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HomeMy WebLinkAbout1.0 ApplicationFairy Caves Land Use Application - Submitted to: Garfield County Building and Planning Dept. Submitted on Behalf of : JMB Properties, Inc. PO Box 4491 Englewood, CO 80155 (303) 799-9828 ext. 152 and POW, INC. 5155 Raleigh St. Denver, CO 80212 Submitted By: Rock Creek Studio 220 Main Street Carbondale, CO 81632 970.963.1971 Date: September, 1998 Property Location: Section 3&4, Township 6 South, Range 89 West of the 6''` P.M., Garfield County, Colorado SOCK N CREEK MSTUD10_ APPLICATION Special Use Permit GARFIELD COUNTY PLANNING DEPARTMENT 109 Eighth Street, Suite 303 Glenwood Springs, CO 81601 Telephone: 970.945.8212 Facsimile: 970.945.7785 Submittal Date: Gene MBE `i, ) yq 3 Base Fee: $400 r,, P $EP 1 8 1998 i ALU cowry Applicant: M$ P ovetznes, Ii4L . Address of Applicant: PC. B0"/ 1414M i 451{,N.41:01)$0elephone: 3°3.211•18254/4152. Special Use Being Requested: COMMUCAAL EE C(Y 4PL. Pt(u py1 /PA Zone District: 2' Size of Property: 1 g •83 ACEE, A� Application Requirements: These items must be submitted with the application 1] Plans and specifications for the proposed use including the hours of operation, the amount of vehicles accessing the site on a daily, weekly and/or monthly basis, and the size of any existing or proposed structures that will be utilized in conjunction with the proposed use. Please submit this information in narrative form and be specific. 2] If you will be using water or will be treating wastewater in conjunction with the proposed use, please detail the amount of water that would be used and the type of wastewater treatment. If you will be utilizing well water, please attach a copy of the appropriate well permit and any other legal water supply information, including a water allotment contract or an approved water augmentation plan. 3] A map drawn to scale portraying your property, all structures on the property, and the County or State roadways within one (1) mile of your property. If you are proposing a new or expanded access onto a County or State roadway, submit a driveway or highway access permit. 4] A vicinity map, showing slope of your property, for which a U.S.G.S. 1:24,000 scale quadrangle map will suffice. 5] A copy of the appropriate portion of a Garfield County Assessor's Map showing all public and private landowners adjacent to your property. Include a list of all property owners and their addresses. 6] Attach a copy of the deed and a legal description of the property. If you are acting as an agent for the property owner, you must attach an acknowledgment from the property owner that you may act in his/her behalf 7] For all applications pertaining to airports, the oil and gas industry, power generation and/or transmission industry, or any other classified industrial operation, you must submit an impact statement consistent with the requirements of Sections 5.03, paragraphs 1 thru 3: 5.03.07, inclusive; and 5.03.08, inclusive. The consideration of this proposed Special Use will require at least one (1) public hearing, for which public notice must be provided. The Planning Department will mail you information concerning this hearing(s). approximately 30 days prior to the scheduled hearing. You will then be required to notify, by certified return receipt mail, all adjacent landowners and publish the notice provided by the Planning Department. in a newspaper of general circulation. Both these notices must be mailed/published at least 15 days prior to the public hearing The applicant shall bear the cost of mailing and publication and proof of mailing and publication must be submitted at the time of the public hearing. The informa contained within this application is complete and correct to the best of my knowledge: / n Applicant: Date Ctq • CA -1• '1 APPLICATION FOR A 7ONF. DISTRICTAil9 FNDIVMENT Garfield County, Colorado 9%Flr- 19 98 APPLICANT: ZI B PF -01W-41.5 ADDRESS OF APPLICANT: ?o• I3ag. 44.611 aM((L6 4Oc7D, Co 8b155 Proposed Zone District Lol Size: 'WO fta : 1141A -k/ ‘%C-0-4 Q ISL 'fit (0t 4L -Fet F,solu- f pnk# As A WPEuPL us6 ) M The Aix Zokg Dl s-rr_'t i WST t PPua at •cel,. -- Applicant's Signature In support of this zone district amendment application, the petitioner must submit all of the following information: 1. Zone District map of subject property 2. Leiter from the applicant staling the proposed zone district amendment and the reasons justifying the zone district. amendment 3. List downers of adjacent property and their addresses as listed in the County Assessors office, including owners of property separated by public right-of-way 4. Fee of 5450.00 - payable to the "Garfield County Treasurer" 5. Vicinity map showing relative location of the property 6. Legal description or copy of the deed to the property 7. Letter of consent from owner(s) of property if other than applicant Glenwood Springs Fairy Caves Garfield County, Colorado Zone District Text Amendment Special Use Permit Application I. Location and Background The Fairy Caves are located on a 78.83 parcel approximately .5 miles from the City of Glenwood Springs. A Vicinity Map is shown as Exhibit 1, and an Assessor's Map is shown as Exhibit 2. The property is currently owned by POW Incorporated and a deed is attached as Attachment A. Permission to pursue the application is attached as Attachment B. A 35 acre parcel is currently leased by JMB property for a period of fifteen (15) years, and all terms are disclosed on a copy attached as Attachment C. Exhibit 1 delineates the entire parcel as described by the Assessor's Office records, and indicates the portion of the property subject to the Special Use permit request. The property subject to the lease is the only portion of the property subject to the (Special Use Permit request. The applicant is requesting a Zone District Text ;amendment to include "Commercial / Recreational / Facility / Park" in the Agricultural/Industrial (A/I) Zone District as a Special Use. Following approval of the Text Amendment, a Special Use Permit is requested. The requested zone district text amendment would affect all properties in Garfield County currently zoned A/I. Only the property depicted on the lease and the attached site plan are subject the Special Use permit request. II. Project Proposal Proposed Operation and Improvements The applicant is proposing improvements on the site that would allow the re -opening of the Fairy Caves for public tours from approximately April to October, or as road conditions permit. The applicant intends on operating a maximum of twenty-four (24) van trips a day from the Hotel Colorado to the cave opening. The first two (2) years of operation, site improvements would be limited to the installation of a shade structure, a food cart, portable toilets and construction of trails and guard rails. An existing 36 1 1V'Itl . 1 Remaining Property Area Property Arca under lease 1000 _ 1000 2000 ,_ ., , . .. /Iola n,cohn,,,tiii, ,,,,N,, "1, „ , , • v IA • . . : . • • . Glen'il;oo rings nROCK MCKEEK M5TUDIO 10 Data Sources Parcel Ii -tin ASSCSSOCS lltiek. 1.d.1 SOS illemvotal Sim digs. Colorado, 7.5 Nlinule 1 2.1.000 Quadrangle .1, lap used as overlay COntoin • irilerva1 1011 I Photo retired 100- _ Fairy Caves Application Exhibit 1 Vicinity Map VISTA HEIGHIS SEC. 34 SUB DN. Subject Property v o SEC. ib%/UKK'i HILLS 3U0 DN. 4 4/ 'L ('/ 'I Stt �~ — j O 2185-05 /./ ipF "�\ 810105- . \ Z1S5-042 2185-043 ff TOY BOY fp 7 _. 1C -FTA 2185-091 CLENWOOD SPRINGS yA IC—I -2-4 2185-094 2185-094 -r IG -1 _ ToK Ex am pt Cfty r o.w.s. u' Fairy Cave s Application Exhibit 2 Assessor Map 1 inch I.-(0' 11ROCK NCREEK I%1STUDlo:. 1760 11 21.120) Tax Cxxeirq 7- 7 C -F Glly ur O. 2185-Li3 f)1) Fe 40 M. 4014.141 z1ab-1132 ' br r1 J1 2185-153 ,r 1s 00 City vlU of G.W.: Source: Parcel Map from Garfield County , Assessor's Office \lap 2185. 3920 5.280 2 structure on the site would be converted to a small gift shop. Site improvements necessary to ensure the safe operation and provide emergency access would include a twelve (12) foot wide roadway to be extended to a future cave portal and visitor center. The precise timing of the construction of the visitor center is highly dependent on the success of the tours, but is not expected to occur before the period of 2002 to 2004. The structure would be located within an approximate building footprint of 40' by 50', and would step back into the existing slope to limit unnecessary grading and minimize visibility from the valley floor. Additionally, a trail link would be established from the existing portal to a planned portal approximately 57 feet vertically below the historic entrance portal. An additional trail is contemplated to provide access from the existing entrance to an overlook of the Colorado River Valley. A proposed conceptual site plan is shown as Exhibit 3, and is focused only on the portion of the property currently disturbed and proposed for development. A cross-section of the site is shown as Exhibit 4. Water and Sewer Initially, the applicant intends on using a cistern for water needs and portable toilets for waste disposal. At the time a building permit application for the visitor's center is submitted, the applicant will obtain an exempt well permit and submit an ISDS application. Due to the prevailing soil conditions on the site, it is likely that an engineered ISDS will be required. Percolation tests will be performed as part of the ISDS application process. The structure will not exceed the twenty-five (25) foot height limitation imposed by the A/I zone district, and will meet all setback and lot coverage requirements of the zone district. Access Access to the site is via Transfer Trail from the intersection with US 6 & 24. The lower reaches of Transfer Trail is a deeded public roadway. A portion of Transfer Trail traverses BLM property, and the applicant has met with BLM officials several times to ensure compliance with applicable policies. The BLM requested that the applicant have an engineer review the roadway and make recommendations regarding improvements to the roadway. A full discussion of likely traffic impacts and proposed mitigation is included within the Special Use Permit request. A copy of the easement granted for the portion of the roadway providing access from Transfer Trail is included within the application as Attachment A. Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit Pi ROCK CICREEK L157UDI0,. 1 1 1 I 1 1 1 1 a) 0 a) cpa)0_ a) a) 0) ID a • E 0 x , > :-4's_ (7) -4 In )1. CI) < • 1— A Switchback • • c • • • • 0 • • " ua). • • ..) • • • • -4 as • • o • • • 0 • • r, • • _ • 00 • • Cr) • _ • 92 (1) 00 M A C\1 -o 4 ) A (13 -o 0 0 New Road (340' @ c (/) a) > -o 0 0 a) Fairy Caves Application Exhibit 4 Cave Cross Section 3 III. History The historical "Fairy Caves" are located on approximately 40 acres 1 miles north of the City of Glenwood Springs. These caverns are considered some of the most intriguing caves of there kind in the State of Colorado. The Darrow family originally homesteaded the property in the late 1800s. In 1886, C.W. Darrow opened the Fairy Caves for public tours. In 1895 the cave tour was further refined to include pathways and electric lighting. In 1897 a tunnel was blasted to the cliff face providing a breathtaking view of the City of Glenwood Springs and the Colorado River valley nearly 1,200 feet below. Access to the cave was via Transfer Trail by horse or carriage. The cave remained open to public tours until 1917 when the cave was closed due to World War I. In 1960 a small opening, later called "Jam Crack", was found in the back part of the known cave. This subsequent discovery lead to the exploration of the lower sections of the cave system, which quadrupled the length of the cave. In 1961, POW, Inc. purchased the cave and 78.83 acres in hopes of reopening the property as a commercial tourism opportunity. During the Last thirty-eight years several additional rooms and passageways were discovered which brought the total surveyed length of the cave to nearly two (2) miles. The cave and property have remained idle since POW, Inc. purchased the property, with very few people obtaining access to the cave system. In April of 1998, JNIB Properties Inc. obtained a 15 -year lease for the property. A brochure prepared by the applicant to inform the public of the history of the caves is included as Attachment C. Nature of the Fairy Caves The elevation of the caves are approximately 7,100 feet and include nearly two (2) miles of surveyed passageways with new regions being discovered continually. The caves retain a temperature of 52 degrees year around. The Fairy Caves are some of the most decorated caves in the State of Colorado, with a variety of formations including large stalactites, massive stalagmites, the largest cave bacon formation in the State, rare gypsum flowers and needles and the exceptionally uncommon aragonite crystals. The cave system contains two of the largest rooms in the State of Colorado. The "Barn" has a ceiling height that exceeds a five story building. "Kings Row" is literally a paradise with many unusual and very beautiful active formations lining its entire length. Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit rI ROCK NCREEK flsnUDI0 , 4 IV. Site Description The property is located approximately .5 miles north of Downtown Glenwood Springs. The caves are located at the end of a private easement from Transfer Trail. The entire property is located in mountainous terrain, with the area proposed for activity associated with the caves being disturbed in the past. The area proposed for additional tourist facilities is relatively flat, with grades of 5 to 8 percent. Due to existing topography and the "bench" created during prior disturbance, it is unlikely that the proposed structures proposed for the site will be visible from the Valley Floor or adjacent properties. There are no natural or man-made drainages associated with the property. Soils in the area of proposed development on the site include Torriorthents - Camborthides-Rock Outcrop complex.1 This broadly defined unit consists of exposed sandstone and shale bedrock, loose stones and soils that are shallow to deep over sandstone and shale bedrock and stoney basaltic alluvium. This complex occurs throughout the general area The rock outcropping is mainly Mesa Verde sandstone and Wasatch shale. Some areas are covered with basaltic boulders and stones. In addition, the property includes Jerry loam and Torriorthents - Rock outcrop complex in the steeper areas that are not proposed for disturbance. A SCS soil map with the approximate property boundaries is attached As Exhibit 5. Native vegetation on the undisturbed portions of the site include wheatgrasses, bluegrasses, Indian ricegrass, needlegrasses, bitterbush, mountain mahogany, sagebrush and an overstory of pinyon and juniper. V. Approvals Requested The property is currently zoned Agricultural/Industrial (A/I), and a Comprehensive Plan Study Area I designation of Medium Density Residential (6 -9 acres per dwelling unit). The allowed uses within the A/I zone district are attached as Attachment F. The proposed use on the property most closely fits the "commercial recreational /facility/park" which is allowed as a special use in the A/R/RD zone district, but is not allowed in the A/I zone district. Based on consultations with Planning Staff, the applicant has chosen to pursue a text amendment which would include commercial recreational facility/park within the A/I zone district as a Special Use. Following approval of the text amendment, the applicant is requesting a Special Use Permit for the proposed use. 