After nearly three years of vacancy, the famed Red Onion will reopen in May under new ownership.

Jennifer Colosi and her brother, Thomas Colosi, former owner and chef of the Blue Maize restaurant, signed a 15-year lease this week with the owners of the historic Red Onion building, located on the Cooper Avenue pedestrian mall.

The Red Onion – a favorite watering hole and restaurant for many locals and visitors for nearly 120 years – closed March 31, 2007, after operator Dave “Wabs” Walbert’s lease expired. He had run the eatery for more than two decades.

Since then, the owners of the building, Ron Garfield, Andy Hecht, his son, Nikos Hecht and Steve Hansen, have poured millions of dollars into renovating the building, while also preserving its historical character with oversight by the city of Aspen.

Negotiating the lease has been months in the making, and now the Colosis plan to spend the next three months finishing the interior of the building and open for business May 15. They say they will keep the name the same – as it had been for more than a century.

“Why would we take a 100 years of branding and change it?” Jennifer said.

Jennifer said the lease rate enables her and her brother to keep the Red Onion affordable for locals.

“We wouldn’t have entered into that kind of situation if we couldn’t maintain,” she said. “Our experience with [the landlords] has been great. They have given us a fantastic lease that works for everybody. They’ve been very altruistic.”

The building had been leased to restaurateur Scott DeGraff but the deal was terminated in July. DeGraff, who had planned to open the restaurant under the name “Junk at the Red Onion,” has several liens and lawsuits filed against him for allegedly failing to pay contractors who made improvements to the building.

The Colosis said they are confident they’ll be successful in keeping the Red Onion open because it will cater to locals, and Thomas’ 12 years of success at the Blue Maize still resonates with Aspen residents.

They plan to serve lunch and dinner. The kitchen will be open until 1 a.m. and breakfast will be served all day and night long, including the old favorites of chicken waffles and steak and eggs, Thomas said. Brunch will be offered Saturdays and Sundays, and the Colosis plan to have a food cart outside by the patio for quick items like burritos, tacos and meatball subs.

There will be a retail component in the bar/restaurant that will sell freshly-made tortillas from a machine on site and Thomas’ chili rub.

Some of Thomas’ favorite menu items from the Blue Maize will appear at the Red Onion, including jalapeno poppers, steak diablo, the rib-eye and lobster rellenos. Also on the menu will be a $6 cheese burger, along with meatballs and sauce, made from the Colosi’s grandfather’s recipe. Other menu items will be taken from an old Aspen recipe cookbook the Colosis found at the library.

Half portions will be offered at half the price, and happy hour will last from 3-6:30 p.m. and again from 10 p.m. to midnight.

Jennifer, 46, and Thomas, 44, said they understand what the Red Onion means to the community.

“I think it’s going to be so great for this town,” Jennifer said.

Added Thomas: “I said if we do this we want to make sure we’re giving back to the town and the locals.”

The Colosis said that the new endeavor wouldn’t be possible without local commercial real estate broker Bob Langley and the financial backing of their parents.

The Colosis plan to set up a new website, redonionaspen.com, which will update the progress of the interior remodel and the ramp up to the opening. The Colosis are asking people to post their favorite stories, memories and things about the Red Onion so they can try to incorporate some of the nostalgia. Jennifer said the site should be up within a week.

Jennifer described the interior decor and design having a modern flare with a historical perspective. For example, the old framed boxer photos will return, there will be miners’ lanterns, and the ceiling fixtures will have a Victorian feel.

“There is so much history there,” she said. “We have to incorporate that in and also make it hip, casual, fun and cost effective.”

csack@aspentimes.com