Climate Finance

Velomont Trail and Vermont Huts: Outdoor Recreation Outcomes-Based Financing

Location: Vermont

Status: Active

Quantified Ventures is working with the Velomont Trail Collective, Vermont Huts Association, Vermont Youth Conservation Corps, Vermont Mountain Biking Association, and the Trust for Public Land on an ambitious project to develop 485 miles of continuous mountain biking trail with huts stretching from Massachusetts to Canada.

The trail and hut network will traverse national forest, state, and private lands, conserving up to 214,000 acres of land for generations through sustainable recreation. The huts will be constructed by Youth Conservation Corps members in a unique workforce development program, providing meaningful workforce opportunities for young Vermonters. Once completed, this visionary project will be the largest hut-supported trail network in the country.

In the last two years, we have collaborated in building out a new joint venture between the Vermont Huts Association and the Velomont Trail Collective, and helped secured funding from state, federal, local, and private investors. The Richard King Mellon Foundation has supported Quantified Ventures’ work on this initiative.

 

Opportunity

Vermont is a globally recognized outdoor destination and has a wide variety of outdoor recreation opportunities throughout the state. In this unique moment where the value of recreation is more widely understood for physical and mental health, as well as economic development potential, Vermont is well poised to build a new legacy project, serving Vermonters by connecting local communities and providing high quality outdoor access for all.

This opportunity comes at a time when Vermont’s population face an important junction, as the state has a need for trade and skilled workers. Hut construction provides local youth with a steady income and a path to a skills-based career.

And, as climate change affects the region, there is a need for people and wildlife to have accessible, connected parcels of land for species migration and healthy outdoor activities for people of all ages and abilities.

This group of Vermont-based partners have an ambitious plan to address these issues through the Velomont Trail and Huts but need support in developing a business case and narrative to make this vision a reality. The viability of the project rests on its ability to secure blended capital from public support, philanthropic funds, private investors, and program-related investments.

Approach

The Velomont project has undertaken Quantified Ventures’ outdoor recreation financing approach that involves joint management of assets and project initiatives, blended financing, and sustainability through diversified revenue sources.

The project is a fantastic example of Quantified Ventures’ approach to outdoor recreation:

  • The Joint Venture is a joint governance and management structure to enable impactful organizations to bring their skills, expertise, and fundraising resources to the table

  • The project has secured blended financing from a government, private, and philanthropic sources, enabled by the governance model

  • The huts serve as a revenue generation entity, enabling a sustainable social enterprise model

As of summer 2022, the team has secured a federal line item of $2.5M to support trail construction and its first private investment from the Richard King Mellon Foundation.

Impact

This project’s impact reaches far beyond the trail and huts that are being built. The Vermont Youth Conservation Corps and the Vermont Huts Association are leveraging the Velomont Trail huts as an opportunity to enhance the Green Mountain State’s recreational infrastructure and provide aspiring young carpenters a hands-on work and learning experience. The partners will build 30+ backcountry huts during the next eight years, enabling an estimated 330 young people to gain technical and managerial skills and certifications. Engaging youth in skills-based work that provides them with steady income helps address an area of economic need that is too often overlooked in environmental projects.  

The project’s quantifiable outcomes that benefit people and planet include:

Sustainable Tourism *

  • 485 miles of contiguous trail

  • 30 new hut facilities along trail corridor

  • 65,000 annual visitors to the trail system (estimated)

  • 26,000 visitor nights in huts

Economic Development *

  • $31MM in total new spending

  • $11MM in increased earnings

  • $2MM in state taxes

  • 112 new jobs

Conservation

  • Up to 214,000 acres of private and public land conserved by project

  • Alignment with, protection of, and sustainable use of a climate resilience corridor

Service *

  • 330 young adults trained through huts construction program

  • $1.1MM in estimated wages earned

  • 2,340 weeks of employment

Health

  • Trail provides healthy activities for both local and out of state users

  • Huts create new points of access for families, beginners, and experts alike

Connectivity

  • Hut to hut trail system connects 12 counties, 27 communities, and 23 trail organizations

    * Cumulative economic impacts and visitation at year 15

Testimonials /
In the News

“Vermont is in the moment where we need to generate a pipeline of talented, trained carpenters and tradespeople. This is a great opportunity to do two things — offer meaningful employment to young adults and provide for an economic need.”  

– BRECK KNAUFT, VERMONT YOUTH CONSERVATION CORPS 

 

Partners