'Soil Survey of the Rifle Area, Colorado. Parts of Garfield and Mesa Counties United States Department of Agriculture, Soil Conservation Service, 1977. Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit flROCK CICREEK MSTUDIa. 2000 Fairy Caves Application Exhibit 5 SCS Soil Survey Map 1 inch = 2000' 0 2000 • • - Source I • S 1)euitunieni I Agricullure Soil Coriserval ion Service Soil Suiwv. Rine Area. 1 I(nr lap. 1 98f l'arci:1 inforniiii ion digitized from thirliiild County Assessors \-or flic N Iq. Ig5. 99g. 4000 MROCK NCREEK r15-TUDIO, (1:24000) 5 Text Amendment Section 10.01.01 of the Garfield County Zoning Resolution of 1978, as amended represents the text amendment in the following fashion: Amendment to the text of this resolution or a Planned Unit Development Resolution and not affecting the shape, boundaries or area of any district, such amendment shall be referred to hereinafter as a Text Amendment. (A-82-113). Section 10.02.01 addresses the initiation of a text amendment with the following language: Text Amendment: Any owner of real property affected by such a change, the County Commissioners or the Planning Commission. RESPONSE: A letter authorizing the applicant to pursue the proposal is included within the application as Attachment B. Section 10.03 and Section 10.03.01 establishes the following submittal requirements for a text amendment: Each land owner application for amendment shall be in the form ofa written request to the County Commissioners identifying the applicant and clearly stating the nature of the proposed amendment and reasons in support of such a change. Response: The entire text, graphics and attachments satisfy this submittal requirement for a text amendment. The applicant is requesting that the specific use "Commercial/Recreational Facility/Park be inserted as a Special Use within the Agricultural/Industrial (A/I) zone district. The provision of a Special Use was used to ensure that the County would have sufficient review authority for projects proposed within the A/I zone district as opposed to the existing Conditional Use process. An existing zoning map is shown as Exhibit 6. The applicant addresses the applicable review criteria in the following discussion, including compliance with the Comprehensive Plan. The following discussion is based on a comparative analysis of the applicable portions of the Plan. Italicized text is taken directly from the Plan, followed by a response regarding compliance with the goals, objectives and policies from the Plan. Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit rIKOCK CREEK MsTUDI0. 1 1 Subject Property r 6 A A VISTA HEIGHI o l vs -u_. nyih), T$UNNIIHILL3 300 DN. a ./), L Sn,c7/A.',Pc '''17 Y . N. V — s\1, I-41 / A. 1 Z i 65 042 1, , . •-_-_,1- -..,,Jji2_21 85 -OS 1 -,-•-_,..,---72-77:1---.2s. -------t< \ ,i \ \ 2 \897:;\\\ \ \ \\ t.---- Vtk \ '''' ---..,:- 4 ' I ; \ \ 7.-------,-------,-... T 21,35-091 664,-i .GLEI\IVVOOD • S1,103 218 \. 093 \us 76-1 2185-094 A ) 7 (1* 31 2185 233 Cfty vf I Melt - rt. IG—Dr Fairy Caves Application Exhibit 6 Existing Zoning Source: Parcel Map from Garfield County Assessor's Office Map 2185. (1:21.120) 1760 3520 5280 nROCK MCREEK rISTUPIOL, 111111111 kik4 Open Space Agricultural Industrial • City Agricultural/Residential/ Rural Density 6 4.1 Commercial and Industrial Uses Goals Garfield County will encourage the retention and expansion of convenient, viable and compatible commercial development capable ofproviding a wide variety ofgoods and services to serve the citizens of the County. RESPONSE: The applicant is re -opening a historic tourist attraction that is clearly consistent with the tourist -related economy crucial to the success of the City of Glenwood Springs and Garfield County. The opportunity to re-establish the caves as a publicly accessible attraction will continue to diversity the breadth of tourism opportunities in the region. Objectives To ensure that commercial and industrial development are compatible with adjacent land uses and mitigate impacts identified during the plvn review process. RESPONSE: The applicant has contacted adjacent land owners, including the BLM to mitigate impacts associated with the project. This most significant issue associated with the project is additional traffic on Transfer Trail which provides access to the site. The provision of van shuttles from a satellite location will reduce the trips associated with allowing direct passenger -vehicle traffic to the cave entrance. As a part of conditions of approval associated with the required BLM access permit, the applicant has agreed to address dust control, drainage control and as -needed blading of the road to further mitigate potential impacts. Encourage the location of commercial development in appropriate areas that maximizes convenience to County Residents RESPONSE: The physical location of the caves are located less than two (2) roadway miles from the Glenwood Springs downtown. Glenwood Springs is the concentration point and the most significant bed -base in Garfield County during the proposed yearly operating period of the tours. Ensure that commercial development is conducive to sate and efficient traffic flow, reduces vehicular movements and encourages alternate transportation modes and the use of mass transit. RESPONSE: The applicant will be operating a van shuttle between the Hotel Colorado and the site. This will greatly reduce the impacts associated with the proposed project if individual vehicles were allowed to access the site. A full description of likely traffic Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit rIROCK 1 CREEK n5TUD10:. 7 impacts and proposed mitigation is contained within the Special Use Permit portion of the application. Unsure that the type, size and scope of industrial and commercial development is consistent with the long- term land use objectives of the County. RESPONSE: The proposed project is a low -intensity commercial operation that is consistent with the local importance of tourism in the County. The scale of the project has been kept to a minimum. Unsure a commercial and industrial development policy that is environmentally sound andacceptable to County residents and policy makers RESPONSE: The applicant has mitigated the likely environmental impacts of the project, including the use of van shuttles to reduce traffic impacts and has sited the proposed improvements to minimize visibility, grading and vegetation removal. Policies Landscaping and screening will be required to address specific visual impacts of industrial and commercial development. RESPONSE: Due to the existing topography of the site, it is unlikely that the structures or improvements will be visible from any adjacent property or the Valley floor. No landscaping or screening is necessary. The project review process will include the identification and mitigation of transportation irnpacts related to commercial and industrial development. RESPONSE: A full description of the likely transportation impacts of the project are discussed within the review criteria for a Special Use Permit. Section 5.03.09 of the Garfield County Zoning Resolution of 1978, as amended is the only section of the Code that addresses the addition of uses not itemized in a particular zone district. Specifically, the code establishes the following criteria for reviewing a text amendment proposal. Uses Not Itemized: Upon application or on its own initiative, the County commissioners may, by resolution, add to the uses listed for a Zoning District any other similar use which conforms to the conditions set firth in the following special findings.* (1) Such use is appropriate the physiographic and general en vironmental character of the District to which it is added, Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit rlROCK c1CREEK MSTUDIO: (3) 8 RESPONSE: The proposal is somewhat unique in that the location of the caves is defined by an unusual combination of precisely the right geologic and hydrologic conditions for the formation of the caves. (2) Such use does not create anymore hazard to or alteration of the natural environment than the minimum amount normally resulting from the other uses permitted in the District to which itis added• RESPONSE: The existing uses within the A/I zone district are some of the most intensive uses allowed within the County. For example, Conditional Uses include a aircraft landing strip, salvage yard and sanitary landfill. The applicant's proposal will result in impacts far more benign than those typically associated with these uses, and will require a heightened level of review that is contained within the Special Use Permit process. Such use does not create any more offensive noise, vibration, dust, heat, smoke, odor, glare or other objectionable influences ormore traffic hazards than the minimum amount normally resulting from the other uses permitted in the District to which itis added; RESPONSE: The proposed project will not result in any offensive noise or vibration during its operation. Some blasting will be required to open up access to the lower reaches of the cave system, but this impact is only temporary. Dust will be addressed using magnesium chloride applications, consistent with the requirements of the Bureau of Land Management. No smoke odors or glare will be emitted from the site during operation. (4) Such use is compatible to the uses existing and permitted in the district to which it is added. RESPONSE: As demonstrated in the application, the proposal has been scaled to ensure that the use is compatible with the uses allowed in the A/I zone district. This has been addressed through mitigation, as well as the proposal to include the use as a Special Use and require a level of review far more stringent than either Uses by Right or Conditional Uses. Special Use Permit Request Assuming the Planning and Zoning Commission and the Board of County Commissioner's approve the proposed text amendment, the applicant is requesting a Special Use Permit for the Fairy Caves. Compliance with submittal requirements and standards of review are summarized below. Italicized text is taken directly from the applicable portions of the Zoning Resolution, followed by a response to each requirement. Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit riROCK rCREEK MSTUDI0.., 9 Submittal Requirements 1) Plans and specifications for the proposed use including the hours of operation, the amount of vehicles accessing the site on a daily, weeklyand/or monthly basis, and the size of any existing or proposed structures that will be utilized in conjunction with the proposed use. Please submit this information in narrative form and be specific. RESPONSE: The applicant is proposing to conduct seasonal tours originating from an office in the Hotel Colorado to the site of the historic caves. Tours would operate from April to October, weather permitting. Visitors would be shuttled to the site via 25 -passenger vans to minimize the impact on adjacent neighbors and the existing roadway. Total van trips per day under the requested Special Use Permit would be 24 round trips per day, or 48 total trips along the road alignment to the site. In addition to the trips associated with tours, it is expected that approximately 12 trips (6 round trips) would be associated with the maintenance and management of the endeavor. Specifically, the applicant agreed to blade the road as necessary, clear vegetation around corners to ensure adequate sight distance, apply magnesium chloride as needed to control dust and to place signage at the bottom of Transfer Trail to alert users of the road of the presence of vans. The engineer's analysis is included as Attachment C, and the entire application is being forwarded directly to ELM for comments to the County. Proposed structures, as shown on the Conceptual Site Plan (Exhibit 3) include the conversion of an existing storage structure into a small gift shop, the installation and maintenance of two (2) portable toilets, the construction of a shade structure and a small food cart. In the future, the applicant intends on constructing a permanent visitor's center near a future cave portal (see plan). A series of trails and stairs will be installed to take advantage of the remarkable vistas that open up at key points on the property. 2) If you will be using water or will be treating wastewater in conjunction with the proposed use, please detail the amount of water that would be used and the type of wastewater treatment. Ifyou will be utilizing well water, please attach a copy of the appropriate well permit and any other legal water supply information, including a water allotment contract or an approved water augmentation plan. RESPONSE: During the initial operation of the site, no on-site water services will be used. A cistern would be buried on the site, and portable toilets will be used. In the future, a well permit would be obtained and drilled to provide domestic water for the operation. Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit PI ROCK 1CREEK L157UDI0.. 10 A map drawn to scale portraying your property, all the structures on the property, and the County or State roadways within one (1) mile of your property. If you are proposing a new or expanded access onto a County or State roadway, submit a driveway or highway access permit. RESPONSE: A conceptual site plan of the portion of the property proposed for development is shown as Exhibit 3. The only existing structure is a small concrete storage building which will be converted to a small gift shop, as shown on the Site Plan. The only additional structures proposed for the site include a shaded canopy, a small gift shop and food cart, and a 3,000 to 5,000 square foot visitor's center which would be constructed in the future. The relationship between the existing roadways and the site are shown on Exhibit 1. 4) A vicinity map, showing slope of your property, for which a U.S.G.S 1.24,000 scale quadrangle map will suffice. RESPONSE: A Vicinity Map based on the USGS 7.5 minute Quadrangle Series with 40 foot contours is included within the application as Exhibit 7. 