Denver has lost its bid to become home of the National Medal of Honor Museum.

The museum foundation’s board selected Arlington, Texas, as the site of the attraction after a year-long, nationwide search, the group announced Wednesday.

In June, Denver and Arlington were named finalists for the museum, which will highlight stories of the more than 3,500 military service members who have been presented with the nation’s highest military honor.

The decision is a blow to Denver leaders and economic development advocates who hoped the museum would bring more tourism, revenue and tax dollars to the heart of downtown, where it was proposed at Lincoln Street and East Colfax Avenue, near the state Capitol.

“It’s certainly disappointing. This would have been a great asset for the community, great asset for the state,” said Randy Thelen, senior vice president of economic development for the Downtown Denver Partnership. “A great team of people came together to put together the best proposal possible, and in the end, came out just a touch short.”  

The foundation was ultimately looking for more space than the parcel Denver had offered, which was roughly a seventh of the size of the Arlington location, Thelen said.

“They ended up with a site that’s about five acres and allows them to spread out,” he said. “We offered a site that was in a prime location but required them to go vertical. So that was part of it.”

The loss comes a week after the Regional Transportation District backtracked on a decision that some thought would hurt Denver’s bid for the museum.

The transit authority’s Board of Directors at first rejected a plan that would’ve cleared the way for the district to sublease a vacant gravel lot near the museum site to the city to become an open space and entrance welcoming visitors. But the board voted again last week to approve that plan after Gov. Jared Polis, Denver Mayor Michael Hancock and other officials urged them to reconsider.

The museum foundation told the Downtown Denver Partnership that the RTD’s initial rejection of that plan was “not a factor” in its choice of Arlington over Denver, Thelen said. He added that the foundation was impressed that the RTD so quickly reversed the decision amid pressure from residents, veterans and others who wanted the museum in Denver.

Eric Hiraga, executive director of Denver Economic Development & Opportunity, a city agency, echoed that sentiment.

“I believe it really showed how a community could band together to get behind something as important as this project,” Hiraga said. “I’m proud that we were a finalist city, and I think it’s truly an honor for Denver to be in the mix. It says a lot about what Denver has to offer to an institution of this caliber.”

But Tom Clark, former CEO of the Metro Denver Economic Development Corporation, said that RTD’s initial decision was seen as a “snub” to the project that likely had a negative impact on the foundation’s view of Denver’s proposal.

“As soon as that happens, they say, ‘Well, we can find somebody else who’s a little bit more excited about it.’ And I think that’s probably what happened,” Clark said. “Arlington’s a great place, but it would have been nice to have something here in the West.”

The 15-member RTD Board of Directors ultimately unanimously supported the plan for the museum entrance, with one member absent. Many directors who were initially against the proposal felt they did not have the information they needed to vote ‘yes’ in the first go-round, said RTD spokeswoman Pauletta Tonilas.

“We were hopeful that Denver would be the new home of for the National Medal of Honor Museum, so this is obviously very disappointing news to us, as well,” Tonilas said.

She noted that, because the project is not going forward in Denver, how the RTD will use its gravel lot at Colfax Avenue and Broadway is still a question.

The museum foundation said in a news release that it evaluated “a range of factors, including the city’s location, size and number of visitors, and community support – both overall and patriotic – for our nation’s history” when making its decision.

The museum, planned for construction near Arlington’s Globe Life Park and AT&T Stadium — home to baseball’s Texas Rangers and football’s Dallas Cowboys respectively — is slated to open in 2024, says the news release.

“Arlington, Texas is the optimal location to build America’s next national treasure – the National Medal of Honor Museum,” foundation President and CEO Joe Daniels said in a statement. “All of us at the Museum were simply overwhelmed with the enthusiasm, warmth and level of commitment of those involved, who have worked beyond expectation to have the Museum come to Texas.”

Polis said in a statement that he’s “cheering for the success” of the Arlington attraction.

“While of course I’m disappointed that Denver wasn’t the final site designated, I look forward to visiting the museum alongside millions of fellow Americans,” he said. “Colorado should be proud of the work that went into this proposal to honor and celebrate our nation’s heroes, and I thank everyone involved for their efforts. Our state has a proud military presence and history, and we remain one of the top tourist destinations in the country.”

The site that Denver proposed, which is now a surface parking lot, remains an “amazing spot” for future high-caliber attractions, said Denver City Councilman Chris Hinds, whose district includes the parcel.

“We have a beautiful city, we have a wonderful piece of land that can be utilized in the future,” Hinds said “We can’t control that it’s smaller than what the Arlington plot of land has to offer.”

“While we are disappointed to have not been selected, we want to thank the National Medal of Honor Foundation for investing their time in our great city,” Tami Door, president and CEO of the Downtown Denver Partnership, said in a statement. “The broad coalition of state and local officials, public and private stakeholders and community partners that came together to showcase what makes Denver and Colorado special is emblematic of the very traits that the museum sought in a community that could respectfully tell the stories of recipients of our nation’s highest honor.”