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Health & Safety committee advances $8.025 million purchase of Independence House to preserve 75 community‑corrections beds
Summary
Denver’s Health & Safety Committee moved to advance a purchase of Independence House at 4101 North Pecos Street to preserve 75 community‑corrections beds, citing a backlog of about 120 people waiting for placement and a nearly six‑month wait for admission into local programs.
Denver’s Health & Safety Committee on Dec. 10 voted to advance a proposal to buy Independence House, a residential community‑corrections facility at 4101 North Pecos Street, to keep active local placement capacity while the city brings other facilities online.
The committee was presented the purchase terms by Lisa Lumley, director of real estate, and Greg Morrow, director of community corrections. Lumley said the proposed purchase price and related closing costs total $8,025,000 and noted $4,000,000 of the funds are currently budgeted in the 2025 Capital Improvement Program and another $4,000,000 in the 2026 budget. The parcel is roughly 25,000 square feet with a 70,099‑square‑foot building, and staff said a facility assessment and life‑safety work would follow due diligence.
“Back in 2019, there was a policy decision to begin to shift this away from solely relying on the private sector,” Greg Morrow told council as he summarized the department’s transition away from large for‑profit operators and the rationale for municipal acquisition. He framed the purchase as part of restoring capacity after several provider closures and earlier municipal acquisitions.
Morrow said Independence House currently serves 75 men exiting incarceration and that owner‑operator Jose M. Rodriguez has indicated a willingness to continue operating the site through the end of calendar 2026 or early 2027 if the acquisition proceeds, giving the city time to reopen other sites such as Dahlia. Council members emphasized the operational importance: Morrow reported about 120 people are waiting for community corrections placements, roughly 50 of whom remain in jail, and said average wait time for placement approaches six months.
Council members asked finance and real‑estate staff to confirm funding availability and to outline next steps for due diligence and facility remediation. Lumley said prior acquisitions required upgrades in the $250,000–$400,000 range for fire suppression and other life‑safety work but stressed that the exact scope for this building would be driven by the facility assessment.
Chair Daryl Watson called for a motion; the committee moved and seconded the purchase authorization and indicated approval by voice/thumbs up. Staff said the item will proceed to the full council floor for final action.
If approved by full council, the city and county of Denver would execute a purchase and sale agreement with Jose M. Rodriguez for the property at 4101 North Pecos Street. The committee directed staff to continue due diligence, provide updates on Dahlia’s renovation timeline and, if needed, bring an operating agreement extension for Independence House to council to avoid an interim loss of beds.
The committee did not provide a precise closing date; staff said the intent is to align closing with the end of the existing service agreement and to submit facility remediation requests into the 2027 CIP process.
