In Colorado, a Sky-High Cabin Compound Goes Midcentury Modern

High up in the San Juan Mountains of southwestern Colorado, a couple struck vacation-home gold by building a new cabin compound on a remote lot fashioned out of two old mining claims. Mark Iuppenlatz and his wife, Andrea Vaughan Iuppenlatz, purchased the claims, totaling 20 acres, for $70,000 back in spring 2014. They then spent about $1.6 million to build and furnish the 3,300-square-foot compound, which is made up of three adjoining cabinlike structures.Outfitted with high-end interior finishes, including cedar paneling and hickory flooring, the home, completed in early 2018, is miles away from the utility grid. The pair rely on an $82,000 solar-panel package and a $40,000 backup propane generator system to keep the lights on. During the 8-month-long ski season, when the property is only accessible by skis or snowcat, they have three carbon-neutral wood-burning stoves to keep them warm, and a $37,000 underfloor-heating system to make sure the pipes don’t freeze while they are away. In spring, summer and fall, which are crammed into the remaining four months, natural grasses and wildflowers fill up the sloping lot, which cost $15,000 to landscape.

Mr. Iuppenlatz, 61, and Mrs. Iuppenlatz, 58, are both retired corporate executives originally from Michigan who have launched a new career as owners of a local mountain guide service and ski lodge. Based year-round in the small Colorado town of Ouray—a winter destination known for its ice-climbing and a 20-minute drive down from the compound—the pair use the new home as a weekend and vacation property. It is the ideal base for backcountry skiing, which combines elements of cross-country and downhill, and allows the couple to access powder conditions on virgin slopes by stepping out their front door. Outside of the long ski season, the couple go hiking, or just enjoy the 30-mile vistas outside the window. Mining claims are patented parcels of former Federal land that, in Colorado, typically date to the 19th century, says Daniel Zemke, a Telluride-based real-estate attorney. They have been sold or transferred over time, he says, with surface rights and mineral rights possibly passing to different owners. On the upside, they can sell for less per acre than typical residential plots; on the downside, a party other than the buyer or seller may own, and still claim, mineral rights. Mr. Zemke notes that excavation regulations in western areas of Colorado now typically prohibit new mining, drastically minimizing that risk for buyers in the Telluride and Ouray areas. Still, Colorado mining claims can be tricky to convert into residential use, cautions Dan Dockray, a real-estate agent with Telluride-based LIV Sotheby’s International Realty. Though they promise scenic locations, claims can come with complex access issues, and may require expensive environmental cleanups, he says...WSJ