A 140-key Hyatt House hotel will provide a new lodging option in the Fitzsimons area.
BMC Investments is developing the hotel at the southeast corner of East Colfax Avenue and Peoria Street in Aurora. It has owned the site, known as the Gateway at Fitzsimons, since 2013.
“Fitzsimons is one of the fastest-growing hospital campuses in the country, and with the expansion of the UCH Hospital, the veterans (medical) center ramping up and continued growth of Children’s Hospital, there is significant demand for an extended-stay hotel,” said Matt Joblon, CEO of BMC Investments. “We were inspired by the opportunity to provide families a comfortable place to retreat to while facing the challenges that can be presented when seeking medical attention for loved ones.”
The hotel will be one of the first opportunity zone developments in the Denver metro area. To qualify for opportunity zone benefits, BMC intends to hold the property at least 10 years.
The project is being capitalized with a $25 million, 10-year fixed-rate construction to permanent loan from FirstBank, a $6.45 million redevelopment/ reimbursement agreement with the city of Aurora and equity from BMC. It is anticipated to take approximately 17 months to complete.
“FirstBank has an outstanding relationship with BMC Investments and always takes an interest in their projects, but this venture is particularly exciting because of the opportunity to work with the city of Aurora in an opportunity zone,” said Matt Cornwell, Northwest Market president for FirstBank. “We are excited to be a part of a project that will fill an important need on the Fitzsimons campus and bring positive contributions to this community in Aurora.”
Vision Hospitality Group, an investor in the project, will manage the $43.6 million hotel. The project will include 8,000 square feet of ground-floor retail space focused on convenience retail and restaurants.
Hyatt House hotels feature fully equipped kitchens with separate living and sleeping areas. Hot breakfast is provided. The brand has more than 90 locations.
“This Hyatt House project is a great example of our continued focus on growing premium hotels in strong markets, like Aurora,” said Jim Tierney, senior vice president of development and owner relations for Hyatt Place and Hyatt House. “We’re thrilled to team up with BMC Investments and Vision Hospitality Group on this hotel, which will provide a welcoming space for business and leisure travelers alike.”
BMC Investments has an additional 2 acres of land at the southeast corner of Colfax and Peoria for which it is working through various development scenarios.