Denver is leasing 38 rooms for people struggling with substance and mental health issues at the Sand and Sage Motel at Colfax Avenue and Verbena Street.
The old motel, a relic from when Colfax served as a main highway through Denver, is one of many similar spots near the Denver-Aurora border to serve as official and unofficial housing for people struggling with homelessness.
Denver City Council on Monday approved the lease with The Fax East Colfax Redevelopment through the end of 2025.
The total cost: nearly $700,000 — or $95.68 per unit per night. The lease also includes $50,000 that can pay for reimbursement for needed repairs.
Roads to Recovery, part of Mayor Mike Johnston’s All In Mile High unsheltered homelessness resolution program, aims to connect people struggling with mental health and addiction to services and care.
“Program participants enter a coordinated, high-touch system for immediate intervention and treatment to support long-term stability,” the city explained in its request for funding.
The lease’s term started on July 8, days before council voted to approve it, and will run through the end of the year.
The city has spent tens of millions renting and buying hotels and motels to serve as shelters in recent years, including rooms for people who had been living on the streets and new immigrants.
At Monday’s meeting, Councilmember Shontel Lewis praised the Department of Housing Stability for bringing additional resources to Roads to Recovery.
