The Murray City Planning Commission has rejected a proposal to convert the former Motel 6/Studio 6 on 6600 South into a mixed-use affordable housing project, citing concerns raised by residents and the commission’s own review of the developer’s track record. The unanimous vote on Aug. 7 recommended that the Murray City Council deny the rezoning request sought by Ville Property Management.

The project, known as the Ville 66 Project, was pitched by developer Keith Warburton of Ville Property Management. His plan called for retrofitting the long-term stay hotel at 975 E. 6600 South into 102 studio apartments and creating about 5,000 square feet of commercial space from existing rooms. To move forward, Warburton requested that the property be rezoned from General Office to Village Mixed Use, a designation that allows both housing and retail.

City planning staff recommended approval, conditioned on a binding development agreement. Planning Manager Zachary Smallwood told commissioners the project met the goals of Murray’s mixed-use zoning ordinance. In his report, staff found that the conversion would “facilitate the adaptive re-use of existing commercial structures” and “promote opportunities for life-cycle housing, and housing for moderate income households.”

The staff analysis noted that the property had struggled since losing its Studio 6 motel branding, with “an uptick in crime at this property since losing its branding as a Studio 6 motel.” The city also received complaints from surrounding property owners who “do not feel safe and have observed suspicious activity near the office buildings.”

While planning staff urged approval, resident Sherry Bleazard submitted a detailed written objection questioning both the developer’s record and the suitability of the project’s location.

“It is my humble opinion after researching Mr. Warburton and his failed attempts at developing properties for affordable housing projects, that he is definitely NOT the most trustworthy person to be entrusted with such a large amount of grant money,” Bleazard wrote.

She cited examples of Warburton’s other ventures: Ville 647 in Richfield, which was destroyed in a fire in 2022; Ville 9 in downtown Salt Lake City, where she alleged “construction has been stalled” and “area business owners are complaining that the residents are trafficking and using drugs;” and the Elko Inn in Nevada, which “on March 6, 2024,…was raided by a SWAT team for drug trafficking violations.”

Finally, she argued that Wheeler Farm, which borders the property, would be negatively affected by the type of housing proposed. “My opinion is that the types of tenants attracted to this type of housing is not a good fit for a facility located right next to a highly-used county park such as Wheeler Farm,” she stated.

After hearing the staff presentation and reviewing public input, the commission voted unanimously against recommending approval. The motion to support the zoning change and development agreement failed without dissent.

The commission’s recommendation now heads to the Murray City Council, which will hold its own public hearing and vote in the coming weeks.

The Ville 66 Project is part of a broader push by Warburton’s Ville Property Management and its parent company ETNA Properties to convert distressed motels into affordable housing across Utah and neighboring states. Proponents argue such adaptive reuse is a cost-effective way to address the region’s housing shortage.

Murray City staff, in recommending approval, emphasized that the project’s design would include significant commercial space to serve residents and neighbors. “Because of the unusual nature of the request, CED has determined that this is a special case that involves a more thorough review and guardrails to ensure the city is not reasonably aware of the impacts from the proposed project,” the staff report stated.

But the commission’s rejection underscores skepticism about whether such conversions can succeed without broader community confidence.

The Murray City Council will take up the recommendation later this year. Council members are not bound by the Planning Commission’s decision, but they traditionally give weight to unanimous recommendations.

Keith Warburton of Ville Property Management proposes to convert the former Motel 6 into affordable housing. (Shaun Delliskave/City Journals)