5) A copy of the appropriate portion ofa Garfield County Assessor's Map showing all public and private Landowners adjacent to yourproperty. Include a list of all property owners and their addresses RESPONSE: A graphic depicting the property on the Assessor's Map is included within the application as Exhibit 2. The adjacent land owners are as follows: Parcel Number Property Owner MailinaAddress 2185-053-00-035 City of Glenwood Springs 806 Cooper Avenue Glenwood Springs 2185-033-00-035 Joseph and Celina Claudon 2185-041-00-963 Bureau of Land Management 2185-044-00-005 Chines Investment Club 2185-044000-007 Lyle and Kathy Moss PO Box 1904 El Jebel PO Box 1009 Glenwood Springs PO Box 1904 Glenwood Springs 1900 Georgia Landing Austin, TX Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit PI ROCK NCREEK l5TUDIO . IO110 � IUU9 A _.: _.0 2000 nROCK 9 GREEK MSTUPIOar Data Sources: Parcel information digitized from Garfield County Assessors Office Maps, 1998. USGS Glenwood Springs, Colorado 7.5 Minute 1.24,000 Quadrangle Map used as overlay (Contour interval 4001 Photo revised 1987 Fairy Caves Application Exhibit 7 Topography 11 6) Attach a copy of the deedand a legal description of the property. If you are acting as an agent for the property owner, you must attach an acknowledgment from the property owner that you may act in his/her behalf RESPONSE: A copy of the deed and legal description of the property is included within the application as Attachment A. Authorization from the Property Owner is included as Attachment B. Authorization from the applicant to be represented by Rock Creek Studio is included as Attachment F. 7) For all applications pertaining to airports, the oil and gas industry, power generation and/or transmission industry, or any other classifiedinclustrial operation, you must submit an impact statement consistent with the requirements of Sections 503, paragraphs I through 3,• 503.07, inclusive; and 5.03.08, inclusive. RESPONSE: No industrial uses are proposed in association with the requested text amendment or Special Use Permit. Special Use Permit Review Criteria As listed under the Zone District Regulations, conditional and special uses shall conform to all requirements listed thereunder and elsewhere in this Resolution plus the following requirements: (1) Utilities adequate to provide water and sanitation service based on accepted engineering standards and approved by the Board of County Commissioners shall either be in place or shall be constructed in conjunction with the proposed use; (A. 97-60) RESPONSE: The applicant currently does not envision the installation of a well until the construction of the visitor's center. Until that point, the applicant is proposing the use of a cistern to provide domestic water to the site. In addition, portable toilets will be used until a ISDS is installed when the visitor center is constructed. Electricity is available on-site. (2) Street improvements adequate to accommodate traffic volume generated by the proposed use and to provide safe, convenient access to the use shall either e in place or shall be constructed in conjunction with the proposed use. RESPONSE: An engineering report has been produced addressing the likely traffic impacts of the project on Traver and Transfer Trail, in addition to the access easement Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit PI ROCK C1CREEK M57UDI0,. 12 that provides direct access to the cave portals. The report is attached, including traffic counts, in the application as Attachment D. Traffic Levels. The engineering report has estimated that total trips associated with the proposed use will reach forty (40) round trips, or eighty (80) total vehicle trips per day along the total length of the access to the Fairy Caves. This is roughly the traffic generated by eight (8) single-family homes, based on commonly applied ITE Traffic Generation assumptions. Table 1 summarizes the expected traffic generation with existing traffic counts taken in July of 1998. The roadway capacity is based on the Garfield County Road Standards with the Subdivision Regulations for the existing geometry and surface conditions of the road. As shown on the table, the expected roadway volumes with the project's traffic added will not exceed the ability of the road to handle additional traffic. Trip generation is based on the applicant's total trip estimation, and existing (background) traffic is based on the traffic counts included within Attachment D. TABLE 1 EXISTING AND PROPOSED TRAFFIC VOLUMES TraffcCritena Friday Saturday Sunday Monday Tuesday Wednesday 0717.98 0718.98 07.19.98 0720.98 0721.98 07.22.98 TotalDaily Vehicles 77 108 40 47 40 22 AM Peak 5 12 4 6 7 3 FM Peak 13 15 15 8 7 9 ftwect 80 80 80 80 80 80 Total Daily Future 157 188 120 127 120 102 Trips Roadway Capacity 200 200 200 200 200 200 %ofCapacity 785°0 94.0% 60% 63.5% 60% 51.0% Proposed Mitigation. The engineer has made the following recommendations, which the applicant has agreed to as reasonable mitigation. 1. A culvert will be installed at the intersection with Traver Trail. This will allow the water in the burrow ditch on the eastern side of the road to make it to the natural drainage on the west side without crossing the surface. 2. All debris will be removed from the road side drainages. This will reduce the possibility of storm water runoff exiting the ditch and crossing the surface of the road. Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit PI ROCK PICREEK L15TUDI0:. 13 3. Existing culverts will be cleaned. Culverts that are even partially filled with sediment and debris are unable to function properly during intense precipitation events. 4. All brush will be removed or cut back in select areas to improve site distances. Most of the removed vegetation will be scrub oak. 5. Soft spots along the roadway will be repaired by using a subdrain system or by replacing sections of the roadway with imported clean pit -run. 6. Dust will be controlled with magnesium chloride as necessary. 7. A sign shall be installed near the intersection of Traver Trail and Transfer Trail to alert other users of the road to van traffic. (3) Design of proposed use is organized to minimize impact on and from adjacent uses of land through installation of screen fences or landscape materials on the perlpheryofthe lot and by location of intensively utilized areas, access points, lighting and signs in such a manner as to protect established neighborhood character. RESPONSE: The proposed improvements will not be visible from adjacent uses, due to the existing vegetation and topography of the site. Approval of Conditional and Special Uses: Uses listed as Conditional under the appropriate Zone District Regulation shall be permitted based on compliance with the requirements listedherein; where uses are listed as Special Uses, they shall be permitted only: (1) Based on compliance with all requirements listed herein, anct,• RESPONSE: The applicant has responded to all requirements contained in the Code for both requests (Text Amendment and Special Use Permit). (2) Approval by the County Commissioners, which Boar d may impose additional restrictions on the lot area, floor area, coverage, setback andheight of proposed uses orrequite additional off-street parking, screening fences and landscaping, or any other restriction orprovision it deem is necessary to protect the health safety and weltkre of the population and arses of the neighborhood or Zone district as a condition of granting the special use. RESPONSE: The applicant has mitigated all impacts, based on consultation with adjacent land owners and the Bureau of Land Management. Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit 11 ROCK riCKEEK n51UDI0,. 14 Denial of Special Use: The County Commissioners may deny any request for special use based on the lack of physical separation in terms of distance from similar uses on the same or other lots, the impact on traffic volume and safety or on utilities or any impact of the special use which it deems injurious to the established character of the neighborhood or zone district in which such special use is proposed to be located. RESPONSE: There is adequate physical separation in terms of distance from adjacent uses, and the applicant has addressed the impact of additional vehicle trips on the access road. Application: All special use permit applications shall be filed by the owner or owners of the subject lot with the awning Director on a forth provided by the Planning Director for this purpose and shall consist of all information required of an application for a permit and subject to all administration procedures thereof plus the following: (1) Supporting information, plans, letters ofapproval from responsible agencies and other information to satisfy requirements listed under Conditional and Special Uses in the Supplementary Regulations; RESPONSE: There are no regulatory authorities responsible for monitoring or inspecting underground caverns used for tourist purposes. The applicant has contacted the Colorado Geologic Survey and discovered no requirements promulgated by any State or Federal Agency. The Bureau of Land Management will be required to approve the access for the portion of Transfer Trail which traverses BLM lands. The applicant has submitted a copy of the application directly to BLM staff for comments. (2) A vicinity map be drawn to scale depicting the subject property, location of roads providing access to the subjectproperty, location and use of buildings and structures on adjacent lots and the names of owners of record of such lots; RESPONSE: A vicinity map has been previously presented as Exhibit 1, and a Site Plan showing the location of the existing structure on the property is shown as Exhibit 3. There are no structures on adjacent properties. Adjacent land owners are summarized on page 10. (3) A letter to the County Commissioners from the applicant erplalningin detail the nature and character of the Special Use requested (A. 79-132) RESPONSE: The entire application, including text, graphics, exhibits and attachments meet this requirement. Glenwood Springs Fairy Caves Garfield County, Colorado Text Amendment and Special Use Permit P1ROCK riCREEK L15TUPI0 . Attachment A DEED AND ACCESS EASEMENT PIROCK NCREEK flSTUPI0.... 'winged at. 8:3B ocmek A \L, Apr 2_7 1964 morsionNo. 225315 Chas. S. Keegan Tills DEED, Muds this 24th day of March in the your of aur Lord one thousand nine hundred and Sixty -f our hLe1nIprernE'E./TEf Y. PREDBLE and ROBERT 01C01111111. of it Cf1,.R((,, +tplln County of Denver, and sirs '�' .Iilisy of Boulder and Sive ..f C:do:ado, or tho riot toil. 11101 PC''IV, INC n corporation organized and ,ni:,li:g under and I:y vit Ino of Ike Iowa aP the Slnto of Colorado .,i Ih„ :ecan.l I,nrl: Book 357 Page 449 RECORDER'S STAMP \VI'1'Nl:s.la'II, 'Thal Cv sui.l pen{ leaf ILw firat path, for noel n ria:sidetan"n of the sum of 0N£ DOLIJIn and other good and valuable considerations Io II:,. .end Inuit t,.a of Iho fit st not In bawl � • I:mwlnlred, ha Ve Paid LY ILc ::, i,l no fly of convey .naw Pl,' l the remiet s do L1 It the said halter or he innawl d 11011) as mal by those d ..ends du nod, L:u'g:,i,,, :.,. ,. dry nod cord -btu, nal ,nJ 1„I, i15. e fulls n the hiJ Pott, of the 1 oftheGarr inIdlen ran erl at InnJ,nidnde, lying Im,l bring,,ten.. and :, Signe Owner, C, Indy of ,Garfield 'Anel :e Sluoc of col,auJn. hs.trih: The N.V Ji/ of diction 3, and int 10 of °cation 4, in 12. 6 .3., I1. 69 N, 6th P, E1. Also, all of grantors 'bezm' t i6ht, ti tle, and interest, 11' any, in 111 rights -of - n`N/.: way and all other rights and pr1v Ilene:, if any, over, along;, across, and upon ..at 6 of dectiol 4, ip, 6 J AIS' h. 67 71. 6th as reserved by that certain deed recorded in Book 20 at Page 405 of the records in the office of the Clerk and recorder of Cart le Id County, Colorado Tint 1.111'1: oil: :I•v, I:11,inn.:u„1 Il,c ,. aIle, 1 Tela. hilt 111 111\1 1Nn'In 11111.11 .,li.l Pna. ..o "i tottly oftheI I hnig it Yu::�'(111r• - n, tits Io1 noity II 1 lo, ..n. h. I. tit', ,-(tit:yi ..ue.. 111 Iawt in ft .• .,'. Wu gain, .11 1.1.1 rst-, tit r,,.. in mato : h..ald I” 31: S.f Ion. fie�l P: 1. ri:hon in h ii I 1.: :.rriln.,l - tl 11 ' pP:uIt mels n,: ie IIriataliat:tal l ::I I i id!. L;tt at 11 1`n. 11 ill! I 101 th1'- :.L.n IrrR WI, :walla, anl Ve ti:,,,l .1:1.1, fa11 r'' • +.1 lawful atalio U, o, al for ;it ul..l.vital. awl that l.,..:,: ,. hoe awl di ill mn .,.:. I. ,I 1 111111011.1.111 1••• a • of .N„=r I:1n.1 or mime thr ithitzt. Itatit.oln11, iu I e I III Iunity ur du.. ,. I I ..I. 1 a t4: 11 011 al I ylit I :Mil DI pia. ,.•all fully clnioutig oito P' IIor.111 tor any 11te111 tdo30e 11 11'11111 shrill 01111ull 0AIttlANI AtJI l'111U:\I:I: UI:I'I:NR. IN 0I ISLSS n'III:I1CUP, Th. -,::i rattles of the fit -A not lots ;IVO hl,nlnl,, wI the it hv,.I a :'I s Ihr 1.; and ynv filet attune written. . . r.„I, Y, At .1 n,ol In -nogg! Li; em I'n'seam of 1r:\Il illn COLORAod, le CI ty and county on Denver rhofoonttitig iti At tawl,n t' I italged below me this '.1 ) °u'J) .i i- 1. T4/ 'fill by Peter 31. i:rehb le, Sober t L 'Cornle l and Robert.iilhur \\I 1'.