CANNON BEACH — Now that Pelican Brewing Co. is up and running, the owners are turning their attention to the hotel property next door.
Co-owners Mary Jones and Jeff Schons plan to renovate the hotel. The brewpub and hotel are located on the same parcel, but need to be on separate lots in order to finance the renovation. Last week, the Planning Commission approved the preliminary plan for a two-lot partition of the property at 1371 S. Hemlock St.
“It is our intention to renovate the hotel and to do that, we will need a source of borrowing,” said Jones, the manager of Cannon Beach Holdings LLC. “To get the funding required to renovate, we need to have it on its own parcel to be identified as collateral for our loan. That is the reason for the partition.”
Jones said they do not plan on expanding the seven-room hotel.
Both parcels meet the criteria for the division request, Schons said.
“We operate a hotel in Pacific City, we understand the hotel business,” he said. “We’re excited about this hotel. … We think it would be a great opportunity for the community to have a nice, well put-together little seven-room hotel right next to the Pelican. We see it as a long-term goal for Cannon Beach Holdings and a long-term opportunity for Pelican Brewing.”
They are looking to renovate the hotel in one to three years, he said.
Criteria for evaluating the application included lot size, street access, off-street parking and more.
The Planning Commission discussed how the hotel could impact parking in the area, since Pelican Brewing has led to parking concerns.
Commissioner Lisa Kerr said the applicant met the criteria, “whether we like the way the whole Pelican Brewing phenomenon has affected the parking in the area.” The motel’s 10 parking spaces “seems fair and reasonable,” she added.
City Planner Mark Barnes said Pelican Brewing has expressed interest in helping to reduce parking issues.
“We are talking to Pelican about solutions that might involve shuttles and off-site parking,” Barnes said. “They approached us to see if there was a way to solve some of these problems.”
“We recognize that the parking in Cannon Beach is a significant issue,” Schons said. “We want to do what our business should do to be a proactive and positive part in that solution.”