Land office issues new call for bids on Garrett’s property

The New Mexico State Land Office is taking bids again for the lease to take over the Garrett’s Desert Inn property on Old Santa Fe Trail.

Commissioner of Public Lands Aubrey Dunn Jr. called off a deal with a hotel company last year to redevelop the site after he said the company was not able to show it could get a $250,000 performance bond.

The state acquired the 2.7-acre site a couple of blocks south of the Santa Fe Plaza in 2016 through a land exchange with Cochiti Pueblo.

The 20-year lease calls for a minimum base rent of $225,000 a year with the option for two 20-year renewals.

The revenue will benefit The University of New Mexico.

“This property is a tremendous asset for the community and the beneficiary it supports and we will not compromise when selecting a lessee,” Dunn said in a statement.

The property’s location in the middle of downtown has made redevelopment a source of concern for preservationists.

The State Land Office received multiple bids for the site last year. The winner had offered $300,000 a year, a one-time bonus bid of $100,000 and 5 percent of annual gross revenues. In turn, the company planned to update the hotel’s 83 guest rooms and lobby, repave the parking lot and undertake other upgrades.

The State Land Office has said the site’s current leaseholders, 221 Santa Fe Innkeepers LLC and the Santa Fe Bite restaurant, will remain on the site until the matter is resolved.

The deadline for sealed bids is 4 p.m. April 16. Bids will be opened April 23. Information about the property and bidding process can be found at nmstatelands.org.