In an unprecedented move aimed at addressing the city’s homelessness crisis, the Denver city government is offering a former motel valued at over $9 million for a mere $10. However, this bargain comes with a significant stipulation: the buyer must commit to renovating the property and converting it into supportive housing for individuals experiencing homelessness.
A strategic purchase
The property in question, previously known as the Stay Inn, was acquired by the city of Denver in 2023 for $9 million. While some minor repairs have been made since the purchase, the building remains largely untouched. City officials are determined to transform the facility into a residence that provides essential support for those in need, thus addressing the growing homelessness issue in Denver.
Derek Woodbury, a spokesperson for the Denver Department of Housing Stability, stated that efforts are already underway to select a development partner for this unique initiative. “We are hopeful that the procurement will result in a path forward for delivering supportive housing at the site,” Woodbury noted in an email to FOX31.
Terms of sale
The city’s request for proposals outlines that the building will be sold “as is” and includes a covenant requiring it to operate as income-restricted housing for 99 years. This ensures that the facility remains dedicated to serving those who earn up to 30 percent of the region’s median income and are facing homelessness.
“Any resulting proposed purchase and sale agreement would go to Denver City Council for approval,” Woodbury explained. “We are hopeful to bring such an agreement to Council later this year.”
Global attention on local efforts
This extraordinary deal has garnered international media attention, sparking curiosity about who will take on the challenge of rehabilitating the motel. The initiative reflects a broader trend where cities across the United States are converting hotels into supportive living units as part of their strategies to combat homelessness.
Similar efforts have been observed in other cities, including Baltimore and even Austin, Texas, where hotels have been repurposed to provide shelter and housing for vulnerable populations. As urban centers grapple with rising homelessness rates, such innovative solutions are becoming increasingly essential.
Denver’s approach not only aims to provide immediate relief but also seeks long-term solutions by ensuring that supportive housing remains accessible for decades to come.
