All inferences in this profile are analytical opinions based on patterns observed in public records. Where a finding is inferred rather than directly documented, it is explicitly labeled as such. Verified findings cite their public record source.
This profile does not allege criminal activity or legal wrongdoing. Patterns and connections are documented for public awareness. All findings can be independently verified using the same public sources cited in the Source Index.
Project was pitched to the city and public as a 181-room hotel generating an estimated $2.5M/year in tourist tax revenue and $500K-$600K in property taxes. A Zillow listing on January 25, 2026 revealed the actual plan: 99 hotel rooms plus 27 luxury condominiums priced at $1.3M to $3.5M each. The MLS listings were subsequently pulled for violating pre-sale rules because no condominium plat has been filed. The city has not re-modeled tax projections for the reduced room count. Condos generate lower occupancy tax than hotel rooms, meaning public revenue will be significantly less than originally promised.
October 2025: Averill sent a letter demanding the city sell or lease the City Beach RV Park, calling it "incompatible" with a "four-star waterfront resort." Threatened that the project "will not proceed" if the RV park remains. Council rejected 6-0 in November. February 2026: Returned with a financial counter-offer: match the $950K state grant plus $50K/year in exchange for a 30-year rent-free lease on 25 boat slips. Community overwhelmingly opposed (908 survey responses ranked RV park #1 in every category). Council again rejected 6-0. A 100+ year BNSF covenant requires the property remain "park purposes" or ownership reverts to the railroad.
In August 2025, Averill argued new development impact fees ($7,703/room; total $1.3M vs. $300K under old schedule) would make the project "financially impossible." Mayor Grimm suggested Averill approach SURA (the urban renewal agency) to have public TIF money pay some of the fees. Council then delayed fee implementation from October 3 to January 1, 2026 (City Planner Bill Dean floated January 31 to further accommodate Averill). Averill submitted building permits December 29, 2025 -- two days before the deadline -- locking in the old fee schedule and saving approximately $1M.
City code requires 244 off-street parking spaces for a project of this scale. Averill is paying an "in lieu" fee to reduce the requirement to 145 spaces -- a 40% reduction that pushes overflow parking burden onto the surrounding neighborhood and City Beach public areas.
Former Mayor Shelby Rognstad called on Councilor Justin Dick to recuse himself from Averill-related votes due to his previous Trinity at City Beach restaurant at the Edgewater property and a potential future deal with Averill. Dick stated he has "no deals, no conflict of interest" and did not recuse.
| Name | Role | Notes |
|---|---|---|
| Ben McGrann | Sandpoint liaison for Averill Hospitality | Appeared alongside Brian Averill at Feb 5, 2026 council meeting; declined comment after 6-0 rejection |
| Property | Location | Type | Status |
|---|---|---|---|
| The Lodge at Whitefish Lake | Whitefish, MT | Resort hotel & restaurant | Operating |
| The Firebrand Hotel & Spa | Whitefish, MT | Boutique hotel | Operating |
| Whitefish Riverfront Hotel | Whitefish, MT | Hotel (fka Pine Lodge) | Acquired Oct 2024; Remodeling |
| DoubleTree by Hilton Edgewater | Missoula, MT | Full-service hotel | Operating (via Edgewater Partners JV) |
| Holiday Inn Missoula Downtown | Missoula, MT | Full-service hotel | Acquired Jan 12, 2026; Renovation |
| Sandpoint Lakeside Resort | 56 Bridge St, Sandpoint, ID | Resort hotel (99 rooms + 27 condos) | Under Development |
| Field | Data |
|---|---|
| Property Address | 56 Bridge Street (former Best Western Edgewater Resort site) |
| Acquisition Date | May 2022 |
| Acquisition Price | Not publicly disclosed |
| Project Investment | $70M-$100M estimated |
| Original Scope | 181 hotel rooms |
| Revised Scope | 99 hotel rooms + 27 luxury condos ($1.3M-$3.5M each) + event center + two restaurants |
| Parking | 145 spaces (code requires 244; 40% reduction via in-lieu fee) |
| Opening Target | Summer 2028 (revised from summer 2027) |
| Assessed Value | $13.1M (current assessment) |
| Building Permit Filed | December 29, 2025 (two days before impact fee deadline) |
The progression follows a recognizable pattern in resort development: pitch a large hotel to win political support with tax revenue projections, obtain permits and zoning changes, then convert a portion to condominiums that generate less public revenue but higher developer profit margins. The Zillow listing was either a premature disclosure or a test balloon. Either way, it revealed the actual business model before the necessary regulatory steps (condo plat, revised permits, updated impact fee calculations) were in place.
