The Denver City Council Tuesday approved a $9 million purchase of a hotel property in Denver’s Central Park neighborhood that will serve as a homeless shelter. The building will begin to house residents by late 2023. 

The hotel, a former La Quinta Inn, has 96 bedrooms. Ninety-five of those will be converted for use as supportive housing, while one will house an on-site manager.

Denver’s Department of Housing Stability officials said will soon issue a request for proposals as they seek a partner to complete renovations. Any future partner will also operate the site and provide wrap-around supportive services, according to a news release.

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This most recent purchase is part of an ongoing effort within Denver to convert hotels to serve as shelters for unhoused Denverites.

In September, Denver allocated $5 million to purchase another former La Quinta Inn located at 3500 Park Avenue West. In November, almost $1 million in American Rescue Plan Act money was used to assist The Fax Partnership in purchasing two east Colfax Avenue motels and convert them to homeless shelters. 

Other organizations, like the Colorado Coalition for the Homeless, have also used the strategy. The Coalition recently acquired the Clarion Inn located at 200 W. 48th Ave. for $24 million. The Coalition also completed a purpose built, $46.5 million building in October that offers transitional housing and emergency services. 

These purchases follow the “housing first” strategy of addressing homelessness. The model seeks to shelter people in a semi-permanent location first, which makes it easier to connect them with services and other needs.

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“The solution to homelessness is housing, and we will continue to pull on every lever available to create more homes for our unhoused residents,” Mayor Michael Hancock said in the release. “We’re proud to transform yet another hotel into new, supportive homes for those who are in need of it most.”

Hancock told the Denver Gazette that housing first principles have always been a part of his values, but admitted he had to warm up to transitionary, temporary housing strategies that Denver has made use of.  “Safe Outdoor Sites” are one of those solutions, and Denver approved an additional site in September. 

This multi-pronged approach comes as Denver struggles to address homelessness. In the metro area, homelessness jumped by nearly a quarter – from 5,530 in 2021 to 6,884 in 2022 – according to previous Denver Gazette reporting. 

Homelessness is a major issue statewide, and was a big topic during Gov. Jared Polis’s 2023 State of the State address. 

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The purchase of the former La Quinta includes $2 million from an Economic Development Initiative Community Project Funding grant. These grants were championed by Rep. Diana DeGette. In March, DeGette secured the $2 million as part of a $13.3 million package that funded 10 projects designed to improve housing opportunities, provide health care and mental health services across the Denver area.

“Getting this funding approved is a big, big win for our area,” DeGette said at the time. “It will help us make more housing available for those experiencing homelessness and make more health care services available to in the areas that need them the most.”