\L:Ss,,,Y howl ,,,,,I official ord. Vy cueunla>Wu r"irs :fob L,, si /y`;i ' 1 ' No.951. n„n:.en nun muaurnl:.tnu�-ra NNW nne. u,..i,u. dee,;ht (spa CL -1M USSO THIS DEED, made this ",rd day of November, 1961 between HELEN DULIN LOVETT, GRETCHEN CROSS, and CLIFFORD H. DARROW of Garfield County, Colorado, NICHOLAS J. DARROW of Orange County, California, ARTHUR C. DARROW of Salt Lake County, Utah, ACNES BEi,TRICE D:1RttU4 :sot EUGs:Ns 1'. C, i,'r DARROW of King County, Washington, JANE TYLER of dackeon,CountyT iissburr, ALICE G. KOPP and WILLIAM F. DARROW of Cook County, Illinois, HORACE F. DARROW of Santa Cruz County, California and HERMAN L. DARROW of Ventura County, California of the first part, and PETER P. PREBBLE and ROBERT O'CONNEL of Denver, Colorado and ROBERT WILBUR of Boulder, Colorado of the second part, WITNESSETH, That the said parties of the first part, for and in consideration of the sum of Ten and no/100 ($10) Dollars and other valuable considerations to the said parties of the first part in hand paid by the said parties of the second part, the receipt whereof is hereby confessed and acknowledged, have remised, released, sold, conveyed and quit claimed, and by these presents do remise, release, sell, convey and quit claim unto the said parties of the second part, their heirs, successors and assigns, forever, all the right, title, interest, claim and demand which the said parties of the first part have in and to the following described land actuate and being in the County of Garfield and State of Colorado, to -wit: The NWkSWty of Section 3, and Int 10 of Section 4, in Tp. 6 S., R. 89 W. 6th P.M. Also, all of grantors' right, title, and interest, if any, in all rights-of- way and allotherrights and privileges, if any, over, along, across,and upon Lot 6 of Section 4, Tp. 6 S., R. 89 W. 6th P.M„ as reserved by that certain deed recorded in Book 20 at Page 405 of the records in the office of the Clerk and Recorder of Garfield County, Colorado, The grantees shall assume and agree to pay all general taxes subsequent to those of the year 1960, payable in the year 1961. Provided also that the grantors make no representation nor warranty of acreage nor of any title in them whatsoever, and the grantors do not undertake to warrant the location or existence of any cave or caverns upon r ,r. Book 338 a;;e 2:5 any of said lands, and the grantors do not. warrant nor guarantee any ease- ments or access rights to or from the lands described above, it being intended that. this deed is by way of quit claim only. Provided further that this deed is delivered upon the condition that the grantees and their heirs and assigns shall not disturb nor take any action against the owners, operators, or users of any television equip- ment or installation now located upon any of the above described property, .but will permit the same to remain where located and allow the necessary operation, repair and maintenance thereof without any charge or interference, by the grantees, their heirs and assigns. TO HAVE AND TO HOLD the same, together with all and singular the appurtenances and privileges thereunto belonging or in anywise thereunto appertaining, and all the estate, right, title, interest end claim whatso- ever, of the said parties of the first part, either in law or equity, to the only proper use, benefit and behoof of the said parties of the second part, their heirs and assigns forever. IN WITNESS WHEREOF, The said parties of the first part have here- unto set their hands and seals the day and year first above written. /Lvit1l.ec C),1 ttn.,,.1(,4SEAL) .� (SEAL) t C • (.17 (1 • I iJNY iSEAL) L U ' f ,(r a2 QVJtil6,) 1. otgaibr (✓SEAw {Cr y 7 x161'(11: (SEAL) �4uwl (SEAL) xut .1-A r4sn44'W yid, I No.//0 .(1/S(/ OUIT.CLAIM DEED .-10ao.-hut ..,.....a+....... an. ,efrd k Pal -e, Ai chic.(r evil, l a ill, vale ulr /0 i— aaN a/(l Le�oy%cJul vy, in the year of our Corti oaa /� thousand nt•4e hundred arnl.ei /t t • „c (y --/,P- - --r BL''TWELYY (V 1t k L h_4(0041-4-11 5 IK„' (J of thCounty oj._,x\ (C' (�_61.4 % rut State P Coyer esu, of toe first and part, • �L6-r-c1(v7/0 44a ,✓/ u/ the Connly of _.../G.',!: Ltis �—_mud Stale Of Colorado, of the second pare, If'l77A E8S1i1'Il, that lie said part� as first part, for and� Iteration of Ca 'am of /(fof /es ( C c GU -0 'A/ /a-0 Dations //� to Cha snit part” of t/,, first part in bund pail/ / the said part( of She second pare, elao receipt whereof is hereby eonjessed mad acknowledged, ha i7 re„,,,, red, sed, sold, cuaueyeik nal UDI CLAIMED, aur by these presume dyZL1emise, release, sell, convey and QIC1T-CLAL11 unto ilw snit 'octal of he seuund punt,__/LA / heirs ar ` tis' ,ye 1'urevej, all ale ri041, title, interest, claims and denuunl which (he said parte �thfr 1i part k u,ud t the following described l✓ �/ situate, lying and being the County of ILL- / a zte ul Stale o O t u do, t t V,J( ? Jam`/"lj 2.'(41'�/p(, p / la/0,?,r( <-/-u1//72eiL✓f ii/tfij_ e ae �1 /i/ adL if,ucLLPL,of,D (f�f/o-r1 3CL(r/ / 11 ((f t l Per[ ✓i , 1 ri (� 14, Ct J_o�e Y n yr .�i(LL¢-1,,c//!�d nt ne .-LQ/CLr-24.-5 4 va cc «J a o tae, 2X.6.1 1'4, l�' t I LC (LL.% ///I e U,4.6,4e' � � �CL ctiJ ��LQ,t�< L1/l pi-l� XeLd01 d47c: ofa 0 C /Lit r 4,.n/ nl _X./it(teret(o-,(-0-44r(C !Y/G!t?4 f pX ;2-rnef/✓¢ P.l4ae6/y J'(4i (1 ( 619. •t (L otie�l (t/Q',Q.n .l ZGL(----I-6 c (tlr{F�,.o- (o / pp pp ,tee .' /(� I,. /J%/V(L/(Ll (e i/1 a--? d' -'i /(1 vr� del/ /d�7/r.(e2�!1%y/itGut 1, ae d/J' iht Ct i �L is? ,f (( e /'le aF 1Ji_7(eC LG�2fLCl LL.r(((o���-foe L t 2 a(,V4 2 v� �1i�ti" %( •Lw ( LY t( t "a ( l i • L(Al :_ ( l.ey lTe L/ lit?t.c / J%l.(16",i2_,L.0 -t F (Y �L G,- (e a cta • n�/. Gtr%(I i<(., d-7.'Lt l/t(JJ7.c ,t L'L/ Gl I.r7[, id---- jct.(/' �te.4e, �-, xi- (i'L� /l.=Y" 4� 11 (I (el(.✓ ilLV..-2t '1„.(.2.--.4‹ 2 /�L/f eq ,<L_t! r�_tic-CZ me,,h InFCV LrCCo .4.6 =aoQ itlI I (qL%2Y�9 cetaC-4.c.-1_,c�?0��i,„e-t.al�- /llD 70-1-_441:- a Ea,1iL o-1/-eLttry LL/Ai ('t,l.(4''(^l/F tot-6-2,/eri i YfLI'lt 4 =ca_e,, Cl,a%Q4/(G( 1y� ( .y • (•,,,l (J (o / hued—z. ce_:LPl e ft ,r e!zuez✓(. /(eLLWi1Gd. U .Nn -t L( f't j/L''o Lc/CI({ppLFp +.t (4 -,B GL�.('/L n-t.i.,4al- L� EL.pl Cl k(e-(/ L -C LZ 2,6 IL'dC.q G. r7.„4- �¢_e-G.L0 t?_"AcGe6ZaGC_LcC '('O III Cie .LYD TO HOLD NHS 3.1.112, together with all and stagatar the appurtenances anti privileges thereunto belonging or in anywise (hereunto apperkeiaing, and all the estate, right, title, interest and claiu, wiutisoever, utilise said pn//ed the first part, either in law or equity, to the only proper ase, benefit and nitwit of the said pareV of. the second part, L✓7 )`eters and assigns forever. r(} Ihr WITNESSIft/ERL'OE., the said pare of t/wJtrrst part ha llhorennto eae__7a-S. ( / �! ' itanlLanl seal_the day awl year written. first above VV v�5(}l / pl SIGNED, SEALED AND DELIVERED IN PRESENOE OF ,'/4a.� /r- L a-vL.p-(-(/ s F. _ 1 i ( / Lana, ty 4..1:: /. t (l } !.� ,(kv F2 ✓✓ c',/ (:.fL.tk - a,. ;_L••-/ —� i%�u-•/-��.(; ua ,ler anti <obaty. the Slate nfu lid, to hereby certify tat.y ' LAida If a 96LP/Z.it (4 C''' te,A(.',/ '' personally known toaid tide pen. whpe , ma a subscribed to thja'sVC✓I�ce(1„nppeured be/ore nm t/lis \ a- / ,,,fly/ 4 S V y 7po Zacknowledged that .(.1 2/ signed, sealed and uleltuaru soot rtrltrnent of writing as : hh. .. l' t u/u t E the u f r sesoand purposes tl _et set forth //Den I yland anti Zi (45.e.(-0 seal, tins/D e day of1),,2/Ge,,..'_ A -41 D. 13917. dry come,on exp' . l a-:' t ,''. %. _a. f 7 Is 7 7 /t �_.4lfet/Lr e, it ut 9 7_-- lay f/ dc1 A DIS/[?jap' a'-foe1L V ,\-k[.,i /Yt.,41;. (---iRecorder, By Depaly, Attachment B PERMISSION OF PROPERTY OWNER PIROCK NCREEK MstUDIO,„ POW, INC 5155 Raleigh Street Denver, Colorado 80212-2609 August 10, 1998 Mark Bean Director of Building & Planning Garfield County 109 8`h Street Glenwood Springs, CO 81601 Dear Mr. Bean: I Pete Prebble, president of POW, Inc. hereby authorize Steve Beckley & JMB Properties, Inc. to pursue a zoning text amendment and special use permit on the following property: South 1/2 ofNW/4 SW/4 Section 3 Township 6 South Range 89 West South''/ of Lot 10 Section 4 Township 6 South Range 89 West Thank you for your cooperation. Sinee�r/ly, k1/� / Peter Prebble President Attachment C LEASE fl ROCK NCREEK M STU PIO,. LEASE 1. Lease THIS LEASE, dated April 22, 1998, is between JMB Properties, Inc., a corporation organized under the laws of the State of Colorado, hereinafter called the Lessee, and POW, Inc., a corporation organized under the laws of the State of Colorado, hereinafter called the Lessor. The Lessor does hereby demise and lease unto the Lessee the real property described on Exhibit A attached hereto and made a part hereof (the "Property"), for the term of sixteen years and six months beginning on the date hereof and ending on October 22, 2014 (the "Term"). The Property shall include all surface and subsurface rights as described on Exhibit A, all of Lessor's water, ditch, well, and reservoir rights which are appurtenant to or which have been used in connection with said Property, all subsurface rights of Lessor to the extent of the cave, the entrance of which is on the Property, and which is more specifically described on Exhibit 13 hereto (the "Cave"), all easements, rights of way, licenses and rights or use of access described in Section 7 hereof as well as the Washington Lode in the event it becomes subject to this Lease in accordance A memorandum of this Lease may be recorded by Lessee in the real estate records of Garfield County, Colorado. 2. Term and Rent. This Lease shall commence on April 22, 1998, and terminate on October 22, 2014, subject to the terms and provisions contained herein. A. The period from April 22, 1998, until October 22, 1998, may be referred to as the "Due Diligence Phase." No rent shall be due Lessor during the Due Diligence Phase. During the Due Diligence Phase, Lessee shall have complete access to the surface of the Property for survey and evaluation of the Property and the Cave and Lessee niay make two unguided trips into the interior of the Cave for surveying, mapping, and photography. In addition, Lessee may, at its cost and expense, drill sufficient holes into the various levels of the Cave to allow mapping and surveying of the interior dimensions and depth and light to the interior of the Cave. During the Due Diligence Phase, Lessee shall evaluate the suitability of the Property for Lessee's purposes as well as the status of title and access to the Property. If for any reason Lessee determines, in its sole and absolute discretion, that the Property is not suitable for Lessee's purposes or that title or access to the Property is not acceptable to lessee for any reason, Lessee may terminate this Lease and all obligations of Lessee hereunder. If Lessee desires to commence construction of Improvements on the Property prior to October 23, 1998, the Lessee may cause the Development Phase to commence on the first day of any month by written notice to Lessor and payment of rent as set forth in "B" below. Early commencement of the Development Phase shall not result in early termination of the Development Phase, which shall continue until October 22, 1999. 13. The period from October 23, 1998, until October 22, 1999, may be referred to as the "Development Phase." Rent in the amount of $1,500 per month shall be due Lessor during the Development Phase. During the Development Phase, Lessee shall have complete access to the surface of the Property and the interior of the Cave. During the Development Phase, Lessee shall continue to evaluate the suitability of the Property for Lessee's purposes and begin construction of improvements required for the Project. If for any reason Lessee determines, in its sole and absolute discretion, that the Property is not suitable for Lessee's purposes or the Project is not viable for any reason, Lessee may terminate this Lease and all obligations of Lessee hereunder at any time during the Development Phase upon 30 days prior written notice to Lessor. C. The period from October 23, 1999, until October 22, 2014, may be referred to as the "Operations Phase." Rent in the amount of 53,000 per month (the "Monthly Rent") shall be due Lessor during the Operations Phase except as specifically set forth herein. Commencing January 1, 2003, Lessee shall also pay to Lessor the amount of five percent (5%) of the Lessee's gross sales receipts from the Project as shown on Lessee's State of Colorado sales tax return ("Gross Sales Percentage") together with five percent (5%) of any rental or other revenue received From assignees or subtenants of Lessee ("Sublease Percentage"). The amount of Gross Sales Percentage and Sublease Percentage due to Lessor for each calendar quarter will be paid to Lessor within thirty days after the end of each calendar quarter, accompanied by a copy of Lessee's State of Colorado sales tax return for that quarter. D. At the end of the initial Term of the Lease and the end of each subsequent Terni of the Lease, in the event Lessee is not in default under the terms of the Lease at the time of notice, Lessee shall have the right, upon 60 days written notice to Lessor prior to the end of' the applicable Term, to extend the Lease for additional subsequent 10 -year terms. E. Commencing on January 1, 2003, and on each January 1 thereafter that this Lease is in effect, the Monthly Rent (but not the Gross Sales Percentage or Sublease Percentages) shall be increased by the following formula based on the U.S. Consumer Price Index ("CPI") for Urban Consumers, subgroup "All Items," Denver, Colorado Metropolitan Area published by the U.S. Department of Labor (the "Index") published nearest to the date of this Lease, or any previous increase as the carr may be (the "Beginning Index") and published nearest to the date of the subject increase (the "Adjustment Index"). The Monthly Rent for the following calendar year shall be calculated by multiplying the existing rent by a fraction, the numerator of which is the Adjustment Index and the denominator of which is the Beginning Index. In no event shall the Monthly Rent increase by more than ten percent (10%) per year. F. All rent payments during the Term of the Lease or any extension or holdover thereof shall be paid to Lessor on the first day of each month, which sums shall be payable at the address of Lessor at 5155 Raleigh Street, Denver, Colorado 80212-2609 or at such other address as designated by Lessor in writing at least 30 days in advance. In the event any rent shall be due for any partial month, the rent amount shall be prorated based on the number of days of occupancy by Lessee. G. The Lessor shall warrant and defend the Lessee in the enjoyment and peaceful possession of the Property during the term aforesaid. The Lessee agrees to deliver up and surrender to the Lessor possession of said Property at the expiration or termination of this Lease. 3. Termination and Liouidated Damages. Lessee may terminate this Lease on not less than 60 days written notice to Lessor, at any time after the third year of the Operations Phase, and the Term of this Lease shall terminate on such 60th day, and Lessee shall quit and surrender the Property to Lessor, but Lessee shall remain liable to Lessor for all unpaid rentals, taxes, rentals and common area charges and assessments which are due and accrued and payable only up to the termination date, which shall be payable on the day of termination, together with liquidated damages in the amount of $10,000. The accrued rent and liquidated damages shall fully satisfy all amounts due under this Lease if so terminated under this Section. If this Lease is so terminated by Lessee, Lessor may at any time after the termination date resume possession of the Property by any lawful means and remove Lessee or other occupants and their effects. 4. Holding Over After Expiration. It is mutually agreed that if, after the expiration of this Lease, the Lessee shall remain in possession of said Property with the consent of the Lessor, then such holding over shall be deemed to be a holding upon a tenancy from month to month at a monthly rental equivalent to the monthly payments provided herein, payable in advance on the same day of each month as above provided; all other terms and conditions of this Lease remaining the same. In such event, Lessor shall provide to Lessee 60 days prior written notice of any increase in the rent, and both Lessee and Lessor shall provide the other party with 60 days written notice prior to terminating the Lease. 