Since Hotel Eleganté Conference & Event Center was sold last month, hotel staff and events contracted to be held at the hotel have been thrown into chaos.
SHIR Capital, a Texas-based developer, purchased Hotel Eleganté in Southeast Colorado Springs for $25 million last week and will begin converting the building into 496 low-cost multifamily apartments.
SHIR Capital, a Texas-based developer, purchased Hotel Eleganté in Southeast Colorado Springs for $25 million last week and will begin converting the building into 496 low-cost multifamily apartments.
The pandemic has significantly slowed business travel, which has battered the hospitality industry, especially hotels.
And with business travel not expected to return to pre-pandemic levels until 2025, many hotels continue to experience near record-low or below-average occupancy rates, forcing some to close.
But developers who see opportunity where others see despair are snatching up shuttered hotels and converting them into apartments.
Although the practice began a few years ago, it blossomed during the pandemic.
A city requirement that developers donate 5.5 acres of parkland might stymie construction of 642 attainable housing units at Hotel Eleganté, according to the project’s developers.