Issues around safety and access to services raise concerns at hotel-turned Denver housing complex

The Clarion hotel will soon be transformed into housing.

"This hotel has 215 rooms so being able to provide essentially housing for 215 people or couples that provides a great opportunity to put a dent in the people currently calling the streets home," said John Parvensky, the CEO of the Colorado Coalition for the Homeless.

The coalition purchased the building in December for $24 million, using federal, state and local funds. The transformation plans include onsite services to address mental health, health and addiction issues.

It's based on the housing first model, which comes with little to no requirements for getting and staying in the units.

"Studies have shown that if we house people in decent and safe housing provide the wrap-around services, they need that it actually saves taxpayers money and saves the community money that they would otherwise be spending on police services EMT transport and another emergency services," Parvensky said.

The Colorado Coalition for the Homeless owns two other hotels with one already operating as housing.

CBS News Colorado went to that facility to ask residents about their experience and found a once-celebrated housing unit known as Fusion Studios, which had a much different feel than before.

"It's just like a hotel room," one resident said.

In 2020, when Fusion Studios opened, Parvensky told CBS News Colorado it would be more than a place to lay your head.

"Not only an affordable place to lay their head, but access to mental health and addiction counseling, employment services, and other health supports to be able to improve their lives," he mentioned during that grand opening.

We visited the complex on multiple occasions and never saw the offices being used, so CBS News Colorado reporter, Karen Morfitt asked residents.

When asked about services and what the complex offers a resident said, "you have to look for that on your own." His concerns were echoed by others we spoke with but asked not to be on camera. They also raised issues around safety and say that police are on-site daily.

CBS News Colorado went back to the coalition and relayed those concerns. When asked about security and safety for the residents, Parvensky said, "safety and security are really perceptions, so the perception is often different than the reality."

CBS News Colorado asked Denver police for the number of calls for service to that address and found roughly 500 calls have been made to police every year since it opened and including everything from assault and theft to noise complaints and welfare checks.

"I think you have to look at the welfare checks our staff says that they use the police to help them intervene and to help them in their recovery," Parvensky said.

Parvensky was also asked if they've been able to provide the services that were promised and he responded saying, "We opened unfortunately right at the beginning of COVID and so staffing has been a challenge out there.... security staffing, maintenance staffing, even case management and clinical staff have been very challenging at that location." 

He added, "if you walk into an apartment building, you're not going to necessarily see a lot of activity, but those folks are maybe meeting with residents they may be consulting with other folks, but they are there."

While he says services have been there for when a resident reaches out, he acknowledges there have been challenges -- challenges that will carry over when opening a facility twice as large. Still, he says it's better than the alternative.

"This is a much much better solution then -- again -- leaving people on the streets, even if there are challenges within the building," Parvensky said.