5. Warranties of Lessor. Lessor represents and warrants to Lessee that Lessor has good and marketable title to the Property in fee simple absolute, subject only to the lien of general taxes for the current year, payable the following year, and those additional matters, if any, set forth in Exhibit C attached hereto. Lessor hereby warrants and agrees that Lessor's ownership and use of the Property (and to the best of its knowledge, all prior ownership and uses) have been, and will continue to be, in compliance with all local, state and federal statutes, rules and regulations regarding land use, environmental protection and the handling and disposal of Hazardous Substances (those substances determined to be "hazardous", as adopted by the United States Environmental Protection Agency). Lessor further represents and warrants that neither Lessor nor, to the best of Lessor's knowledge, any other person or entity has ever caused or permitted any Hazardous Substances to be placed, held, located or disposed of on, under or at the Property or any part thereof and that neither the Property nor any part thereof has ever been used (whether by Lessor or by any other person or entity) as a treatment, storage or disposal facility or site (whether permanent or temporary) for any Hazardous Substances. Lessor will indemnify and hold harmless the Lessee and its officers, directors, representatives, employees, affiliates and subsidiaries against any losses, claims or damages incurred 2 PABEC KLEY\GLENWOODLLEASE 4 WPD or suffered by any of them as a result of any violation by Lessor of, or non-compliance with, any local, state and federal statutes, rules and regulations regarding land use and environmental protection. 6. Character of Occupancy and Constriction. Lessor and Lessee acknowledge that Lessee may use the Property and the Cave for any lawful purpose except commercial mining or quarrying of limestone for resale, and that Lessee intends to develop the Property and the Cave as a commercial venture for development of visitor access to the Property and the Cave including, but not limited to, guided tours of the interior of the Cave, hiking trails, picnic areas, visitor facilities, museums, and educational displays (the "Project"). Lessee agrees that the Property shall be used and occupied in a careful, safe and proper manner by Lessee and Lessee's agents and employees. Lessor acknowledges and agrees that Lessee may construct improvements and structures on the Property including, but not limited to, gates, paved roads, lighting, paved parking lots, tramway facilities, sidewalks, picnic areas, buildings, and sanitary and recreational facilities (the "Improvements"). Lessee agrees that Lessee will not use or permit the Property to be used for any purposes prohibited by the laws of the United States or the State of Colorado, or the ordinances of the city or county in which the Property is located. 7. Easements and Rights of Wav Washington Lode. A. The Property leased hereunder shall specifically include all of the easements, rights of way, licenses or rights or use of access (collectively referred to herein as "ROW") granted, assigned or inuring to the benefit of Lessor or the Property. The grant and lease of the ROW hereunder is expressly subject to Lessor's continued right to use the ROW so long as Lessor's use does not materially interfere with development or operation of the property or the Project. Lessee's lease and use of the ROW shall be for all uses contemplated by the Project, including public vehicular, or other, access to the Cave. B. Lessor agrees to provide to Lessee copies of all ROW granted, assigned or inuring to the benefit of Lessor or the Property, and of all ROW granted by Lessor to third parties. In addition, Lessor shall provide to Lessee copies of all correspondence to or from the U.S. Forest Service or Bureau of Land Management regarding the Property. C. Lessor will cooperate fully with Lessee should Lessee desire to terminate any express or implied ROW across the Property claimed by any third party, including the institution of any legal action to terminate such ROW which is requested by Lessee, provided the same is at Lessee's sole cost and expense. D. Lessor shall have the right to use any ROW presently benefitting the Property or obtained by Lessee for the benefit of the Property, for access to the Northern half of the parcel of real estate described on Exhibit A (the "Northern Parcel") provided such use does not materially interfere with Lessee's development and operation of the Property or Project. E. Lessor shall not grant any additional ROW across the Property during the term of this Lease without the prior written consent of Lessee. F. Lessor grants and conveys to Lessee the following easements which shall be appurtenant to, and run with, the land included in the leased Property: (1) An easement for public access and egress, utilities, telephone and water lines on all existing roadways on the Northern Parcel, including but not limited to those shown on Exhibit C hereto and for a proposed roadway as shown on Exhibit C, it being specifically understood and agreed that the location of the roadway may vary to provide the most efficient and economical access to the Cave from the BLM road in the northwest corner of the Northern Parcel. Such easements shall be 60 feet in width or wider if so required for designation as a county road. (2) A license to use up to one-half acre of land for construction and maintenance of a water tank to service the Property plus an easment for access to maintain and repair such water tank and for utilities, telephone and water lines from the water tank to the Cave 3 P:'BECKLEvtGLENw000iL ASE4 WPO approximately as shown on Exhibit C, it being specifically understood and agreed that such location of the water tank and easement may vary to provide the most efficient and economical access to the Cave. Lessor shall have the right to utilize water from the water tank for personal and residential use on the Northern Parcel. All such easements may be paved or surfaced by Lessee. Lessee shall pay all costs of maintenance of road surfaces on the easements. Lessor agrees to execute, and Lessee may record with the County Clerk and Recorder, Assignments of such easements which shall more specifically describe the legal descriptions of the easements. G. Lessor presently has an ownership interest in the property known as the Washington Lode. In the event Lessor becomes the 100% owner of any portion of the Washington Lode, Lessee shall have the option to lease all or a portion thereof, on the terms contained herein, at a pro rata Monthly Rent calculated as a ratio of the acreage of the leased Property to the acreage of the Washington Lode to be leased, all of which niay be used for any purpose permitted herein. In such event, and if Lessee installs utility or phone lines on the Washington Lode property Lessor shall have the right to utilize the same for utility and telephone service to the Northern Parcel. Lessor reserves an easement over the Property for purposes of such utility and telephone service. H. All utility and phone lines installed by Lessor and Lessee on any easement described herein, or on the Washington Lode, shall be installed underground, 8. Alterations and Improvements Lessor Access and Cooperation. Lessee shall not make any permanent change to the interior of the Cave other than to insure the safety of visitors to the Cave, provide reasonable access within the interior of the Cave, and minimize the impact of visitors in the Cave (i.e., sidewalks, guard rails) without the prior written consent of Lessor. Lessee specifically has the right to construct a new entrance to, and interior access within, the Cave sufficient to provide commercial, public access by visitors as projected by Lessee. Lessor shall have the right to preapprove construction plans for a new entrance to the Cave, which approval shall not be unreasonably withheld. Lessor shall have the right at any reasonable time after normal business hours, at a time which is convenient to Lessee and after 48 hours' notice to Lessee, to enter on the Property and inside the Cave to examine and inspect such repairs, additions, or alterations as Lessee may deem necessary or proper for the safety, improvement or preservation thereof. Lessee shall have the right to accompany Lessor on all inspections of the Property and the Cave. Lessee shall make all reasonable efforts to insure that any repairs, additions or alternations to the Property will not adversely affect the character of the Property. The additions or improvements made by the Lessee and not permanently affixed to the Property, or which are affixed to the Property but can be removed by Lessee without damage to the Property, whether or not they are deemed to be fixtures, shall be deemed to be the personal property of Lessee and may be removed by Lessee at expiration of this Lease. Lessor shall assist and cooperate with Lessee in completing, filing, and executing any and all applications, variances, petitions, pleadings, or permits ("Approvals") required or advisable to quiet title to the Property or to obtain zoning approval, easements or rights for access, construction permits, or other governmental approvals ("Requests") necessary to the development of the Project. The Requests shall be submitted in Lessor's name if so requested by Lessee. At Lessee's request, Lessor shall assign to Lessee, for the tern of this Lease and any extensions or renewals hereof, and in perpetuity upon the Lessee's exercise of its rights to purchase contained in Sections 21 or 22 of this Lease, any Approvals or ROW granted pursuant to the Requests. The submittal of the Approvals and Requests and pursuit of the same shall be at Lessee's sole cost and expense. 9. Liens and Encumbrances. Lessee shall indemnify the Lessor against all claims, liens, claims of liens, demands, charges, encumbrances, or litigation arising directly or indirectly out of or by reason of any work or activity of Lessee on the Property and shall forthwith, within 60 days after the filing of any lien of record, fully pay and satisfy the sane, and reimburse Lessor for all loss, damage, and expense, including reasonable attorney's fees, which it may suffer or be put to by 4 P'\BECKLEY\GLENWOODLLEASEJWPD reason of any such claims, liens, demands, charges, encumbrances, or litigation. if Lessee desires to contest any such claim or lien, it may do so after satisfactorily indemnifying Lessor against loss or expense thereon. In the event Lessee shall fail to pay and fully discharge or indemnify Lessor against any claim, lien, demand, charge, encumbrance, or litigation, or should proceedings be instituted for the foreclosure of any lien or encumbrance, Lessor shall have the right, at its option, at any time after the expiration of such 60 -day period, to pay the same or any portion thereof Lessor may, at its cost and expense, post the Property with notices of its nonliability for mechanics liens, such notices to be in an amount and form reasonably satisfactory to Lessee. 10. Trade Fixtures. "Lessee's trade fixtures", as used in this Lease shall mean any and all personal property at any time or from time to time hereafter and prior to the expiration or earlier termination of this Lease attached to the Property, including without limitation, cabinets, merchandise racks, counters, showcases, shelving, partitions, carpeting, fans, heaters, kitchen appliances, and other similar items. Anything to the contrary in this Section notwithstanding, so long as Lessee is not in default hereunder Lessee shall have the right at any time and from time to time during the Term hereof or any extension hereof to remove from the Property any and all of Lessee's trade fixtures. If Lessee fails to remove Lessee's trade fixtures at termination of this Lease, Lessor may, at Lessor's option, retain all or any of said trade fixtures not so removed, and title thereto shall thereupon vest in Lessor, or Lessor may remove from the Property, and dispose of in any manner, all or any of said trade fixtures. Lessee, at its expense, shall immediately repair any damage to the Property attributable to the removal of any of Lessee's trade fixtures, whether or not such removal is permissible hereunder. Lessee shall pay any and all ad valorem or other taxes separately assessed and levied on its trade fixtures before the same become delinquent. 11. Repairs. Maintenance and Destruction. Lessee agrees, at all times during the Term hereof and each extended Term hereof, and at its own expense, to (a) maintain in good condition, and promptly and diligently repair any damage to, the Property, except to the extent such damage is attributable to the gross negligence or the intentional act or omission of Lessor, to fire or ocher insurable casualty or Act of God or the elements; (b) promptly and diligently repair any damage to the Property attributable to the gross negligence or the intentional act or omission or Lessee or its subtenants, employees or agents; and (c) maintain, and promptly and diligently repair the interior of any improvements to the Property and every part thereof in order to meet the orders or demands from time to time of any government authority having jurisdiction thereof. Upon the expiration or earlier termination of this Lease, Lessee shall deliver and surrender the Property to Lessor in good order, condition, and state of repair, except for reasonable wear and tear, or damage or destruction front fire or Acts of God or the elements. In the event of any damage to or destruction of the Property, Lessee shall in no event be entitled to any damages from Lessor by reason of any inconvenience or loss sustained by Lessee. 