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Developer seeks rezoning of old elementary site for hotel, retail and housing; council to hold public hearing

April 15, 2026 | Gunnison, Sanpete County, Utah


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Developer seeks rezoning of old elementary site for hotel, retail and housing; council to hold public hearing
City staff said the planning commission has received a rezoning application for the former elementary school site on Main Street that would repurpose the school building for office use and add a 40‑room hotel, retail space, roughly 120 apartments and about 80 townhomes on the roughly 10‑acre parcel.

Dennis, a city staff member, told council members the developer initially requested multiple code amendments but the planning commission suggested creating a special zone for the parcel or pursuing a development agreement that would allow site‑specific standards instead of changing the citywide code. Dennis said the project plan shows substantial common open space, a clubhouse and recreational amenities such as pickleball courts.

Why it matters: the project would increase housing and commercial capacity in a central location and could involve code amendments, condominium conversions for townhomes and negotiations over maintenance and long‑term property standards. Council members asked about density, affordability and whether the townhomes would be sold individually; Dennis said townhomes would likely be sold separately and apartments would be rental units.

Process: staff emphasized that the city has options—amend the code, create a special zone, or require a development agreement as part of a rezoning—and that the council has the final legislative approval. A public hearing will be scheduled to allow neighbors and other stakeholders to comment before any legislative action.

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