The former La Quinta Inn at 3500 Park Avenue West is gone, and in its place, a new affordable housing project is getting ready to rise next to the I-25 interchange. The Colorado Coalition for the Homeless plans to replace the old motel with Park Avenue Apartments, a 60-unit permanent supportive housing community for very low-income Denver residents. With financing reported closed in mid-May, the nonprofit is shifting the property from a temporary shelter to long-term homes.
Who’s building the new complex
The Colorado Coalition for the Homeless is steering the Park Avenue Apartments project after issuing a request for proposals to demolish the motel and build a four-story supportive housing building. The coalition’s RFP outlines on-site case management, shared community areas, and a secure courtyard for residents, according to Colorado Coalition for the Homeless. The organization and its development arm are set to oversee construction and then operate the property once it opens.
What’s coming to the Park Avenue site
Project filings show plans for 60 one-bedroom apartments reserved for very low-income tenants, paired with permanent supportive services on site. Tax credit and application materials with state housing officials list the site as 3500–3600 Park Avenue West and confirm that Park Avenue Apartments received credits to proceed, according to Novogradac. The design calls for a compact, four-story building that includes resident amenities and ground-floor space for services.
Where shelter residents went
The Park Avenue Inn shelter that had been operating out of the motel shut down as demolition neared, and most of the roughly two dozen remaining residents were rehoused through partner programs or moved into other placements, Denver7 reported. “We will work with everybody at Park Avenue to make sure that they have a safe place to exit to,” CCH public policy officer Cathy Alderman told Denver7. Coalition staff told reporters they expect construction to begin in late spring or early summer, with an opening targeted for 2027.
Funding and timeline
The development’s financing closed on May 15, a key step that cleared the way for demolition, according to the Denver Business Journal. City records also document a funding agreement that backs wraparound services at the new building and list the project under review by the Department of Housing Stability, per a city public notice. With money in place, project leaders expect to pivot from site clearance to vertical construction in the coming weeks and still aim for 2027 occupancy.
Why this matters for Denver
Since the pandemic, converting motels into permanent supportive housing has become a go-to move in Denver, giving the city a faster route to deeply affordable units than many ground-up developments. Advocates say Park Avenue Apartments will bring online scarce, subsidized homes for people exiting homelessness while trading a short-term shelter setup for permanent housing, a strategy described in local housing filings and reporting. In a city straining to supply units affordable to the lowest-income households, this project offers a concrete, near-term addition to the housing stock.