12.Subletting. Lessee agrees that it will not sublet the entire Property, nor assign this Lease, or any interest therein, without first obtaining the written consent of the Lessor, which consent shall not be unreasonably withheld. Notwithstanding the foregoing, the Lessor hereby consents to the assignment of this Lease by the Lessee to a corporation provided Steve Beckley or Lessee is an officer and shareholder of the corporation, or to a partnership or limited liability company provided Steve Beckley or Lessee is a general partner or member, as the case may be. Also notwithstanding the foregoing, the Lessor agrees that Lessee may sublet portions of the Property to a sublessee or sublessees providing retail services such as a museum, gift shop, or restaurant. In the event of the assignment of this Lease by the Lessee to a corporation, partnership, or limited liability company, or sublease of a portion of the Property as set forth above, the Lessee shall nonetheless remain personally obligated for the performance of all terms and conditions of this Lease, including by example and not limitation, the payment of rent. 13. Default. If the Lessee shall be in arrears in payment of any installment of rent, or any portion thereof, or in default of any other covenants or agreements set forth in this Lease ("Default"), and the Default remains uncorrected for a period of 14 business days after the Lessor has given 5 PABECKLE'nGLENW000LLEASEUWPO written notice thereof pursuant to applicable law, then the Lessor may, at the Lessor's option, undertake any of the following remedies without limitation: (a) declare the Tenn of the Lease ended; (b) terminate the Lessees right to possession of the Property and reenter and repossess the Property pursuant to applicable provisions of the Colorado Statutes; (c) recover all present and future damages, costs and other relief to which the Lessor is entitled including, but not limited to, the cost to recover and repossess the Property, the expenses of reletting, necessary renovation and alteration expenses, and commissions; and (d) pursue any and all available remedies in law or equity. In the event possession is terminated by a reason of Default prior to expiration of the Tenn, the Lessee shall be responsible for the rent occurring for the remainder of the Term, subject to the Lessor's duty to mitigate such damages. Upon such termination, the Lessor shall have available any and all of the above -listed remedies. If the Lessor shall be in default or breach ("Default") of any of the terms or this Lease and the Default remains uncorrected for a period of 14 business days after the Lessee has given written notice thereof, then the Lessee may, at the Lessee's option, terminate this Lease and Lessee's right to possession of the Property and Lessee's obligation to pay rent after Lessee has vacated the Property. 14. Eminent Domain. In the event that the Property or any part thereof shall be taken or damaged by reason of any exercise of the power of eminent domain under governmental law, ordinance, or regulation, whether by a condemnation proceeding or otherwise, or in the event the Property or any part thereof shall be transferred in avoidance of an exercise of the power of eminent domain (all of the foregoing being referred to herein as "taking"), the rights and obligations of Lessor and Lessee with regard to such taking shall be governed by the provisions of this Section. In the event of the taking of the entire Property, this Lease shall terminate and expire as of the date of such taking. In the event of the taking of less than the entire Property, this Lease shall remain in effect or terminate as of the date of such taking at the sole option of Lessee. In the event of a partial taking, if this Lease remains in effect, the rent and purchase option price set forth herein shall be proportionately reduced in accordance with the amount of acreage remaining subject to this Lease. In the event of any termination pursuant to the provisions of this Section, both parties shall thereupon be released from any liability thereafter accruing hereunder, but all rentals and other charges then accrued shall immediately become due and payable by Lessee. Lessor agrees immediately after receiving notice of any taking to give to Lessee notice in writing thereof. Lessee shall have the right to appear and participate in any court, administrative, or other governmental proceeding related to any actual, threatened, or potential taking with representation by counsel of Lessee's choice. If this Lease shall terminate in any manner provided in this Section, Lessee shall have no claim against Lessor for the value of any unexpired term of this Lease or any renewal thereof, but Lessee shall be entitled to that portion of the award, whether as purchase price, damages, or otherwise, for such taking, and such award shall belong to and be the property of Lessee whether such award shall be deemed compensation for diminution in the value of the leasehold or the value of the Property and improvements, to the extent of the percentage of the value of the Property attributable to Lessee's improvements and trade fixtures and ongoing business operations on the Property as determined by a MAI real estate appraiser satisfactory to Lessor and Lessee. Lessee shall have the right to claim and recover from the condemning authority, but not from Lessor (unless an award has been made to Lessor for the following items): (i) such compensation as may be awarded or recoverable for Lessee's improvements and Trade Fixtures, and (ii) such compensation as may be awarded to Lessee or recoverable by Lessee for any damage to Lessee's business operations done on the Property. The date of taking, as that phrase is used herein, shall mean the date title is vested in the condemning authority. 15. Property Vacated During Term of Lease. If the Lessee shall abandon or vacate said Property before the end of the Term of this Lease for a period of 60 days, the Lessor may, at its option, after 30 days written notice to Lessee, enter said Property, remove any signs of the Lessee therefrom, and re -let the same as it may see fit, thereby voiding and terminating this Lease; and for the purpose of such re -letting, the Lessor is authorized to make reasonable repairs in or to said 6 P:oECKLEYIGLENW00DLLEASE4WP0 Property, as may, in the reasonable opinion of the Lessor, be necessary for the purpose of such re- letting. The provisions of this paragraph shall not be binding on Lessee if Lessee vacates the Property due to a Default by Lessor. 16. Removal of Lessee's Property. If the Lessee shall fail to remove all effects from said Property upon the abandonment thereof or upon the termination of this Lease, the Lessor, at its option, may remove the same in any manner and store the said effects without liability to the Lessee for loss thereof, and the Lessee agrees to pay the Lessor on demand any and all expenses incurred in such removal including court costs and attorney's fees and storage charges on such effects for any length of time the same shall be in the Lessor's possession. The Lessor, at its option, and after 30 days written notice to Lessee, may sell said effects, or any of the same, at private sale and without legal process, for such prices at the Lessor may obtain, and apply the proceeds of such sale upon any amounts due under this Lease from the Lessee to the Lessor and upon the expense incident to the removal and sale of said effects, rendering the surplus, if any, to the Lessee. 17. Loss or Damage to Lessee's Property. All personal property of any kind or description whatsoever in the Property shall be at the Lessee's sole risk, and the Lessor shall not be held liable for any damage done to or loss of such personal property, or for damage or loss suffered by the business or occupation of the Lessee arising from any act or neglect of other occupants of the building, or of the employees of the Lessor or of other persons, or caused in any other manner whatever, except in the case of neglect or negligence on the part of the Lessor. 18. }told Harmless and Indemnity. Lessee shall hold harmless and indemnify Lessor, Lessor's agents and their respective successors and assigns, from all injury, loss, claims or damage to any person or property while on the Property, or arising in any way out of Lessee's business on the Property, which is occasioned by any negligent act or omission of Lessee, its employees, agents, invitees, licensees or contractors. Lessor shall hold harmless and indemnify Lessee, Lessee's agents and its respective successors and assigns from all injury, loss, claims or damage to any person or property while on the Property, or arising in any way out of Lessor's ownership of the property or which is occasioned by any negligent act or omission by Lessor, its employees, agents, invitees, licensees or contractors. 19. Insurance. Lessee shall, at Lessee's expense, obtain and keep in full force, liability insurance and workers compensation insurance as required by law in form and substance and from an insurer reasonably satisfactory to Lessor, and will, upon Lessor's written request, provide copies of insurance certificates evidencing the same to Lessor. Lessee shall, at its own expense, (a) maintain bodily injury liability insurance against such claims for personal injury or death for a limit of not less than $1,000,000 each person and not less than $1,000,000 each accident (and shall name Lessor as an additional insured under such policies); and (b) property damage liability insurance against such claims for property damage for a limit of not less than the lesser of the present value of Lessee's improvements and Trade Fixtures on the Property or $1,000,000 each accident. Lessee and Lessor shall provide to the other party copies of all insurance policies covering the Property or subject building, promptly upon the other parties' request. 20. Occupational Safety and Health Act. Lessee and Lessor, to the extent of their interests, shall fully comply with the Occupational Safety and Health Act of 1970 (as amended)(Chapter XVII, Title XIX of the United States Code)(OSHA) or applicable state statute adopted pursuant to OSHA. It shall be Lessee's obligation to fully comply with the provisions and standards as contained in said Act (or as the sane may be amended) subject to the division of responsibilities between Lessee and Lessor set forth herein and Lessee shall hold Lessor harmless from any obligations or responsibilities of Lessee, if any, created under said OSIiA or other applicable federal or state statute. Further, Lessee shall be responsible to make any and all repairs and alterations to the structural and non-structural components of the Property, or to any appurtenances situated upon the Property, that may be required by OSHA or any other statute, law or ordinance in effect at the time of the execution of this Lease or which may hereafter be enacted and as specifically required by this Lease. 21. Right of First Refusal. If at any time during the Term of this Lease, Lessor desires to accept an offer to purchase all or any part of the Property from any person or entity, Lessor shall promptly provide a copy of such offer to Lessee. Lessee shall have the right, within 30 days of receipt of such offer, to notify Lessor in writing that Lessee desires to match the terms of such offer 7 PAD EC KLEYIGL E NWOO nLLEASE 4 WPO and purchase the Property and the Cave, in which case, Lessee shall have an additional 30 days in which to close the purchase of the Property and the Cave on the terns substantially the same as those contained in the initial offer. In the event Lessee elects to match the initial offer, and the initial offeree amends or increases the offer, Lessee shall be furnished a copy of the amended or increased offer and shall then have an additional 30 days to elect to match the new offer plus 30 days to purchase the Property. The terms of this Section shall apply to all offers to purchase all or any portion of the Property and all amendments or increases thereto. All of Lessee's obligations under this Lease shall terminate in the event title to the Property becomes vested in Lessee. 22. Option to Purchase. At any time during the Term of the Lease or any extension thereof, Lessee shall have the right to purchase the Property, Lessor's 50% ownership in the Washington Lode property, and all easements and ROW as set forth in Section 7 hereof, and all of Lessor's subsurface rights to the Cave for a total price of $500,000.00 (the "Option Price'). The purchase of the Property shall close within 45 days of Lessee's written election to exercise its option to purchase and Lessor shall execute any documents reasonably required by Lessee to transfer title to the Property, the Washington Lode, the Cave, the easements and ROW and any other access rights, easements, zoning, or governmental approvals or permits and other rights used or usable in conjunction with the Property, the Cave, or the Project. All of Lessee's obligations under this Lease shall terminate in the event title to the Property becomes vested in Lessee. Commencing January I, 2005, and each January 1 thereaRer that this Lease is in effect, the Option Price shall be increased for the following year based on the CPI Index published nearest to the date of this Lease, or any previous increase as the case may be (the "Beginning Index") and published nearest to the date of the subject increase (the "Adjustment Index"). The Option Price for the following calendar year shall be calculated by multiplying the existing Option Price by a fraction, the numerator of which is the Adjustment Index and the denominator of which is the Beginning Index. In no event shall the Option Price, or any redetermination thereof, be based on or increased by any improvements to the Property, or increase in value therefrom, which are made by Lessee. In no event shall the Option Price increase by more than ten percent (10%) per year. Lessor shall have the right to finance the Lessee's Option Price for the purchase of the Property under this Section 22, provided Lessor gives Lessee written notice of Lessor's intention to do so within ten (10) days of Lessee's written election to exercise its option to purchase. If the Lessor elects to finance the Option Price, the same shall be evidenced by Lessee's (or its permitted assigns under the second sentence of Section 12 herein) promissory note to the order of Lessor which note shall be in the principal face amount of the Option Price, be nonrecourse to Lessee or its assigns, and bear interest at a fixed rate of ten percent (10%) per annum. The promissory note shall contain reasonable commercial terms as to defaults and rights of the holder with a 15 day notice and cure period prior to default. The promissory note shall mature ten years from the date of execution and shall be paid in equal monthly payments of principal and interest sufficient to fully amortize the principal and interest due on the note in ten years. There shall be no prepayment penalty on the promissory note alter three years from the date of its execution. The promissory note shall be secured by a commercially reasonable first priority Deed of Trust on the Property. If Lessor fails to give notice of its intent to finance as set forth above, or fails to close such financing within 45 days of Lessee's written election to exercise its option to purchase, Lessee shall have no obligation to accept such financing from Lessor and shall have an additional thirty days to close the purchase of the Property. 23. Real Estate Taxes. Lessor agrees to pay all real estate taxes on the Property imposed by any federal, state, county, or local governmental agency or authority as the same become due. In the event such taxes are not paid when due, Lessee niay pay such taxes, and any interest or penalties thereof, and deduct such amounts from the rental payments due to Lessor. Lessee shall be responsible for reimbursement to Lessor of the amount of any increase in real estate taxes on the Property directly attributable to improvements to the Property which are made by Lessee. 