New Castle County wins auction for Sheraton South hotel


Amy Cherry Via WDEL

New Castle County will likely be the new owner of the Sheraton South hotel near New Castle.

The county won at auction to purchase the 192-room hotel on flood-prone Airport Road for $19.5 million after winning an auction that turned into a last-minute bidding war with the price going up in $1 million required increments every 15 seconds. An auction listing showed the property in escrow.

WDEL broke the news that the county planned to use federal CARES Act money to purchase and convert the hotel into an extended-stay homeless shelter in order to meet rising numbers of people experiencing homelessness ahead of the winter. Many shelters have been unable to operate during the pandemic due to space concerns.

Amid the pandemic, New Castle County already has as many as 634 families being housed in a dozen motels in the county while nearly 200 individuals are in emergency homeless shelters. 

In an exclusive interview with WDEL, Meyer said he envisions the shelter becoming a social services hub like the Community Services building in Wilmington.

"This could be a tremendous hub...for social service organizations that are on the front-lines of addressing issues of addiction and abuse, addressing issues of mental illness, addressing issues of domestic violence, sex trafficking, legal aid, even educational/academic tutoring needs," he told WDEL's Rick Jensen Show.

He also said after the COVID crisis, the property could continue operations with state and federal grant money as well as private donations without becoming a burden to county taxpayers.

"Our belief is the funding is there to operate this thing on an ongoing basis without having a detrimental impact on the county budget," said Meyer.

Governor John Carney called the challenge of homelessness a "serious one" that the state's responded to by making space available in hotels that weren't otherwise occupied.

"It was a big focus, it was to a certain extent term-limited, so the question gets to be:  what do you do now?"

He called Meyer's solution a "creative" one, but didn't express any commitment to partnering with the county to offer services.

"There is some concern about the particular location of the facility kind of being out without access to a lot of services, a lot of the homeless shelters have other services that are provided by non-profit organizations located pretty close to the facility...I'd like to learn more about what that long-term plan actually is.

1 view0 comments