June 23–The soon-to-be completed makeover of the Interstate 25 and Fillmore Street interchange is doing more than improving traffic in northwest Colorado Springs; it's giving a boost to development in the area.

A four-story, 100-room Best Western Plus hotel and an IHOP restaurant are planned for Fillmore West, a 12.5-acre commercial project being developed by Springs-based Crestone Development northwest of the interchange.

"Having been under construction for the last 2 1/2 years, the unknowns associated with the interchange configuration prior to that stymied our development efforts," said Crestone owner John Gatto. "Now that the interchange is within weeks of being complete, we've been experiencing significant interest in our site."

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A better local economy also has helped, Gatto said. A few years ago, occupancy and room rates hadn't risen high enough to justify a new project, he said. Now, average daily rates charged by area hotels and motels are at their highest levels in several years, Gatto said.

Crestone will develop, own and operate the Best Western Plus, which the hotel chain describes as an "upper midscale" property with upgraded amenities and higher-quality furnishings.

The hotel will have 60 rooms for business and leisure travelers and 40 targeted for extended stay guests under Best Western's executive residency concept.

"Essentially, it allows the hotel operator to serve two different markets," he said.

Rooms and suites will range from 350 square feet to 645 square feet, with upgraded interiors and bathrooms, Gatto said.

The hotel also will offer a fitness center, high-speed Internet, an indoor pool and complimentary breakfast in an enhanced dining area; the extended stay rooms will have kitchenettes with refrigerators, stovetops and microwaves.

Gatto plans to start construction in mid-September and hopes to open in time for the Air Force Academy's graduation June 1, 2017. The hotel will be a multimillion-dollar project, although Gatto didn't have a final cost.

Meanwhile, Professional Restaurant Management LLC, a Springs franchisee that owns and operates four local IHOP restaurants, plans to launch construction in September of a fifth near the new hotel site. Completion is targeted for late this year or early 2017.

Professional Restaurant Management also operates IHOPs in the Springs at Powers and Stetson Hills boulevards; Powers and Constitution Avenue; in the Broadmoor Towne Center; and in Fountain, south of the city.

Justin Perry, a Professional Restaurant Management spokesman, said the company believed the area was underserved when it came to breakfast options. Also, it's a growing area: Penrose-St. Francis Health Services plans a hospital campus west of I-25 and Fillmore, while a Veterans Affairs clinic opened in late 2014 at Fillmore and Centennial Boulevard.

The IHOP near I-25 and Fillmore will be 4,850 square feet — smaller than some locations and larger than others — and feature a modern look and decor that's part of IHOP's so-called rise and shine design, Perry said.

The restaurant will include stone and wood finishes that give it a warm, modern feel — akin to what customers might see at a Starbucks or Cheddar's, he said.

"This is going to be a very modern, higher-end, normal restaurant feel that's not a diner," Perry said. "We're getting away from the diner feel and going into more of a fast-casual family restaurant. It's keeping up with current trends."

In addition to the hotel and IHOP, Gatto said Fillmore West has room for three more stand-alone buildings and a small multi-tenant building on the west side of Chestnut Street, which runs through the area; he's talking with two restaurants about the site.

There's also room for another retail building on the east side of Chestnut — just north of a Kum & Go convenience store that's already open on the site, Gatto said.

Contact Rich Laden: 636-0228

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