24. Sale or Foreclosure of Property. Lessor agrees that, in the event Lessor enters into a contract for the sale of the Property to any third party which is not matched by Lessee as set forth above, such contract shall provide that Lessee niay retain possession of the Property until termination of this Lease. Lessor shall immediately notify Lessee of Lessor's receipt of any notice of foreclosure affecting the Property by any lienholder thereon. 8 P lOECKLEYIGLENW00DLEASE4.WPo 25. Waiver. No waiver of any provision herein or of any breach or Default of any of the conditions or covenants of this Lease by the Lessor or Lessee shall be deemed to permit or constitute a continuing waiver of that provision or any other provision of this Lease or any succeeding or other breach or Default hereunder. 26. Amendment or Modification. No amendment or modification of this Lease shall be valid or binding unless expressed in writing and executed by both of the parties hereto in the same manner as the execution of this Lease. 27. AltomeVs and Arbitration Fees. In the event any dispute arises concerning the terms of this Lease or the non-payment of any sums under this Lease, and the matter is turned over to an attorney or arbitration, the party prevailing in such dispute shall be entitled, in addition to other damages and costs, to recover reasonable attorney's and arbitration fees from the other party. 28. Arbitration. A. Agreement to Arbitrate. Subject to the provisions of the next paragraph below, Lessor and Lessee agree to submit to binding arbitration any and all claims, disputes and controversies between or among them, whether in tort, contract or otherwise (and their respective employees, officers, directors, attorneys, and other agents) arising out of or relating to in any way to this Lease and its administration, modification, extension, enforcement, default or termination. Nothing in the preceding paragraph, not the exercise of any right to arbitrate thereunder, shall limit the right of any party hereto (1) to exercise self-help remedies such as repossession or as set forth in the Colorado Revised Statutes; or (2) to obtain provisional or ancillary remedies such as replevin, injunctive relief, attachment or appointment of a receiver from a court having jurisdiction, before, during or after the pendency of any arbitration proceeding. The institution and maintenance of' any action for such judicial relief, or pursuit to provisional or ancillary remedies, or exercise of self-help remedies shall not constitute a waiver of the right or obligation of any party to submit any claim or dispute to arbitration including those claims or disputes arising from exercise of any such judicial relief, or pursuit of provisional or ancillary remedies, or exercise of self-help remedies. B. Selection of Arbitrator. Arbitration hereunder shall be before one neutral arbitrator, being a person from one of the following categories: (1) an attorney who has practiced in the area of commercial law in the State of Colorado for at least eight (8) years or a retired judge at the district court or appellate court level from the State of Colorado; or (2) a person with at least eight (8) years experience in commercial real estate leasing. The parties to the dispute or their representatives shall obtain from AAA a list of persons meeting the criteria outlined above and the parties shall select the person in the manner established by the AAA. C. Governing Laws and Rules. Such arbitration shall proceed in the State of Colorado in the City and County of Denver, shall be governed by Colorado law, including all applicable statutes of limitations, and shall be conducted in accordance with the Commercial Arbitration Rules of the American Arbitration Association ("AAA"). Judgement upon the award rendered by the arbitrator(s) may be entered in any court having jurisdiction. D. Discovery. In any arbitration hereunder: (1) the arbitrator(s) shall decide (by documents only or with a hearing, at the arbitrators' discretion) any pre -hearing motions which are substantially similar to pre -hearing motions to dismiss for failure to state a claim or motions for summary adjudication; (2) discovery shall be permitted, but shall be limited as provided in Rule 26.1(c) of the Colorado Rules of Civil Procedure, and shall be subject to the scheduling by the arbitrator(s), and any discovery disputes shall be subject to final determination by the arbitrator(s); and (3) the arbitrator(s) shall award costs and expenses of the arbitration proceeding in accordance with the provisions of the Lease. 29. Notices. All notices or demands of any kind which the Lessor or Lessee niay be required to serve on the other party under the terns of this Lease shall be in writing and may be delivered by personal service or by mailing a copy thereof by registered or certified mail, postage prepaid, addressed to the respective parties referred to herein at the address specified below or at such other address or addresses as may from time to time be designated by such parties in writing. 9 P:U3ECKLEY\GLENWOODLLEASE4.WPD Service shall be deemed complete at the time of the delivery of such notice as aforesaid or within three days after mailing of the same. All titles and captions are for convenience only and are not a part of this Lease. This Lease shall be binding on the parties, their personal representatives, successors and assigns. Should any provision of this Lease violate any federal, state or local law or ordinance, that provision shall be deemed amended to so comply with such law or ordinance, and shall be construed in a manner so as to comply, and the remainder of this Lease shall not be affected thereby. LESSOR LESSEE POW, INC. 1MB PROPERTIES, INC By //,/Cc/%L. Peter Prebble, President Address: 5155 Raleigh Street Denver, Colorado 80212-2609 By Steve Geckle Address: c/o Steve Beckley P. 0. Box 4491 Englewood, Colorado 80155 10 PABECKLE0GLENW000LLEASEJ.WPD STATE OF COLORADO COUNTY OF ✓2f/470-0/1/ ) ss. The foregoing instrument was acknowledged before me this .."1-€ day of /Fea.. 1998, by Peter Prebble, President of POW, Inc., a Colorado corporation, on behalf of said corporation. Witness my hand and official seal. e%..4, r 9, red Notary Public My commission expires: // 7//-00 / STATE OF COLORADO !%EA/ vER ) ss. COUNTY OF ) nQ The foregoing instrument was acknowledged before the this2,1 day of h PR I L , 1998, by Sieve Beckley, President of JMB Properties, Inc., a Colorado corporation, on behalf of said corporation. Witness my hand and official seal 771 Notary Public My Commission Expires: 3/'Z/'z`c� 11 P:aECKLEY\GLENW000LLEASE4.WPD EXHIBIT A to Lease between Glenwood Corporation and POW, Inc. dated April 22, 1998 The leased Property is the southern one-half of the parcel of real estate described as follows: Township 6 South, Range 89 West of the Sixth Principal Meridian Section 3: NW/LISW/4 Section 4: Lot 10 However, in no event shall the leased Property include less than 35 acres; and in the event the leased Property as described above is less than 35 acres the northern boundary shall be adjusted northward so that the leased Property includes at least 35 acres. The leased property shall also include the easements, rights of way, licenses or rights or use of access described in Section 7 of the Lease, and is subject to all easements, rights of way, licenses or rights of use of access for the benefit of other tenants of Lessor. 12 PABECKLEY\GLENWOODLLEASE4WPD EXHIBIT 13 to Lease between Glenwood Corporation and POW, Inc. dated April 22, 1998 The leased Property includes all subsurface rights to the real estate described as follows to the extent that portions of the cave are located thereunder: Township 6 South, Range 89 West of the Sixth Principal Meridian Section 3: NW/4SW/4 Section 4: Lot 10 as well as all of Lessor's interest in the subsurface rights under the Washington Lode to the extent that portions of the cave are located thereunder. 13 P:\BECKLEY\GLENWOODLLEASE4.WP0 EXIIIBIT C to Lease between Glenwood Corporation and POW, Inc. dated April 22, 1998 Attachment D ENGINEERING REPORT AND TRAFFIC COUNTS CROCK NCREEK MSTUDIO,, august 27, 1998 lir. Mark Bean Director of Planning, Garfield County 109 8'h Street rlenwood Springs, CO 81601 9.E: Glenwood Caverns hear Mr. Bean: (ehicular access to the Glenwood Caverns will be via an existing dirt/gravel road that crosses federal land managed by the Bureau of Land Management (BLM) and private landowners. Most f the road generally follows the historic Transfer Trail from Glenwood Springs, but near the top f the ascent, access to the Glenwood Caverns departs the Transfer Trail. The winding road has a hardpacked surface, which varies in width. Over the two miles from the town to the cave ',trance the road climbs at an average grade that exceeds 9%. The road had commercially ,kplications in the past, including the transportation of mined limestone from quarries adjacent to the road. Presently the road is used for recreation and the maintenance of communication sites ear the cave on a seasonal basis. The road has not been plowed for the past several winters Which eliminates wheeled vehicles, however the snow covered surface is frequented by spowmobilers, cross country skiers and snowshoers. 1' have traveled the entire length of the road from Glenwood Springs to the caverns on several ^ccasions since April 1998. In that time I have observed the durability of the traveled surface, e drainage facilities and sight distances as related to the safe operation of motor vehicles. I have witnessed snowstorms, spring runoff, intense thunderstorms and periods of no precipitation. "The road has held up remarkably well despite the lack of regular maintenance. This is most ,kely attributable to heavy mining trucks that used to travel the road, the rocky subbase and the steep grades, which do not allow surface runoff to pond near the road. The few areas were 'onding occurred appear to be the result of localized anomalies. Most of the wear to the road _ccurs when the surface becomes saturated due to a seasonally high water table, uncontrolled runoff or during heavy precipitation events. The vehicles that use the road when dry cause a user amount of wear. Airborne dust generated by vehicular traffic is most prevalent in the few “teas where rock does not predominate the road subbase and during times of little precipitation. However, even small amounts of water appear to have a relatively long lasting effect as a dust ippressant. The loudest and most annoying noises emanate from the 2 -cycle engines that power motorcycles, snowmobiles, and ATV's. huttle buses will be used to transport tourists to the cave. The buses will not be as heavy as a loaded mining truck that once traveled the road and will not be as long as some of the RV's that zccessfully navigate the road to the upper parking area. It is anticipated that the maximum umber of tours per day that Glenwood Caverns can accommodate is twenty-four (24). Additional trips by support and maintenance vehicles will also be required. The total number of round trips per day associated with Glenwood Caverns may approach forty (40) during the peak tourist season. This is roughly equivalent to the traffic generated by 8 to 10 single-family homes. The Transfer Trail should be able to handle the extra traffic volume without adverse impacts to the current recreational users. The sight distances at several spots along the road are unsafe, especially at the switchbacks, but this can be easily remedied by cutting back the scrub oak in select areas. Before commencing regular shuttle service, the road should be upgraded in several areas. The following list of recommendations will provide for a safer, more easily maintainable road. Install a culvert above the intersection of Traver Trail. This will allow the water in the ditch on the eastern side of the road to make it to the natural drainage on the west side of the road without crossing the surface. Remove all debris and brush from the roadside ditches. This will reduce the possibility of storm water runoff exiting the ditch and crossing the surface of the road. Clean existing culverts. Culverts that are even partially filled with sediment and debris often are unable to function properly during intense precipitation events. Most culverts on the road do not require cleaning and are in good shape. All brush should be removed or cut back wherever it is possible to improve site distances. The safety of the switchbacks and a few isolated areas on the Transfer Trail can be significantly improved with minor brush removal. Most of the removed vegetation will be scrub oak. Localized drainage problems should be fixed. There are several areas where the roadside ditches have silted and no longer convey storm water runoff. Instead, the water remains in the ditch until it evaporates. Repair the soft spots and areas where the road seeps water. These places are not identifiable at this time of year, but next spring they should reappear. These spots can be improved by either installing a subdrain system or by over excavating the road and importing clean pit -run. Create a proactive road maintenance program that deals with small problems before they become large. This could include blading the road surface and cleaning the roadside ditches and culverts on a monthly basis; using water or magnesium chloride as a dust suppressant on an as needed basis, and clearing brush on a yearly basis. Other areas that may need to be addressed on a less infrequent basis are resurfacing portions of the road with aggregate base course and repairing cut and fill slopes that have been scarred by erosion. Sir}cerely, Kenneth W. Cur an PE -PLS 25620 is sPpO R'EGjST t, wtt : . •r 25620 • A8/�8/9f : 5. 4 N D HIGH COUNTRY ENGINEERING, INC. 923 Cooper Avenue Glenwood Springs, CO 81601 (970) 945-8676 • FAX: (970) 945-2555 TO6t[VC: ECKI.EY' DATE JVIl' 23 1/98 PD t '/491 SUBJECT —17:: r R4.1 Etc wo ° Co g015-5- jcs VOI Lw>7e Cam -Fs ATTN 9rEVE FAX NO Sheet of JOB NO. 98065.0I We are sending the following: gHerewith ❑ Under separate cover $i Photocopies 0 Prints 0 Documents ❑ Mylars 0 Shop Drawings NO. OF COPIES ITEM LATEST ITEM DATED REMARKS 1 Cay pages i /3 _ provAc Edck,y -� (mdt&&GCo/ —Cies e Cov,4h ave 'ion - difecironci / tic vvoo have aN Q / -fro 15 / p/ease fire W ce !