The All Inn Motel is located at 3015 E. Colfax Ave. in Denver. (BusinessDen file)
The developer looking to fix up a dilapidated hotel along East Colfax in City Park has canceled plans to build an addition to it.
Jeff Bader, senior redevelopment specialist with the Denver Urban Renewal Authority — which is supporting the project — told Denver City Council members Tuesday that the decision was made after the firm expected to finance the project backed out last year.
“The then-anticipated lender really abruptly decided not to move forward with supporting the project,” Bader said. “This came as a surprise to the redevelopment team.”
The 54-room hotel at 3015 E. Colfax Ave., now closed, was formerly known as the All In Motel. Inspire Investment Group, led by Brian Toerber, purchased the 0.77-acre property out of bankruptcy in 2016 for $3.6 million.
Toerber hatched a plan to renovate the structure and build another one, separated by a pool, with an additional 27 rooms.
Last June, at DURA’s request, the council approved $3.5 million in tax increment financing for the project.
The entrance to the All Inn Motel last year. (BusinessDen file)
After the expected lender backed out, Toerber was unable to find another firm that would finance the project on the same scale, Bader told council members Tuesday.
But Toerber was able to secure financing after agreeing to “set aside the new construction component of the project,” Bader said. The existing hotel, which had most recently been used by residents paying weekly, will still be renovated.
Toeber didn’t respond to requests for comment on Tuesday.
DURA is asking the council to approve an updated description of the project reflecting its reduced scope. Bader said it’s possible the hotel’s owner could build the additional structure down the road.
“I think if you asked them today, they would ideally like to move forward with construction on a future date,” he said.
The All Inn Motel is located at 3015 E. Colfax Ave. in Denver. (BusinessDen file)
The developer looking to fix up a dilapidated hotel along East Colfax in City Park has canceled plans to build an addition to it.
Jeff Bader, senior redevelopment specialist with the Denver Urban Renewal Authority — which is supporting the project — told Denver City Council members Tuesday that the decision was made after the firm expected to finance the project backed out last year.
“The then-anticipated lender really abruptly decided not to move forward with supporting the project,” Bader said. “This came as a surprise to the redevelopment team.”
The 54-room hotel at 3015 E. Colfax Ave., now closed, was formerly known as the All In Motel. Inspire Investment Group, led by Brian Toerber, purchased the 0.77-acre property out of bankruptcy in 2016 for $3.6 million.
Toerber hatched a plan to renovate the structure and build another one, separated by a pool, with an additional 27 rooms.
Last June, at DURA’s request, the council approved $3.5 million in tax increment financing for the project.
The entrance to the All Inn Motel last year. (BusinessDen file)
After the expected lender backed out, Toerber was unable to find another firm that would finance the project on the same scale, Bader told council members Tuesday.
But Toerber was able to secure financing after agreeing to “set aside the new construction component of the project,” Bader said. The existing hotel, which had most recently been used by residents paying weekly, will still be renovated.
Toeber didn’t respond to requests for comment on Tuesday.
DURA is asking the council to approve an updated description of the project reflecting its reduced scope. Bader said it’s possible the hotel’s owner could build the additional structure down the road.
“I think if you asked them today, they would ideally like to move forward with construction on a future date,” he said.
