(rdnewsNOW/Jordan Davidson)

By Jordan Davidson (Twitter: @JordanDHeyNow)

More residential apartments

Holiday Inn Express approved to convert rooms to rentals

Aug 26, 2021 | 12:00 PM

Red Deer city council has approved the rezoning of the Holiday Inn Express (2803 50 Avenue), which would allow them to convert some of their 94 rooms into 50 apartment-style dwelling units.

Second and third readings of Bylaw 3357/F-2021 were passed following a public hearing on Tuesday, which changed the Holiday Inn zone from C4 Commercial (Major Arterial) to C5 Commercial (Mixed Use).

Councillor Lawrence Lee was the only one opposed to both readings, saying he believed not enough information was done to determine what impact these types of hotel room conversions will have on the surrounding community.

First reading was passed in July.

Stakeholders and members of the public spoke during the public hearing regarding the proposed development, including Reg Kinch from Akoa Investments Inc. Kinch is an investor in the former Legion building inside Bremner Avenue South Centre, located directly east of the Holiday Inn Express.

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Kinch expressed concerns about the type of clients who would possibly be renting in these locations, and what could happen if things “went sideways.”

Kinch mentioned issues they had last winter when the Travelodge Hotel, located directly north of the Holiday Inn Express, was used as a temporary shelter for those experiencing homelessness and who needed to isolate because of COVID-19. He said a fence was cut between that property and the legion, and people were found sleeping in tents on the property.

The Travelodge no longer houses homeless clients who need to isolate. However, it has recently been approved for 47 housing units, but no work has been completed.

Kinch added that he and his investing partner have also expressed interest in possibly redeveloping the Black Knight Inn, but says those possible housing developments in the area may cause them to reconsider. “Our biggest concern is that it’s controlled, and we don’t have issues that could arise.”

Raye St. Denys of Shining Mountains Living Community Services, said her company wants to purchase the Holiday Inn Express and convert it into a multi-family complex, complete with bachelor, one and two-bedroom suites. She said they plan on renting out rooms to members of the Indigenous and Metis communities, especially seniors and women, at 10 percent below market rental rates.

St. Denys acknowledged she shared Kinch’s concerns about vandalism and crime in the area, saying they would increase security by installing surveillance cameras and hiring a security guard.

She said she was “taken aback” by Kinch’s comments regarding his company possibly investing in the Black Knight Inn and renting out to “high-end clients”, and worries about possible discrimination her Indigenous clients might face.

St. Denys added, however, she is more than willing to work with the investors on finding solutions together, as housing the vulnerable Indigenous population in a diverse and inclusive community is another step towards reconciliation.

According to City officials, any development will still have to go through the process of attaining a development permit from the City before any construction can begin. Mayor Tara Veer said it would be at this stage where security concerns could start being addressed.

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.

Earlier story: South Red Deer hotel hoping to convert hotel rooms to rentals.