On Monday, Jan. 16, Denver City Council approved a $9 million purchase and sale agreement for the acquisition of the Stay Inn, a four-story hotel, and two adjacent parcels, located at 12033 E. 38th Ave., 3835 Peoria St., and 3805 Peoria St. The hotel structure includes 96 bedrooms, 95 of which will be converted into supportive housing for persons experiencing homelessness.
“The solution to homelessness is housing, and we will continue to pull on every lever available to create more homes for our unhoused residents,” said Mayor Michael B. Hancock. “We’re proud to transform yet another hotel into new, supportive homes for those who are in need of it most.”
Federal funds make the purchase possible, including a $2 million Economic Development Initiative Community Project Funding Grant championed by Rep. Diana DeGette, as well as funding from the American Rescue Plan Act and the U.S. Department of Housing and Urban Development’s Community Development Block Grant program.
The majority of the rooms have recently been updated with kitchenettes that include a microwave, mini-fridge, hotplate, coffee maker, food storage area and sink. The property includes on-site laundry for guests. One unit will be utilized for an on-site manager.
Denver’s Department of Housing Stability (HOST) will soon issue a Request for Proposals (RFP) seeking a partner to complete building renovations and to operate the site, providing wrap-around supportive services to guests. HOST anticipates the site will begin housing residents by late 2023.
The acquisition adds momentum to other hotel-to-housing projects recently funded by the City and County of Denver. In recent months Denver helped fund one hotel in Globeville and two East Colfax motels that were acquired by housing partners. The hotel conversions support HOST’s Five-Year Strategic Plan goal of producing 900 supportive housing units across several sites.
