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The Villa Motel is one of two motels in Fresno being purchased by the city. Image via loopnet.com.

published on January 27, 2022 - 1:07 PM
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The Fresno City Council on Thursday approved the purchase of two motels in central Fresno to be immediately used as transitional housing for the homeless — even ahead of a spring escrow closing date.

In a 7-0 vote, members of the council agreed to pay the combined $5.73 million to purchase the Ambassador Inn at 1804 w. Olive Ave. and Villa Motel at 817 N. Parkway Dr.

The Ambassador Inn with its 56 units sold for $3.3 million and the Villa Motel with 51 rooms sold for $2.43 million.

The rooms at the Ambassador Inn are larger and in better condition, explaining the higher price tag, said Tim Orman, chief of staff to Mayor Jerry Dyer, who recently announced he would be leaving the position Jan. 31.

Orman guaranteed to the council that the purchase price was below market value.

Both hotels are currently in operation. The City of Fresno would use its own money to purchase the motels, as opposed to similar projects funded by the state’s Project HomeKey.

The City of Fresno would seek out HomeKey funding to renovate the properties at a future date, according to city staff.

Despite escrow not being scheduled to close until April 1, city staff said housing for the homeless could begin Feb. 1. It will be operated by the nonprofit group Elevate Community Services.


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