Colorado is upping its stake in developing Estes Park’s Stanley Hotel into a tourist destination for horror film buffs.
The state’s economic development commission approved a $1 million grant from its strategic fund for the Colorado Education and Cultural Facilities Authority, or CEFCA, the Colorado agency taking over the property. The cash will go toward greasing the wheels for the CECFA to issue $400 million in bonds. The proceeds will be used to transform the iconic hotel, best known as the inspiration for Stephen King’s “The Shining,” into the Stanley Film Center.
The project, billed as a horror-themed museum and event space, has been in the works for a decade. It was approved for state funding in 2015 under Colorado’s Regional Tourism Act, a state program created in 2009 to attract out-of-state visitors following the recession brought on by the housing crisis. To qualify for funding, projects had to show they were likely to substantially increase visitation to the state.
The film center has since run into numerous delays and struggled to raise cash. Owner John Cullen, whose Grand Heritage Hotel Group bought the property out of bankruptcy in the 1990s, announced a deal to sell the property to an Arizona nonprofit in 2023. But that deal fell through. Now, the CEFCA is stepping in.
“We’ve come a long way in a really difficult market,” Cullen said during a meeting Tuesday with the state’s economic development commission.
On top of the $1 million grant, to be paid out after the bonds are sold, the commission approved the early release of some taxpayer funds already allocated to the film center from the Regional Tourism Act. The project was awarded up to $46.3 million from state sales tax to be paid out over 30 years.
The commission also extended the deadline for completion to Dec. 31, 2028.
“Since there've been some challenges and delays in getting the financing done, we want to allow the project adequate time to be completed,” Jeff Kraft, deputy director of Colorado’s Office of Economic Development and International Trade, said during the meeting.
The CEFCA is a state bonding authority that issues low-cost debt to fund things like schools and museums. It was created by Colorado’s state legislature in 1981. This is the first time it's taking ownership of a property.
Despite its challenges, the Stanley Film Center has had some wins. Horror movie studio Blumhouse has signed on to curate the exhibit space. Last year, the Sundance Film Festival announced a partnership with The Stanley to host its Directors Lab. Colorado is currently courting Sundance to become the new home of its signature film festival.
