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By Josh Hall (Twitter: @Vancan19)

future vitality

South Red Deer hotel hoping to convert rooms to rentals

Jul 21, 2021 | 11:12 AM

People staying at a motel in south Red Deer could soon be receiving keys instead of key cards.

The Holiday Inn Express (2803 50 Avenue) has applied to The City of Red Deer for a rezoning which would allow it to convert its 94 rooms into 50 apartment-style dwelling units.

The zoning change would be from C4 Commercial (Major Arterial) to C5 Commercial (Mixed Use).

City council passed first reading Tuesday with a public hearing set for Aug. 24.

Administration told council it supported first reading, based on the application aligning with City plans and policies, being compatible and complementary to surrounding uses, and allowing for future flexibility and a diversity of uses.

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The Travelodge directly to the north of the Holiday Inn was granted a site exception to allow residential uses at its site in 2013.

The difference between a site exception — which administration didn’t recommend — and a rezoning, is that the latter allows for future development to consider any of the uses listed in that district.

A site exception would retain the previous zoning and allow for one additional use, explains Christi Fidek, Senior Planner at The City of Red Deer.

The proposed zoning would therefore permit the property owner to develop uses such as a restaurant, day care facility, health and medical services, and merchandise sales. Permitted C5 uses also include a freestanding sign.

C5 discretionary uses — meaning they would need further approval from the municipality — include commercial entertainment facilities, commercial rec facilities, drinking establishments and a restaurant with a drive-through.

Fidek notes that a site exception also wouldn’t align with reformed council criteria for considering site exceptions agreed upon last February.

The Baymont Inn in downtown Red Deer, and the Sandman Hotel have also converted a portion of their hotel rooms to residential units in recent years, an administrative report notes.

“Hotels and motels have been exploring alternate options for redevelopment as the future of traditional hotel use is in question,” says the same report. “Rezoning and reuse of the motel is an effective and efficient method to ensure vitality and flexible use options for this site and area now and in the future. Many municipalities, such as Calgary and Edmonton, are experiencing similar use conversions of hotel sites.”

After the city distributed notice to landowners within 100 metres of the Holiday Inn, just one response was received.

Bremner Avenue South Centre Ltd. listed concerns with the Travelodge “renting out housing to the homeless.”

Writes Reg Kinch: “This is of great concern to us not only with respect to our existing property at Bremner Avenue South Centre, but also for the property that we are potentially going to purchase (location redacted). If this will be an ongoing thing, businesses will not want to locate there. It will also drastically reduce the property value in the area.”

Fidek confirms the Travelodge was offering some units to various members of the community for COVID isolation, but not specifically renting them out to people experiencing homelessness. Its use for pandemic isolation has since ended.

rdnewsNOW reached out to Holiday Inn ownership for comment on their proposed suite conversions, but did not hear back by publishing time.