DENVER | The City of Aurora, alongside developers for the massive Gaylord hotel project, filed a lawsuit Oct. 23 alleging a group of Denver hoteliers are abusing the legal system trying to stop the Aurora hotel’s development. Aurora Mayor Steve Hogan described a suit filed by the hotel owners earlier this year as baseless and unfair to thousands of people who stand to gain jobs from the project.
The countersuit was announced at Union Station. Sage Hospitality, who owns five of the hotels involved in the lawsuit against the Gaylord project, is building its own independent 110-room hotel as part of the Denver Union Station Redevelopment project. That project is also receiving public funding like the Gaylord hotel, Hogan pointed out in his remarks.
“My city is currently suffering from 6.8 percent unemployment,” said Hogan. “If you don’t believe that a project of this size will help the citizens of Aurora, then you are sadly mistaken.” Hogan said 10,000 construction jobs and 2,500 permanent jobs would be added because of the hotel. The city estimates that Gaylord Colorado will produce an economic impact of more than $8.2 billion over the next 30 years in the state.
In the lawsuit filed by the city against the hotel owners, the city alleges that the group — including Phillip Anschutz and Walter Isenberg — intentionally interfered with negotiations, abused the legal process by interfering and conspired against the project. “The Competitor Hotels in their (lawsuit) submitted untimely arguments … asserted claims as to which they lack standing, sought relief that cannot be granted, misrepresented facts, failed to join necessary parties, sought relief barred by unclean hands, and otherwise asserted claims that lack any basis in law,” lawyers stated.
Last week, RIDA Development Corp. announced they had picked Mortenson Construction and HKS Architects to design and build hotel. Dallas-based HKS Architects designed the Four Seasons in Vail. Mortenson Construction is a Minneapolis-based firm whose previous projects include Denver’s Pepsi Center and the new Ralph L. Carr Colorado Judicial Center.
The Aurora Economic Development Council said the hotel will cost approximately $800 million and feature 1,500 rooms, multiple restaurants, 400,000 square feet of conference space. Wendy Mitchell, president and CEO of the AEDC said the hotel would lure 450,000 tourists to the state each year.
“These types of deals don’t come around often,” she said. “Here we are, done with the difficult work, through the lengthy legal and state public approval process only to be standing here 17 months after approval, held hostage by a small faction of hotels afraid of competition.”
Plans for when construction will begin on the hotel have not been announced, but Mitchell says it should happen in late 2014, barring any court injunction.
“These types of deals don’t come around often” is an understatement. Aurora gives Gaylord 102% of future tax revenue for 33 years, ( Aurora had to create an enhanced taxing district that one voter approved), this is about 13 years longer than the life expectancy of the project. This is a once in a life time deal, this is a deal that could only be made worse if Aurora sells the bonds through the Aurora Capital Leasing Corporation.
Makes one wonder if the City Council, the AEDC and the Mayor are employed by Gaylord or the City of Aurora.
your government is corrupt because of democrats.