Troubled Dallas Hotel to Convert to Supportive Housing

A Lake Highlands property that has has become known for high crime rates may soon become a way to create new housing options in the region.

Plans are underway for the Extended Stay America–which received a special designation from the Dallas Police Department for numerous crimes taking place there–to be rezoned, allowing it to be converted into permanent supportive housing with case management services and potentially give it a new nonprofit owner. In April 2022, the property was designated as a Habitual Crime Property by the Dallas Police Department.

Talks are ongoing with the current hotel property owner, Three Wall Capital, to transfer ownership to a nonprofit. A letter of intent for the ownership change is expected to be signed within the week.

The current plan would reconfigure the 136 hotel units to accommodate around 100 one- and two-bedroom apartment units, in addition to adding amenities like playgrounds on the site. Work is expected to cost a little more than $3 million.