Aug. 01–The developers behind the controversial East Side Hotel proposed for East Cesar Chavez Street have withdrawn their appeal for a permit and plan to propose their project at another site, Council Member Sabino “Pio” Renteria’s office said Friday.

John Donisi, an attorney for Brian and Bree Carrico, the couple who proposed the hotel, wasn’t available for comment.

The proposal for a $19 million, 65-room hotel wasn’t approved by the city’s planning commission in June but was pending an appeal to City Council.

On Friday, Renteria met with the Carricos, who formally submitted a letter to withdraw the appeal, the council member’s office said. The Carricos plan to come back with a proposal that better fits the East Cesar Chavez neighborhood plan, a Renteria spokesman said.

The plan for the hotel, which included a bar and a restaurant, had drawn opposition from some neighborhood residents who said the project would increase traffic and safety concerns in an area of the city already affected by an increasing amount of development. The hotel, opponents said, wasn’t in line with the characteristics of the residential neighborhood.

A group of 450 neighbors had signed a petition opposing the project. But the hotel also had a petition supporting the project that had garnered the signatures of 150 residents.

The East Cesar Chavez Neighborhood Planning Team issued a statement after the withdrawal was announced: “We want to thank Councilman Pio Renteria and the residents of East Austin who worked so hard to uphold the East Cesar Chavez Neighborhood Plan. We would also like to thank the developers of the proposed East Side Hotel, represented by Brian and Bree Carrico, for withdrawing their request for a conditional use permit. We look forward to working with Brian and Bree Carrico on their future endeavors.”