January 23, 2008

Dear Guests and Friends:

We would like to take this opportunity to announce that the Hotel Columbia is under new ownership. Gondola Creek LLC, the owner since 1992, has sold to Columbia Telluride LLC, a private real estate investment company, locally owned and operated. Jim Lincoln, Jeff and Marty Campbell, Owners of Gondola Creek LLC, said they are very pleased with the new local ownership and stated, “We have been searching patiently for the ideal buyer and we are pleased to have found one that will continue with our vision of providing Telluride with luxury accommodations in combination with the incredible dining experience that the Cosmopolitan Restaurant offers”. The new owners plan to renovate the hotel starting in April of this year, with an expected completion date of November 1, 2008. This renovation will start with the lobby area, which is scheduled to be completed in May, to ensure the summer season opening and operations of the Cosmopolitan Restaurant. The multi-million dollar renovation is intended to transform the hotel into a luxury condominium hotel, providing modern amenities, compatible with the global lifestyle that today’s guests and owners demand of a quality property in a premier location like the Hotel Columbia. The Hotel Columbia intends to continue to provide its guests and owners with an exclusive luxury property in the most convenient location in Telluride. The Hotel Columbia will be closed for renovations from April 8, 2008 to November 1, 2008. The Cosmopolitan Restaurant will maintain its usual operating schedule throughout 2008.

The scope of the hotel transformation includes:

• Creating pod seating in the lobby area for both intimate conversation and socializing with friends.
• Installing in-floor heat in all guest rooms.
• Updating bath and shower configurations
• Building new, broad door assemblies that will combine rooms. This layout will provide more spacious suites; each suite will have a kitchenette for family convenience.
• Installing new furnishings, window coverings, flooring and soft goods in all rooms to insure owner and guest comfort.

This new, innovative design will provide both owners and guests with maximum flexibility for individual and family life styles, and guest experiences. The new Hotel Columbia condominium hotel will continue to function as a conventional hotel, however owners will be able to occupy their condominium hotel unit whenever they would like. When the owner is not in residence the unit will be made available as a suite or separate hotel rooms to guests. If you are interested in a Hotel Columbia ownership please contact Telluride Real Estate Brokers, Inc., the exclusive real estate brokerage firm for this property:

Thank You,
Dirk de Pagter

If you would like to receive email updates and information about the Hotel Columbia renovation and/or sales, please email us at: columbia@telluridecolorado.net with what you are interested in and be sure to include your email address.