legend on the ghost town that three ghosts are residing – one who died during a mess-up in a card game, another was a brothel owner, while the last remains unknown. The spooky rumors behind the town can make anyone back out of the property but not for the two, who loved the place even more after learning about the tales.
Brent and Jon had already spent close to $2 million and have just realized how costly it is to turn the place around.
They shell out $10,000 a month to run the place (payroll, wi-fi, loan payments, etc.), only three buildings have water supply, and fixing the broken water pump would set them back by hundred thousand dollars. In short, making this ghost town into their dream luxury destination is not a walk in the park but they are determined to still do so.
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