The cessation of legal proceedings between two northern Colorado gaming towns is paving the way for construction of a large $50 million whiskey resort.
The towns of Central City and Black Hawk had plans to litigate the meaning of a 22-year-old intergovernmental agreement that designed to manage growth in both places.
More to the point, that agreement suggested that neither city could develop a significantly large gaming entity to the detriment of the other.
Central City is roughly just over a mile to the northwest of Black Hawk.
When the Black Hawk City Council early last year gave its approval to plans for the development and building of what is being called the Lake Gulch Whiskey Resort, a massive 20-acre whiskey production facility and resort, Central City officials decided to go to court.
Those officials claimed that the resort, to be operated by the Proximo company, which produces Tincup Whiskey, among other brands, would have a negative impact on business in Central City, not to mention the wear and tear from traffic on the Central City Parkway.
Now Central City has decided to discontinue legal proceedings against Black Hawk, while also signing on to a new agreement focusing on the development of unincorporated land surrounded the two towns.
As planned, the Lake Gulch Whiskey Resort will comprise the largest whiskey distillery in Colorado, and will also include hotel space, several restaurants, and an outdoor amphitheater, among other amenities.
Based in Jersey City, New Jersey, Proximo introduced its 84 proof Tincup Whiskey brand in 2014, which is named in honor of the one-time Colorado mining town of Tincup.
That town, in turn, referenced the tin cups used by mid-19th century gold miners.
By Garry Boulard