There may be another addition to the array of businesses moving in to the vacant sections of Broadway in Eureka (and yes, don’t worry folks, the In-N-Out is still coming.) The City of Eureka is getting ready to sell the property at 2112 Broadway, former home to the Eureka Chamber of Commerce, and the lot will likely become home to a new hotel.

The city put out a request for proposals for the property earlier this year, after the Chamber of Commerce announced plans to move from the building. In response, staff received two proposals. One was from Alcohol and Drug Care Services, proposing operation of a 16-bed crisis unit/sobering station. The other proposal was from SJN Hospitality Group, the demolition of the current building and the construction of an 83-room upscale hotel.

The city council is slated to authorize the sale of the property at a meeting next Tuesday. And although the council could potentially choose either proposal, Eureka city staff is recommending the hotel. One of the main reasons, Eureka Development Services Director Rob Holmlund told the Outpost, is that it would generate tax revenue.

The hospitality company has offered to pay $435,000 for the site, whereas the Alcohol Drug Care Services was offering $0. Plus, because of transient occupancy taxes a hotel would generate a continuous stream of revenue for the city.

Holmlund said that, although the drug care facility is an excellent idea and something needed in the city, he believes that city staff can work with the organization to find another suitable site for operations. There are not many other lots in Eureka that would be able to hold a hotel, he said.

If the council authorizes the sale, then the company will have to submit plans and apply for permits. Holmlund is optimistic that the hotel will be approved. In addition to generating revenue, he said the hotel would be another aesthetic improvement to Broadway.

“It’s exciting for the city to be in a phase right now where there’s so much interest in new development,” Holmlund said.

The Eureka City Council will discuss this and other important issues, including inviting cannabis businesses to apply for use permits and an update to the city’s housing plan, on Tuesday May 7 at Eureka City Hall (531 K Street.)

You can view the full agenda here.