� 3e or Eric.. —Ci 5 i If material received is not listed above, kindly notify us at once. �`Transmitted by: First class mail U.P.S. Next Day Air ❑ Federal Express ❑ U.S. Express Mail ❑ U.P.S. Std. Service 0 Messenger ❑ Pickup O FAX Volume Count Report Generated by MSC3000 Version 2.01 Location Location Code County Recorder Set Recording Start Recording End Sample Time Operator Number Machine Number Channel Divide By Summation Two -Way • Copyright 1990-1992 Mitron Systems Corporation Transfer Trail Volume Counts 98999 Garfiel 07/17/98 18:13 07/17/98 19:00 07/23/98 08:45 15 Minutes 4 1 1 2 No No Friday 07/17/98 Channel: 1 2000 2100 2200 2300 2400 0100 0200 0300 0400 0500 0600 0700 0800 0900 1000 1100 1200 1300 1400 1500 1600 1700 1800 1900 Totals 3 1 1 1 3 3 0 0 0 0 1 1 0 4 3 3 2 7 8 3 13 6 12 2 77 0 1 0 0 0 0 0 0 0 0 0 0 0 2 0 0 0 3 0 0 2 2 3 0 2 0 0 1 3 2 0 0 0 0 0 1 0 1 1 0 2 2 2 2 3 2 1 0 1 0 0 0 0 1 0 0 0 0 0 0 0 1 2 1 0 1 4 0 3 0 5 1 0 0 1 0 0 0 0 0 0 0 1 0 0 0 0 2 0 1 2 1 5 2 3 1 AM Peak Hour 10:30 to 11:30 (5 vehicles) AM Peak Hour Factor 62.5% - PM Peak Hour 15:00 to 16:00 (13 vehicles) PM Peak Hour Factor 65.0% Saturday 07/18/98 Channel: 1 2000 2100 2200 2300 2400 0100 0200 0300 0400 0500 0600 0700 0800 0900 1000 1100 1200 1300 1400 1500 1600 1700 1800 1900 Totals 7 6 1 4 2 2 0 0 0 0 0 2 2 4 9 11 3 8 5 10 11 11 7 3 108 1 0 1 1 0 0 0 2 6 0 2 0 1 0 3 0 0 1 2 0 0 1 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 2 0 0 0 0 2 0 2 0 0 2 2 0 2 5 0 3 4 4 1 2 0 0 5 0 1 2 3 2 0 0 5 0 3 2 AM Peak Hour 09:45 to 10:45 (12 vehicles) AM Peak Hour Factor 60.0% PM Peak Hour 15:30 to 16:30 (15 vehicles) PM Peak Hour Factor 37.5% 2 5 3 1 10 0 0 1 1 3 2 0 1 Volume Report, 'Transfer Trail Volume Counts' page 2 Sunday 07/19/98 Channel: 1 2000 2100 2200 2300 2400 0100 0200 0300 0400 0500 0600 0700 0800 0900 1000 1100 1200 1300 1400 1500 1600 1700 1800 1900 Totals 4 15 4 2 0 0 0 0 0 0 0 3 1 0 0 0 2 1 2 0 0 2 2 2 40 0 3 0 2 0 0 0 0 0 0 0 0 1 0 0 0 0 0 2 0 0 0 1 1 1 6 1 0 0 0 0 0 0 0 0 3 0 0 0 0 2 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 0 1 3 6 2 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 AM Peak Hour 06:15 to 07:15 (4 vehicles) AM Peak Hour Factor 33.3% PM Peak Hour 20:00 to 21:00 (15 vehicles) PM Peak Hour Factor 62.5% Monday 07/20/98 Channel: 1 2000 2100 2200 2300 2400 0100 0200 0300 0400 0500 0600 0700 0800 0900 1000 1100 1200 1300 1400 1500 1600 1700 1800 1900 Totals 2 6 1 2 1 0 0 0 0 0 0 3 1 3 1 1 5 8 0 2 0 2 7 2 47 0 1 0 2 0 0 0 0 0 0 0 0 1 3 0 0 4 0 0 0 0 0 0 0 0 4 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 1 0 0 0 0 1 0 2 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 7 0 0 0 2 1 2 0 1 0 0 1 0 0 0 0 0 0 3 0 0 0 1 0 0 0 2 0 0 5 0 AM Peak Hour 10:45 to 11:45 (6 vehicles) AM Peak Hour Factor 37.5% PM Peak Hour 12:00 to 12:45 (8 vehicles) PM Peak Hour Factor 28.6% Tuesday 07/21/98 Channel: 1 2000 2100 2200 2300 2400 0100 0200 0300 0400 0500 0600 0700 0800 0900 1000 1100 1200 1300 1400 1500 1600 1700 1800 1900 Totals 3 5 2 2 0 0 0 0 0 0 2 2 3 0 1 1 7 1 0 4 2 0 5 0 40 0 1 0 0 0 0 0 0 0 0 1 2 2 0 0 1 1 1 0 0 1 0 0 0 3 1 1 1 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 2 1 0 2 0 0 3 1 1 0 0 0 0 0 0 0 0 1 0 0 0 2 0 0 1 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 4 0 0 1 0 0 2 0 AM Peak Hour 11:00 to 12:00 (7 vehicles) AM Peak Hour Factor 43.8% PM Peak Hour 14:15 to 15:15 (5 vehicles) PM Peak Hour Factor 62.5% Volume Report, 'Transfer Trail Volume Counts' page 3 Wednesday 07/22/98 Channel: 1 2000 2100 2200 2300 2400 0100 0200 0300 0400 0500 0600 0700 0800 0900 1000 1100 1200 1300 1400 1500 1600 1700 1800 1900 Totals 0 8 2 1 4 1 0 0 0 0 0 2 3 1 22 0 0 1 0 4 1 0 0 0 0 0 1 2 0 0 3 1 0 0 0 0 0 0 0 0 1 0 0 0 2 0 0 0 0 0 0 0 0 0 0 1 1 0 3 0 1 0 0 0 0 0 0 0 0 0 AM Peak Hour 06:15 to 07:15 (3 vehicles) AM Peak Hour Factor 37.5% PM Peak Hour 20:15 to 21:15 (9 vehicles) PM Peak Hour Factor 75.0% Attachment E PROMOTIONAL BROCHURE PI ROCK CCREEK AND HISTORIC FAIRY CAVES Cat,. xwt ua tau 19M, at the 4.at the ranch of r f j7Valley- (Jar - till sell at pub• • ``heLhigbeet bid• Sia breaded "M" lo forehead. to. :nt, eight mooths try a lien:fur the _ 'd cow sod calf dcosta of sale. of npprxiscment :eedings had be - 1e a( the peace, I. C. Citu'n. y, d not to give my or. any credit on ) pay any bills of - 'i date. RN O CoNYOR. 1597. reicca. ,lore-: one round trip. on �liag 50 er more of Easter Star _ I one and coo- (qp. on the ser -O or marc at • Jct. 31. stop - he round trip GIeon'ood by anver. Colorado ;tog. Agent. A. 11. Smith Band House "e, $1. _rat 1 02575752S25ZS25ZS2S2S-25-2575257-525252575257-52b FAIRY • CAVES 252525252525252315752.525252525252525252525252575252525252525s are now OPEN to the •Public. THEY ARE TH Hi Eighth Woiicler of the World. The other SCCen !Ponders Were 2. The Prrarruds of Egypt. °. The Pharos of Alexandria. 3. The Walls and Trutging Gardens of Babylon. 4. The Temple of Diana at Ephesus. 5. Tite Statue of Olympian, Jupiter. G. The .11ausoleulrt of Artemisia, and i. The Colossus of Rhodes. The FAIRY CAVES, n}thourh iu existence \vith the other Seven 'Won- ders. were undiscovered, and for thtit revou not included in the list. They Are situated near the summit of Iron Mountain which firma the background of the Ilol.l Colorado. They oro nt easy nccese either by carriage, horseback ur trail, and are Ices than a mile from Glee wool Springs. The es r ee cine i et of A number of eubterraoean caverns. grottoes and labyro tbian corridors. curiously adorned with the must beautiful calcareous furmatiuoa of 8talacti toi, stalagmites and pdia rs, tranelucrnt, variegated And brightly scintillating. Thema laves are All lighted by electricity. producing a epectacular refect of sparkling brilliaa�: v, relioved only by Cell otic shadow, and cIn8'ere of dark colored moan, hair like io its apprareoce, banging from above. A visit to Glenwood Syringe without snei ng this. the Eighth Wunder nt 1be World. would be like the play of 1lmniet with Ilam,et left out. TICl( ETS can bo Procured either At the nfliee of the Company on Eighth etree'. senr Grand avenue, at any of the hotels in the city. or at the City Drug Store. corner Eighth street and Ilrand avenue. Price of Admission 50 Cents. THE FA.IRY CAVE COMPANY, FSON T iES NISTC.9!CAL SOC= Y, IXC. By C. W. DARROW, President, 1001 CC..•C' OO,i:c. tA LE`ANCCOSt^^SINGS "C v Slf:.1 viik TAKEN FROM "THE AVALANCHE" MAY 27th, 1897 GLENWOOD CAVERNS & HISTORIC FAIRY CAVES INTRODUCTION The caverns are located on approximately 40 acres '/z mile North of the City of Glenwood Springs. These caverns are quite extensive and would provide an excellent tourist attraction for the City of Glenwood. Public lands surround the property on three sides with the remaining southern adjacent property being an undeveloped tract. Since the property is 1300 feet above Glenwood Springs any construction or buildings will have a minimal visual impact from the city. Currently, access to the property is on the upgraded portion of transfer trail. HISTORY The Darrow family originally homesteaded the property in the late 1800's. Around 1886 C.W. Darrow opened the Fairy Caves for public tours. In 1895 the cave tour was further developed by constructing pathways and installing electric lights. In 1897 a tunnel was blasted to the cliff face providing a splendid view of Glenwood Canyon and the Colorado River 1200 feet below. Access to the cave was on Transfer Trail by horse or carriage. The cave remained open to public tours until 1917 when the cave was closed due to World War I. In 1960 a small hole, later affectionately called Jam Crack, was found in the back part of the known cave. This subsequently lead to the discovery of the lower sections quadrupling the length of the known cave. In 1961 POW, INC., in hopes of re -opening the property as a commercial tour, purchased the cave and 80 acres. During the last thirty-eight years several additional rooms and passageways were discovered which brought the total surveyed length of the cave just under 2 miles. The cave and property have remained idle since POW, Inc. purchased the property with very few people obtaining access to the cave. In April 1998 JMB Properties Inc. obtained a lease on the cave and 40 acres from POW, Inc. PROJECT PROPOSAL Currently, the property is zoned Agricultural/Industrial (A/I). The applicant desires to make a text amendment and obtain a special use permit to allow for the property to be used for a tourist cave attraction. The project will encompass a retail operation in the Hotel Colorado where tourists will be picked up by a medium sized shuttle bus and driven to the property via the Transfer Trail. The maximum tours per day would be 24 with the Cave being open seasonally April through October. Upon arrival the tourists will have the opportunity to tour the historic Fairy Caves as well as the newly opened portions of Glenwood Caverns. Upon completion of the tours, the visitors will be shuttled back to Hotel Colorado. Initially, the only development of the property will be the installation of pathways, new lighting, and handrails within the cave. Eventually, a small visitor's center will be built on the property. The visitor's center will have a minimal visual impact from the city. GLENWOOD CAVERNS FACT SHEET Cave temperature: Elevation: Feet of Passageway Tours: Location: Season Planned Opening: Cool & comfortable 52 degrees year round. (Visitors may want to bring a light sweater) 7100' Approximately 2 miles of surveyed passageway with new passageways continually being discovered. The tour consists of approximately 1900' of walking trails that wind through subterranean caverns, grottos, and labyrinths of corridors. In the future, the tour will be expanded to 1/2 mile accessing additional rooms and passageways. Also, for the more adventurous, the explorer's tour will be offered which will consist of a 3-4 hour trip through the beautifully decorated back sections of the cave. Approximately '/ mile north of Glenwood Springs, on top of Iron Mountain Approximately April 15th - November l', depending on the weather May 15h, 1998 (approximate) One of the most decorated caves in the state of Colorado with a variety of formations including large stalactites, massive stalagmites, the largest cave bacon formation in the State, rare gypsum flowers and needles, and the exceptionally uncommon aragonite crystals. Contains two of the largest rooms in the state of Colorado: The Barn whose ceiling height exceeds a five story building, and King's Row which is literally a paradise with many unusual and very beautiful active formations lining its entire length. Picturesque views of the Glenwood Canyon, Mount Sopris and Roaring Fork Valley; Formed in the Leadville limestone, which were deposited approximately 325 million years ago. Tour includes: Historic Fairy Caves, Exclamation Point which offers a dramatic view 1200 feet below to the Colorado river, nature trail, and ultimately will allow access into the virtually unexplored lower level of the cave. HISTORY • The early history of Fairy Caves, who discovered it, when it was discovered, and why it was named Fairy Caves remains a mystery. • Originally homesteaded by the Darrow family of Glenwood Springs. • Around 1886, C.W. Darrow opened Fairy Caves for public tours. • Sept 16, 1895, Fairy Cave Company formed. During this period a pathway was constructed, electric lights were installed, and a tunnel was blasted out to the cliff face providing a splendid view of Glenwood Canyon. Access to the Caves was by carriage, horseback, or trail. • The Caves remained open to the public until 1917, the beginning of WWI. • In 1960 a small hole, later affectionately called Jam Crack, was found. This subsequently lead to the discovery of the Barn and Ring's Row. • Purchased by current owner n 1961. Stalagmite (top) and Stalactite (bottom) with rare Argonite Crystals in King's Row. Steve & Jeanne Beckley Glenwood Caverns P.O. Box 4491 Englewood, CO 80115 (303) 799 9828 Ext 151 Attachment F Agricultural/Industrial Zone District Text nROCK NCREEK flsruDIO.. 3.00 ZONE DISTRICT REGULATION The zone districts shall be governed in conformity with the following regulations: 3.01 A/1--AGRICULTURAL/INDUSTRIAL 3.01.01 Uses, by right: Agricultural, including farm, garden, greenhouse, nursery, orchard, ranch, small animal farm for production of poultry, fish, fur -hearing and other small animals, and customary accessory uses including buildings for shelter and enclosure of persons, animals or property employed in any of the above uses; retail establishment for sale of goods processed from raw materials produced on the lot; Kennel, riding stable and veterinary clinic, guiding and outfitting; Single-family dwelling and customary accessory uses only where it is accessory to the uses listed above. (A. 80-110; 86-09) Accessory dwelling unit approved as a part of a public hearing or meeting on a subdivision or subdivision exemption or quest house special use approved after 7/95 and meeting the standards in Section 5.03.02 3.01.02 Uses. conditional. Aircraft landing strip, airport -utility, salvage yard and sanitary landfill; group home for the elderly. (A. 97-60) Home occupation, storage. (A. 80-180;86-09) 3.01.03 Uses. special: Camper park, agriculture -related business, resort; Airport - air carrier, communication facility, corrections facility-.(.. 97-60) • Plant for fabrication of goods from processed natural resources; material handling, pumping facilities, electrical distribution, warehouse facilities/staging areas, fabrication areas, storage areas, water impoundments, access routes, utility lines, pipelines; extraction,processing; public jathetin ; commercial park; recreational support facilities; guest houses. (A. 80-180; 81-14); 81-26u 86-09) Amason- dwelling unit meeting the standards in Section 5.03.02 for any lot not created after a public hearing or meeting after 7/95. 3.01.04 Minimum Lot Area: Two (2) acres. (A. 80-180) 3.01.05 Maximum Residential Lot Coverage- Fifteen percent (15%). (A. 80-180) 3.01.06 Minimum Setback: (Unless othex-ise permitted by special use permit.) (1) Frontvard: (a) arterial streets: seventy-five (75) feet from centerline or fifty(50) feet from lot line, whichever is greater, (b) local streets: fifty (50) feet from street centerline or twenty- five (25) feet from front lot line, whichever is ,greater; (2) Rear yard: Twenty-five (25) feet from rear lot line; (3) Side yard: Ten (10) feet from side lot line, or one-half (1/2) the building height, whichever is greater. (A. 80-180) 3.01.07 Ma. mum Height of Buildings. Forty (40) feet. (Unless otherwise permitted by special use permit.) (A. 80-180) 3.01.08 Additional Requirements- All uses shall be subject to the provisions of Section 5(Supplementary Regulations). (A. 80-180) 18 SEP -10-1998 1127 September 10, 1998 Dave Michaelson 220 Main Street Carbondale, CO 81623 Dear Dave; THE RIM COMPANIES 7999828 P.01/01 JMB PROPERTIES, INC. 6172 S. Jericho Way Aurora, Colorado 80016 (303) 617-3036 1 Steve Beckley, president of 7MB Properties, Inc. hereby authorize Dave Michaelson and Rock Creek Studios to represent 1MB Properties, Inc. while pursue a zoning text amendment and special use permit on the following property: South 'A of NW/4 SW/4 Section 3 Township 6 South Range 89 West South 1/2 of Lot 10 Section 4 Township 6 South Range 89 West Thank you for your cooperation. Sincerely, Steve Beckley TOTAL P.01