The Stanley Hotel in Estes Park inspired Stephen King’s novel The Shining, and the movie adaptation was also filmed there. The iconic property has been in ownership limbo recently, but that could be changing soon with a newly-approved plan.
Chris Wood, editor and publisher at BizWest, joined KUNC's Nikole Robinson Carroll to discuss that.
The Colorado Economic Development Commission gave its blessing for the Colorado Educational & Cultural Facilities Authority (CECFA) to buy the property and become the near-term owner. The authority is the official state issuer of tax exempt bonds for capital projects that further the missions of educational and cultural organizations.
“It's existed since way back in 1981, and has substantial bonding authority,” Wood told KUNC. “Its website states it has issued $7.5 billion in bonds over the years, funding projects such as museums, sports facilities, charter schools, alternative high schools and performance spaces. This will be the first time that it actually owns a facility that it's funded, assuming that the Colorado legislature approves some changes to the agency's mandate in the current session.”
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There was a previous deal to sell the Stanley Hotel to an Arizona-based nonprofit.
“BizWest first reported in December plans for Grand Heritage Hotel Group, the longtime owners of the Stanley, to sell the hotel to Tucson-based Community Finance Corporation,” Wood said. “That's a nonprofit group that specializes in forming public-private partnerships to provide alternatives to traditional funding models, that governments then often use to pay for capital improvements and infrastructure projects.”
Community Finance Corporation was poised to buy the hotel with a $475 million bond from CECFA.
“Parties to the deal are not saying exactly why it fell through except to say that this represents a simplified transaction,” Wood said of the plan, which was previously approved and then amended to reflect the change of buyer.
State officials say the move would unlock millions of public dollars for expanding the property with the Stanley Film Center.
But why is the Stanley Hotel’s current owner, Grand Heritage Hotel Group, selling now?
“The company is owned by an individual named John Cohen, who has owned the hotel for almost 30 years,” Wood said. “He has said that this deal is necessary to complete some of the upgrades, including the Stanley Film Center and the horror museum, as well as to expand the property. Under the latest plan his group would continue to manage the hotel.”
