Hotel dispute threatens Colorado's collaborative reputation, official says.

• Author: Jackson, Margaret
• Position: HOSPITALITY

THE PLANNED GAYLORD ROCKIES HOTEL AND CONFERENCE CENTER ill Aurora has the potential to create thousands of jobs and deliver an economic impact or more than $8.2 billion over the next 30 years.

But the legal wrangling over the project is tarnishing the region's reputation as a place where deals get done and communities collaborate to benefit everyone, says Tom Clark. CE0 of the Metro Denver Economic Development Corp. He says the technical difficulties could hamper efforts to draw new businesses to Colorado.

"We have a global reputation of mg a region that behaves differently than any other region in the country," Clark said. "To see this controversy have an impact on our brand, it makes us look like we've lost our way in regional thinking that has been the driving force in putting us in a leadership role in terms of strong economies."

In September, a group of I I hotels--five controlled by Sage Hospitality--sued the city of Aurora, the state's economic development office and the Colorado Economic Development Commission, asking for reconsideration of the $81.4 million worth of incentives the project was awarded last year under the Regional Tourism Act.

Ken Lund, executive director of the Office of Economic Development and International Trade, says the project met the criteria for incentives.

"We felt that it met both the spirit and the intent of the statute," Lund said. "We believed the project was unique and extraordinary and would draw new visitors to the state."

In October, Aurora fired back against the hotels. Using Sage's Denver Union Station redevelopment as a backdrop, Aurora Mayor Steve Hogan announced that the city, its urban renewal authority and economic development council have filed a countersuit against the hotels seeking unspecified damages for financial costs and delays.

"All other efforts to get the hotel owners to back off or back down failed," Hogan said.

Sage Hospitality President and CEO...