Unicoi’s now-closed Budget Inn owner to sell property after community backlash

UNICOI, Tenn. (WJHL) — With a “coming soon” sign still hanging at the former Budget Inn, the owner of the property has pulled out of developing it into low-income housing after receiving backlash from the community.

Property owner, Shawn Miller, has only been able to repair the retaining wall and roof, and clean out the two floors of the former hotel while battling with neighbors and the town to try to operate low-income housing.

Miller said he believes their concerns are fueled by fear.

The Budget Inn originally closed due to high crime. From 2017 to 2019, there were 244 calls made for police presence from the hotel.

“Some of the neighbors showed up to the zoning meetings and complained about some of the problems it had in the past,” said Miller. “How it had been very poorly managed and they were just really upset with how it had been in the past.”

But, crime continues on the property. Miller struggles to keep up with smashed glass windows and spray-painted graffiti throughout the broken-into rooms.

“If they had cooperated, this building would’ve already have been renovated,” said Miller. “If you have 100 people living here, you won’t have random people drive by and vandalize a vacant building.”

Miller took the town to court over zoning concerns. He said the judge ruled on April 25 that the property could be operational as a motel. Miller said low-income housing is desperately needed, but with all of the pushback from community members, he doesn’t feel like it’s worth it anymore.

“I’ve lived in this area my whole life. I care about the community,” said Miller. “That’s my whole business model, is I find rundown property, fix them up and rent them out. And I tried my best to help the community in this area, and I think the next person will also.”

But the Town of Unicoi’s Mayor Kathy Bullen said there are better places in the town to put low-income housing.

“If I had a magic wand as mayor, and I think if each of the planning commission members had a magic wand, we would all stand together and [the] motel would disappear,” said Bullen. “The 5.18 acres would be divided into maybe three really nice single-family home sites.”

Mayor Bullen said there are factors the future owner will need to consider, including a court-ordered injunction. She said the injunction states that nothing can operate on the property until major engineering work and structural repairs are made.

Bullen said the last status hearing on the injunction was in March, and it was decided to continue the measure until September.

“But, the next owner will be up against the same situation,” said Bullen. “It won’t be any different for the next owner, so I’d say that’s going to be quite a challenge.”

Miller said the property should be up for sale in the next few days, alongside pieces of the former Buffalo Valley Golf Course , which the city of Johnson City has just listed for sale.

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