A new Hampton Inn is set to break ground this summer at the Colorado Outdoors development in Montrose, the latest announced addition to the 670-acre mixed-use project along the Uncompahgre River.
The hotel is being developed by Lamont Companies and will be located at the northern end of Colorado Outdoors, near the location of the Fairfield Inn & Suites. According to Anthony Russo, who handles business development for the city’s Development and Revitalization Team, the project has been confirmed and will bring additional lodging capacity to Montrose.
The Montrose Urban Renewal Authority (MURA) approved a package of incentives last month to support the hotel project, which is estimated to cost around $18.9 million to construct. MURA’s investment includes horizontal site improvements such as curb and gutter installation, sidewalks and paving, grading, concrete slab work, lighting, landscaping, and monument signage infrastructure—totaling an estimated $2.25 million.
Construction is expected to begin this summer, with plans to hire 10 full-time and 20 part-time employees once the hotel opens.
According to project materials, the new hotel aligns with MURA’s vision for Colorado Outdoors: providing new lodging options, expanding the local employment base, and increasing average night stays in Montrose.
The hotel is anticipated to generate roughly $4.3 million in gross revenue once stabilized and contribute an estimated $5.6 million in local tax revenues by 2042—including $2.6 million in property taxes and $3 million in meals, sales, and lodging taxes.
The hotel will join the nearby Fairfield Inn & Suites as the second national-brand hotel in the Colorado Outdoors district. Officials say the market can support the additional rooms, which will help meet both corporate and leisure travel demand while continuing to catalyze additional development in the area.
MURA previously completed public improvements for the area in 2018, including utilities and roadwork in Phase I.
Justin Tubbs is the Montrose Business Times editor. He can be reached by email at justin@montrosebusinesstimes.com or by phone at 970-765-0915 or mobile at 254-246-2260.
