The city of Denver is offering a unique real estate opportunity: a former motel for the rock-bottom price of $10. This isn’t a gimmick, but a strategic move to address the city’s growing homelessness crisis. The catch? The buyer isn’t purchasing a ready-to-operate business, but a significant renovation project. The chosen buyer will be responsible for transforming the existing structure into supportive housing, a type of accommodation that provides not just shelter, but also access to vital services like healthcare, job training, and mental health counseling. This initiative exemplifies a creative approach to tackling a complex social issue by leveraging existing infrastructure and incentivizing private involvement.
The property in question is the former Stay Inn, a four-story building boasting 96 units. While the previous owner undertook some upgrades, including new kitchenettes and a sprinkler system, the building requires substantial structural repairs. Walkways, railings, and electrical systems are all in need of attention, presenting a considerable undertaking for the new owner. However, the city’s $10 price tag significantly offsets the financial burden of these necessary renovations. Essentially, Denver is subsidizing the creation of much-needed supportive housing by providing the building at a nominal cost. This strategy aims to attract developers and organizations with a commitment to social impact and the capacity to manage a large-scale renovation and housing project.
The city’s decision to offer the Stay Inn at such a low price underscores the urgency of the homelessness crisis in Denver. Recent data reveals a 10% increase in the number of people experiencing homelessness in the metro area between 2023 and 2024, bringing the total to nearly 10,000 individuals. This alarming statistic highlights the pressing need for innovative solutions and increased capacity for supportive housing. The Stay Inn project has the potential to significantly contribute to alleviating this crisis by providing safe, stable housing and comprehensive support services for a substantial number of individuals.
The selection process for the new owner is currently underway. While negotiations are ongoing with potential development partners, no firm has been officially chosen. Any final agreement will require approval from the Denver City Council, ensuring transparency and accountability in the process. This rigorous selection process aims to identify a partner with a proven track record in developing and managing supportive housing, ensuring the long-term success of the project. The city is seeking a partner who not only has the financial resources to undertake the renovation, but also the expertise and commitment to provide quality support services to the future residents.
The successful bidder won’t simply be purchasing a property; they will be entering into a long-term commitment to serve the community. The city’s request for proposals stipulates a 99-year lease agreement, requiring the new owner to maintain the property as income-restricted housing until at least 2125. This long-term commitment ensures the sustained impact of the project and provides a stable housing solution for vulnerable populations for generations to come. It also demonstrates the city’s dedication to addressing homelessness in a sustainable manner, moving beyond temporary fixes and investing in long-term solutions.
While the Stay Inn awaits its transformation into supportive housing, the property is currently serving a temporary but vital function. The parking lot has been repurposed to accommodate dozens of shed-like structures, providing interim shelter for individuals experiencing homelessness. This interim use demonstrates the city’s commitment to utilizing all available resources to address the immediate needs of its unhoused population while working towards long-term solutions. The Stay Inn project represents a multifaceted approach to tackling homelessness, providing both immediate shelter and a pathway to permanent supportive housing. This dual strategy showcases the city’s dedication to addressing both the urgent and long-term needs of its most vulnerable residents.
