Lorian HOA Update, November 2024
Dear Owners,
Fall moves quickly in Telluride, and with winter and ski season approaching, we would like to provide several updates regarding the Lorian.
Insurance Update
As previously shared, reducing our property coverage expenses remains a top Board priority. Despite the significant nationwide increases in property insurance premiums over the last three years, we have secured 2025 coverage of $35 million through our newly appointed agent, Marsh & McLennan Agency. Total premiums for 2025 are $655,208, representing a reduction of $288,581 from our 2024 premiums of $943,789 (which provided $30 million in coverage). This is a substantial savings in our Operating Expense budget and will be reflected in monthly assessment dues for the coming year.
The Lorian is valued between $32 and $38 million, and the Board is confident that $35 million in coverage is appropriate. Once our open insurance claim is resolved—anticipated in May 2025—we expect premiums to decrease again for 2026. Actual figures, however, will not be known until next year.
Capital Improvements
The Sundeck–Catwalk project is approximately 90 percent complete. The new tile looks excellent, and structural work is finished. Top Notch Construction is completing final waterproofing in several areas.
The Board approved $135,000 from Reserves for an additional boiler to support property-wide snow melt, improve real-time management, and eliminate any single point of failure in the residential-use boiler system.
The Board approved $31,000 from Reserves to upgrade our internet service to new fiber infrastructure in Mountain Village. Fiber installation to each phase is complete. Telluride Consulting will soon provide further information to owners about bringing service into each unit, as access points vary across the three phases.
The hot tub will remain closed this winter. A proper replacement solution will require an investment of approximately $100,000, which will be included in the 2025 Reserve budget. The Board will work through the winter to secure full installation estimates for spring.
Roof Update
The roof replacement work by Empire Roofing is complete. We are addressing a few water-related issues caused by insufficient heat trace, but overall, the new roof is fully installed and under warranty.
The critical issue of the non-functioning Phase 2–3 snow melt/heat trace system is nearing completion, with approximately 95 percent of the work finished. We are awaiting custom electrical panels that will manage and automate the system. Once installed, all work will be complete. In the meantime, the system will be manually operated by Telluride Consulting and Slicks. Having a functioning snow melt system across all three phases this winter represents a major improvement.
Legal Update
Depositions are complete, and expert witness reports were filed in October 2024. Mediation in January 2025 and the May 2025 trial date remain unchanged. We continue to work diligently toward productive outcomes despite delays from insurance carriers and opposing counsel.
Board and Owner Meetings
The Board and Telluride Consulting are finalizing the draft 2025 budget. A Board meeting is scheduled for Tuesday, November 19, 2024, at 3:00 p.m. Mountain Time. Zoom access details will be shared with those interested in attending.
Please also mark your calendars for an Owners meeting on Monday, December 2, 2024, at 2:00 p.m. Mountain Time. The purpose of this meeting is to ratify the Board-approved 2025 budget. Additional meeting materials will be circulated as the date approaches. Your participation is appreciated.
As always, thank you to the Board and to everyone whose efforts keep our HOA functioning effectively.
With best regards,
Christy Agan
Board President
Lorian at Prospect Creek Owners Association, Inc.
