‘Iconic view.’ Developer proposes Tri-Cities hilltop hotel. Neighbors are up in arms

A boutique, destination hotel where guests can soak up the vast Tri-Cities panorama is the longtime dream of a Kennewick builder.

The luxury hotel with views of the Yakima, Columbia and Snake rivers would include a spa, fine dining and serve as a wedding venue.

Tri-Cities developer Jose Chavallo has been pushing the idea for nearly 15 years.

“My dream has always been to put in a boutique hotel and winery and open it to the community,” Chavallo told the Tri-City Herald. “Something the whole community can enjoy.”

But neighbors are upset about his vision for the top of 1,000-foot Thompson Hill and plan to speak out at a Kennewick hearing Monday, April 19.

Chavallo and his wife Tammy own the family-run company New Environment Corp., and live in the house built 50-years ago atop Thompson Hill.

The four-bedroom, four-bathroom stone and brick home was once a bed-and-breakfast and for a time, Thompson Hill Cellars. But city zone rules have kept it from being more.

The Chavallos’ 40 acres on the hill are zoned for low-density housing. Ten years ago, a Kennewick hearing examiner Ok’d plans for an exclusive gated community called Citadel Estates with 36, half-acre lots.

The Sherman Street project lies south of the Creekstone subdivision and just west of Panoramic Heights.

But Chavallo also envisions luxury townhomes for retirees who want to downsize but don’t want to give up the quality they may have come to expect — something he says is in short supply, particularly in Kennewick.

His application to change the zoning to high-density residential to also allow for a hotel is going before the Kennewick Planning Commission again Monday.

Chavallo first tried to get Kennewick City Council approval in 2009 for the hotel, but it was rejected. In 2010, the decision was deferred. And a year later the proposal was turned down again.

Each time, Chavallo was met with resistance from neighboring residents, and this time is no different.

Upset neighbors

“We understand and support the need for more high-density residential developments to meet future housing needs in Kennewick,” said the Panoramic Heights Homeowners Association in a letter submitted to the commission and the news media. “However, we believe that this site is the worst possible location in the Southridge area for such development.”

The association says the switch from low-density housing is not compatible with that area and would harm surrounding neighborhoods. It has organized a vigorous campaign in opposition, complete with fliers, yard signs and a webpage.

Major concerns include a dramatic increase in traffic of 6,500 estimated car trips daily, more noise and light pollution, erosion and runoff from the hillside, as well as harming the view of other homes, the letter said.

Chavallo said that he doesn’t intend to use the high-density zoning to fill it with homes.

He said it logically doesn’t make sense for him to build a gated upscale community only to drive up traffic.

“I’m just trying to do something unique for here,” Chavallo said. “I would love to open it up to the community.”

He told the Herald that the only reason he has requested the high-density zoning change is to accommodate the hotel — not to add apartment buildings.

However, the potential of what could be built under a high-density designation — regardless of his plans — concerns surrounding homeowners.

Bill Dixon, a member of the Panoramic Homeowners Association, has lived in that neighborhood for 32 years.

“Worst-case scenario is that the landowner could build 1,100 apartment units,” he said. “We have to deal what is allowed if the land use designation is changed.”

Dixon said that according to city planning guidelines, high-density zones should not be next to surrounding low-density areas.

He argued Thompson Hill is not a good fit for a hotel because it wouldn’t have access to public transit and commercial shopping areas. And the number of new roads to serve more homes would need to be carefully planned so the surrounding neighborhoods are not overwhelmed.

“It is an iconic view of a prominent feature,” Dixon said. “If you fill it up with condos and hotels it is going to be a visual eyesore from around the Tri-Cities.”

Dominic Sansotta, who has lived in the Southcliffe development for four years and in Kennewick since the early 1980s, said top concern is the added traffic. Southcliffe is on the west side of Thompson Hill.

Sherman Street currently has no median and already is a safety hazard for pedestrians and bicyclists, he told the Herald.

“Infrastructure at this point is far from being able to handle such a development,” Sansotta said.

He added that he is not opposed to condos, townhomes or even hotels — but they shouldn’t be on top of Thompson Hill.

Chavallo insists that he merely wants the entire community to share in the view he gets to enjoy each morning.

“They got a piece of the pie,” Chavallo said in response to the association’s letter. “They got a piece of heaven, but they don’t want to share with anyone else.”

The planning commission meeting is at 6:30 p.m. April 19. People interested in watching or speaking at the online session can register on the city website.

This story was originally published April 17, 2021 at 11:28 AM.