| Contributor | Recipient | Amount | Date | Notes |
|---|---|---|---|---|
| Dan Averill | Idaho Sunshine Fund records | $192 | Various | Minimal political spending relative to project scale |
Unlike the other major Sandpoint developers (Haberman: $12,300; Sletager: $8,000; Brownlee: $5,000), Averill Hospitality shows minimal political contributions. Their influence strategy relies on economic leverage (threatening to cancel a $70-100M project) rather than political donations. This is a different pattern but equally aggressive: where others buy access, Averill buys leverage through the sheer scale of promised investment.
| Name | Role | Significance |
|---|---|---|
| Brian Averill | Co-owner & President, Averill Hospitality | Face of the Sandpoint project; spoke at both council meetings; declined comment after Feb rejection |
| Dan Averill | Co-founder, Averill Hospitality | Father of Brian; co-founded the firm; referenced as principal in early filings |
| Sean Averill | Real estate & development | Handles development side; named in Edgewater Partners and Management Co. |
| Ben McGrann | Local representative, Averill Hospitality | Sandpoint-based point person; appeared with Brian Averill at Feb 2026 council meeting |
| Dieter Huckestein | Joint venture partner | Former Hilton Hotels Corp. board member (10 years); partner in Edgewater Partners JV and Management Co. |
| Farran Group | Joint venture partner | Partner in Edgewater Partners for DoubleTree Missoula acquisition; full profile TBD |
Per local contacts, Averill Hospitality is also controversial in their home base of Whitefish, Montana: "there's no love lost for them there either." This suggests the aggressive posture seen in Sandpoint is not an isolated incident but a pattern that follows the company across jurisdictions. Further OSINT collection on Whitefish city council minutes and Flathead County planning records would clarify whether the same tactics (ultimatums, land swaps, variance demands, scope changes) have been employed in their Montana operations.
| Source | Search | Purpose |
|---|---|---|
| Idaho Secretary of State | "Averill" -- foreign entity registration | Confirm Idaho entity status, registered agent, any additional Idaho LLCs |
| Montana Secretary of State | All "Averill" entities; annual reports | Complete entity tree; additional trade names, officers, related entities |
| Bonner County Recorder | Deed search for "Averill" | Acquisition price, encumbrances, liens on 56 Bridge St property |
| Bonner County Assessor | Parcel detail for 56 Bridge St | Current assessed value, tax status, parcel boundaries |
| Whitefish, MT City Council Minutes | "Averill" mentions | Confirm pattern of aggressive development posture in home jurisdiction |
| Flathead County Planning Records | Averill-related applications | Variance requests, zoning changes, public land requests in Montana |
| Farran Group | Entity profile | Identify who the Missoula JV partner is; check for Sandpoint connections |
| Sandpoint Building Department | Permit status for Dec 29 filing | Confirm permit scope, conditions, whether condo plat has been filed |
| Source | Date | Relevance |
|---|---|---|
| Daily Inter Lake -- "Sandpoint turns down Averill Hospitality proposal for City Beach park" (Jack Freeman) | Feb 5, 2026 | Second 6-0 rejection; financial counter-offer details; $950K grant |
| Bonner County Daily Bee -- "'Trust has been lost': Council strikes down Averill Hospitality" | Nov 6, 2025 | First 6-0 rejection; public sentiment; ultimatum response |
| Bonner County Daily Bee -- "Averill Hospitality says increased impact fees would sink current hotel plan" | Aug 22, 2025 | Impact fee pressure campaign; SURA subsidy suggestion |
| Bonner County Daily Bee -- "Averill Hospitality submits permits for Bridge Street hotel development" | Jan 3, 2026 | Dec 29 permit filing; impact fee deadline avoidance |
| Sandpoint Reader -- "Real estate listing indicates City Beach resort hotel will include condos" | Feb 2026 | Zillow listing exposure; condotel revelation |
| Sandpoint Reader -- "I feel like we're being played" | 2025 | Averill/council dynamics; public frustration |
| Bonner County Daily Bee -- "Averill Hospitality moving to summer 2028 target" | Jul 26, 2025 | Timeline slip from 2027 to 2028 |
| Sandpoint Reader -- "Sandpoint P&Z opens the way for new hotel project at City Beach" | 2024 | Initial P&Z approval |
| Montana Secretary of State -- Business Entity Search | 2026 | Entity registrations, filing numbers, officers |
| HUMINT -- Local real estate contact (Sandpoint) | Apr 2026 | Whitefish reputation; "radio silence" since Feb rejection |