Hotel experts estimate the cost of the hotel at $10 million.
The hotel will be built west of Pena Boulevard and north of East 40th Avenue next to the $50-million CAE flight-training facility under construction. The flight-training facility will train 4,000 pilots each year. Even if the new hotel, which will open in a year, gets its fair share of the pilot business from CAE, it should do well, says Tim Moore, regional marketing director at Gateway.
The broker on the deal was Phil Hicks of David Hicks Brokerage. He predicts the hotel will be well-positioned for the expected travel rebound.
Steve Walker, an expert on the DIA area for Boulder-based HVS International, says that if any hotel does well, it will be a limited-service one such as Country Inns & Suites.
''It's a very good chain that gets very high ratings from guests,'' Walker tells GlobeSt.com.
Although no hotel has opened in the DIA area since 1999, an Embassy Suites is under construction and the city plans a 500-room hotel Westin at the airport's terminal, Walker notes. However, he cautions that there's plenty of land near DIA and it is relatively inexpensive, putting up few barriers to entry.
Any hotel operator who goes into the area hopes he will be the last one in the near future, but that's unlikely to be the case, he tells GlobeSt.com.
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