Comments on: Grand hotel: Mining Exchange Building’s next incarnation?

By: John Hazlehurst

John Hazlehurst — Wed, 10 Jun 2009 20:41:27 +0000

Those are good points. Nevertheless, it seems to me that a downtown boutique hotel, which would include upper-end entertainment venues, would find a ready market for its product. Do the numbers make sense? That’s not my bailiwick. I can only report what I see, what the principle in the projected deal says, and what happens as things go forward. Maybe he’s being absurdly optimistic, or maybe his numbers are better than our guesses, or maybe he’s the guy who won the $232 million on Powerball. Who knows? Either it’ll go forward or it won’t. Those buildings are vacant, gutted, and derelict-hopefully, something positive will happen.

By: Vee

Vee — Wed, 10 Jun 2009 01:08:49 +0000

John,
This article and its facts as outlined is so unrealistic on so many fronts, It make one wonder if Sanders has any real business acumen.
Sanders has it all wrong, other hotel developments have failed because there is no new demand for hotel rooms, 7 year occupancy history in CS tiers around 62%. The cost of building a hotel room today is in the range of $150-180,000 per key and that would translate to an 85-95 room hotel. No room rate premium is going to make that limited number of rooms pencil out an ROI, and for the final fun fact to this business model, abatement of the lodging tax? I would guess that the other owner/operators of the remaining 3,000 rooms in the greater Colorado Springs hotels would have a dim view of city government attempting to pass that by them. It must have been a slow news day in the annals of business journalism to have you feature this story.

By: John Hazlehurst

John Hazlehurst — Tue, 09 Jun 2009 21:55:46 +0000

Sanders says, in a document that he’s given to elected officials and others, that he has owned “100 percent of the equity” in the three buildings since May 15th. Is someone else-e.g., Ray Marshall pulling the strings? Were these sham transactions? The public record is somewhat murky. But after the USOC debacle, I’d guess that Marshall is not the most popular guy in City Hall. Any deal to which he might be linked would be regarded with great suspicion. Putting this project together will take money-lots of it. I’d guess that Marshall has his hands full at the moment, and the city isn’t exactly flush. The $ that would flow into the project from tax-increment financing are significant, but a minor portion of the total cost-so we’ll see.

By: Like it'll matter .....

Like it'll matter ..... — Tue, 09 Jun 2009 20:05:08 +0000

… great idea !
……. fabulous location !
….. public financing !
…….. and they STILL don’t have any parking !

By: Jason H

Jason H — Tue, 09 Jun 2009 19:10:43 +0000

Sounds like a breath of fresh air to downtown…that means it will be stepped on and thrown in the trash.
Too bad.

By: RJF

RJF — Tue, 09 Jun 2009 18:47:44 +0000

Gosh if you let them get away with holding on to the Hotel sales tax ‘How will Experience Colorado Springs be able to give $100k+ to golf tournaments @ The Broadmoor?’

By: John Whitten

John Whitten — Tue, 09 Jun 2009 17:49:55 +0000

Hey John! Guess what?………

Your story is interesting for a variety of reasons, not the least of which is :

-The top three floors of the Mining building are officially owned by Mining Exchange Luxury Residences, LLC. Perry Sanders is the registered agent.

-The principal who created Mining Exchange Luxury Residences, LLC., is none other than…….are you ready?…….are you sure?…….Ray Marshall.

WHoa Bubba! He’s suing the city and now wants to avoid the Hotel tax for another new development that he can’t pay for? Huh?

Maybe its just coincidence……….and maybe it’s really the Easter Bunny that wants to build the hotel……

There has GOT to be more to the story……and you’re just the guy that can find out…..