Burke Mountain Hotel and Conference Center at its ribbon cutting in September 2016.
by Timothy McQuiston, Vermont Business Magazine The sale of Burke Mountain Resort was approved Thursday, April 24, 2025, by Judge Darrin Gayles in an order from the United States District Court for the Southern District of Florida. Gayles approved the sale of Burke to Bear Den Partners LLC for $11.5 million. The sale was the most notable lingering case involving Ariel Quiros, William Stenger, and other entities associated with securities fraud at Jay Peak and Burke Mountain Resort. Quiros was owner of both resorts.
The prospective new owners told VermontBiz that there are some administrative and accounting pieces to manage and their goal is to close in early May.
Gayles wrote in part: “A private sale to the Buyer is the only current viable alternative for preserving and capturing the value of the Assets for the benefit of the receivership estate. The Purchase Price constitutes the highest offer price received by the Receiver for the Assets.”
And: “The Ground Lease between Burke Mountain Resort and the State of Vermont is in full force and effect with all option periods to expire on December 1, 2054. The State of Vermont has already approved and executed an assignment to the Buyer which has eliminated an extremely important condition to close.”
The case stems from a Securities and Exchange Commission (SEC) enforcement action against Ariel Quiros, William Stenger, and their affiliates for alleged securities fraud brought in April 2016. The court appointed a receiver, Michael I. Goldberg, to manage and dispose of assets within the receivership estate, which includes Burke Mountain Resort.
The SEC enforcement action against Quiros and Stenger, including Jay Peak and Burke Mountain Resort, stemmed from allegations of a massive fraud involving the EB-5 Immigrant Investor Program. This program allows foreign investors to obtain U.S. residency by investing in projects that create jobs in the United States.
Quiros and Stenger were accused of misusing over $200 million of the $350 million raised from investors. These funds were intended for various development projects, including ski resort facilities and a biomedical research facility in Vermont. Instead, the SEC alleged that the funds were misappropriated in a Ponzi-like scheme to cover deficits in earlier projects.
Quiros was also accused of using investor money for personal expenses, such as purchasing a luxury condominium and paying his taxes.
The SEC charged the defendants with violating antifraud provisions of federal securities laws. The court froze their assets and appointed a receiver to manage and recover funds for the benefit of defrauded investors.
Stenger ultimately served 10 months in prison of an 18-month term and was released in March 2023. Quiros began serving a five-year prison term in July 2022.
Goldberg finalized the sale, via auction, of the much larger Jay Peak Resort in September 2022 for $76 million to Pacific Group Resorts, Inc (PGRI).
The most significant EB-5 investment at Burke is the Burke Mountain Hotel and Conference Center. Goldberg issued a statement in March describing the progress of the sale.
In that statement, Goldberg contradicted statements from another buyer and said, “I am now finalizing a contract with a much more credible and financially capable buyer without any contingencies and at a higher price. In my opinion, this buyer will also be much better for the community as it is committing to invest many millions of dollars into snowmaking and other improvements that will greatly improve the skiing experience at Burke and will directly benefit the homeowners, business owners and others who rely on the success of Burke Mountain.” Presumably, this “other buyer” was Bear Den Partners LLC.
The hotel, however, was not part of the EB-5 fraud, according to then Vermont Securities Division Deputy Commissioner, and now state treasurer, Michael Pieciak. Pieciak stated in an affidavit 2023 that the $50 million Burke Mountain Hotel was not included in the April 2016 fraud case because the investment funds for that project were separate from the Jay Peak projects and that the money raised and expended were within the bounds of the EB-5 investment agreement.
The North Star Monthly has reported that Ken Graham, the chairman of Bear Den Partners, said his group expects to invest an additional $10 million short term and $20 million long term to make the resort sustainable.
The Burke Mountain Academy, which World and Olympic ski champion Mikaela Shiffrin attended, is separately owned.
Burke Mountain photo of pond skimming event.
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