The 7,995-acre private resort will be sold in a bankruptcy public auction in early August and could fetch north of $85 million.

TEMECULA, CA—GlobeSt.com has learned that Vail Lake Resort, a 7,995-acre private resort, will be sold in a bankruptcy public auction on August 7 in San Diego. Lee & Associates, which is the listing agent for the auction says it could fetch more than $85 million.

Developed in 1948 when owners of Vail Ranch constructed the 132 foot high Vail Lake Dam, Vail Lake Resort is now a mecca for outdoor sport and entertainment, including the largest private lake in California, 520 full hook-up RV Sites, miniature golf, swimming, boating, fishing, water slides and many other outdoor activities.

Matt Weaver, Al Apuzzo and Patrick Miller of Lee & Associates San Diego North County are the listing agents for the auction. Weaver says that “This one of a kind property is well located in Southwest Riverside County with the majority of Vail Lake within the Temecula School District, the highest rated school district in the Inland Empire.” He says that the property “possesses magnificent views of the Temecula Valley and the Lake.”

He adds that the property is zoned for up to 1600 residential units and the new owner “will have the opportunity to increase revenues through more memberships and increased recreational activities while entitling the property for future residential development.” Weaver says that desirable properties with scale such as this one are difficult to find in such a good location.

Vail Lake, which is privately owned with recreational access to the lake privately controlled, is a large reservoir of 1,000 acres in western Riverside County. Located in Temecula on the Temecula Creek and Santa Margarita River watershed, the resort is approximately 10 miles from Old Town Temecula and seven miles east of I-15 on Highway 795.

Formerly Butterfield Country Recreational Park, Vail Lake Resort was established in 1968 to provide public access to the Lake and its marina, but closed by its owners in 1989. In 1995, a members-only resort facility was opened at the location of the former park; and in 2000, the water activities area was re-opened to the public on an annual fee basis. Today, boating rights on the lake are reserved for annual members only but RV access is open to the public with paid nightly reservation or a day use pass.