PEGASO VAIL REAL ESTATE LLC  (Alejandro Burrillo Azcarraga)

Our research indicates that the house at 365 Mill Creek Circle in Vail, Colorado which is currently valued at (as of September 12, 2016) just over $20 million is controlled by Alejandro Burillo Azcarraga, the Chairman and President of Grupo Pegaso in Mexico.  At times he is a part owner and at other times he is a full owner of the Vail property.

He previously had a long history of occupying senior positions at Grupo Televisa which members of his family had a role in establishing. Grupo Pegaso is a conglomerate consolidating many of Mr. Burillo Azcarraga’s various companies.

Among his current positions Mr. Burillo Azcarraga has been a Director since April, 2013 of Grupo Financiero Banorte and its subsidiary bank, Banco Mercantil Del Norte.  One of his colleagues on those boards is Jose Antonio Chedraui Eguia, the CEO of Grupo Comercial Chedraui , which owns a majority interest in Bodega Latina Corporation, the operator of El Super grocery stores in the United States.

This post only deals with Mr. Burillo Azcarraga’s residential property in Vail.  He has more extensive interests in the United States which we will detail in future posts.

January 24, 1994

This date is for the signing of a Deed of Trust showing Northwind Development L.C. borrowing $3,500,000 from The Laredo National Bank ,which was filed with Eagle County on February 1, 1994, to buy the property at 365 Mill Creek Circle in Vail.  It is interesting, but not necessarily meaningful, that the borrowing took place before the sale was officially complete.

January 28, 1994

Northwind Development L.C., a Texas limited liability company buys 365 Mill Creek Circle in Vail from Keith and Carol Brown.  Northwind Development L.C. was incorporated in Texas on February 19, 1993.  The “initial managers” on this document are listed as Marco Antonio Chavez Mayer, Alejandro Diez Barroso Salido, and Ramon Diez Barroso Salido.  Readers will learn in future posts on this website that records in Texas involving Northwind  show the Barroso Salido brothers as close business associates of Alejandro Burillo Azcarraga.

While the Warranty Deed for this transaction states the nominal amount of “ten dollars and other good and valuable consideration” as what was paid for the property, the Eagle County Property Record Card reveals the actual price paid was $5,500,000. This Warranty Deed was signed on January 28th and filed with the Eagle County Recorder on February 1, 1994.

February 1, 1994

This date is for the filing of a Deed of Trust showing Northwind Development L.C. borrowing $3,500,000 from The Laredo National Bank which was signed by the parties on January 24, 1994 to buy the property at 365 Mill Creek Circle in Vail.

Because Northwind borrowed $3,500,000 and the purchase price was $5,500,000 we infer Northwind put $2,000,000 in cash into the purchase.   Alejandro Diez Barroso Salido signed the Deed as Northwind’s Operating Manager.  He also signed an Assignments of Leases, Rents, and Profits which was filed on the same day, which allowed The Laredo National Bank another means to secure repayment of its loan to Northwind Development L.C.

To further collateralize the loan The Laredo National Bank filed a Financing Statement with the Eagle County Recorder listing the contents of the “single family residence” at 365 Mill Creek Circle.  In other words, if Northwind Development L.C. defaulted on the loan, then the bank could legally seize the contents of the house.

November 12, 1997

On this date two documents were filed involving the transfer of the property from Northwind Development L.C. to Alejandro Burillo Azcarraga personally.  The first document is a Special Warranty Deed  in which Northwind transfers ownership of the property to Mr. Burillo Azcarraga.  We believe that no money was exchanged in this transaction since Eagle County in its current Property Card for 365 Mill Creek Circle only lists one actual sale, the one described above dated January 28, 1994.

The second document filed on the same day was a Consent, Assumption Agreement and Release.  This document recites the history of the property and reflects the transfer of ownership to Alejandro Burillo Azcarraga.  Some relevant portions of the explanation are below:

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Burillo Azcarraga is one of the signatories for Northwind on this transaction:

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The unpaid balance on the loan is $3,011,609.71 which carried a 9% interest rate.  Burillo Azcarraga became responsible for the monthly mortgage payment of $35,252.94.

March 19, 2005

The Laredo National Bank files a new Deed of Trust on the property lending Alejandro Burillo Azcarrga $8,000,000.  This new loan is considered a “Revolving Line of Credit” (Item 25 in the Deed of Trust).

December 31, 2006

Alejandro Burillo Azcarraga signs a Quit Claim Deed transferring ownership of the 365 Mill Creek Circle house to Pegaso Vail Real Estate LLC.  The document is not filed with the Eagle County Recorder until February 6, 2008 and even though the Deed itself is dated December 31, 2006, and the notary only witnessed Mr. Burillo Azcarraga’s signature on September 14, 2007.  We have no explanation for the widely varying dates.

Another document dated December 31, 2006 was also officially filed on February 6, 2008.  This one was a Consent, Assumption Agreement and Release transferring the property from Alejandro Burillo Azcarraga to Pegaso Vail Real Estate LLC, which today is the current owner of the home.  Pegaso assumed The Laredo National Bank loan.  Ramon Diez Barroso signs the document for Pegaso.

January 30, 2007

The Town of Vail approves a real estate transfer tax exemption for the transfer of the property from Alejandro Burillo Azcarraga to Pegaso Vail Real Estate LLC .  While approved on January 30, 2007 it was not officially filed with the Eagle County Recorder until February 6, 2008.  The document itself is difficult in places to read, but it appears to be signed by Alejandro Burillo Azcarraga, whom the document states is the Grantor and the stated reason for the exemption is:  “….transfer is between individual and an LLC in which individual is the owner of the LLC.”  In other words, Alejandro Burillo Azcarraga is stating that as of January 30, 2007 he is the owner of Pegaso Vail Real Estate LLC.  Readers should notice that there is a “question mark – ?” in this document next to the lines about the transfer.  That “question mark” is in the original document.  We do not know who put it there.

April 14, 2011

The Laredo National Bank files a Release of Deed of Trust releasing Alejandro Burillo Azcarraga from the $8,000,000 loan recorded in 2005.  This document indicates that sometime between 2005 and 2011 Laredo National Bank sold the loan to BBVA Compass Bank.

April 15, 2011

JPMorgan Chase files a Deed of Trust lending Pegaso Vail Real Estate LLC  $10,200,000 for an 30 year adjustable rate mortgage starting out at 4.125% (link to Document 14).  This Deed was filed with Eagle County in a more timely fashion – on April 25, 2011.  JPMorgan Chase attached a “Rider” to the agreement requiring Pegaso to only use the property as a “second home” i.e. it cannot be rented to produce income.

 

Note:  There are no other filings after 2011 in Eagle County which would indicate any change of ownership or bank loan relationships involving 365 Mill Creek Circle, Alejandro Burrillo Azcarraga or Pegaso Vail Real Estate LLC.

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365 Mill Creek Circle is currently valued (as of September 12, 2016) at $20,538,240 by the Eagle County Tax Assessor.