Urban Alchemy Set to Run Denver's Two Largest Shelters
Denver City Council is expected to approve the transfer of the Crossroads and 48th Avenue Men's shelters to the nonprofit in 2027.
Updated on Nov. 9, 2026 in Openings & Closings
Live Poll
Do you trust Denver's local government to pick good operators for homeless shelters?
Denver City Council is set to approve Urban Alchemy as operator of the 300-bed Crossroads shelter and the 48th Avenue Men's Shelter. The Salvation Army lost its competitive bid for Crossroads, which it had operated since 1983, while the Denver Rescue Mission is moving away from running group shelters.
Why it matters
The shift changes who runs the city's largest shelters and affects roughly 71 Denver Rescue Mission employees who are being laid off. The Denver Rescue Mission is intentionally stepping back from operating group shelters, marking a change in how the city delivers homeless services.
The proposed contracts total roughly $38.6 million, with a $33 million three-year deal for the 48th Avenue shelter and a $5.6 million one-year performance-based deal for Crossroads. Urban Alchemy's staff is reported as 98% people with incarceration or homelessness experience, but the city has not yet disclosed how the new operator will staff the sites.
The players
Urban Alchemy
A nonprofit formed in 2018 that employs people with incarceration or homelessness experience and has grown to more than 1,000 staff nationally.
The Salvation Army
A global Christian charity that has operated the Crossroads shelter in Denver since 1983 and lost its competitive bid to keep running it.
Denver Rescue Mission
A Denver-based nonprofit that has run the 48th Avenue Men's Shelter since 2021 and is moving away from operating group shelters.
The details
City staff have proposed awarding the Crossroads contract to Urban Alchemy after a competitive bid, and the city's housing department plans to contract with the group for the 48th Avenue Men's Shelter. Urban Alchemy, formed in 2018, took over the nearly 300-room Aspen shelter on Quebec Street from The Salvation Army about a year ago and won its first Denver contract in 2025.
Timeline
2018: Urban Alchemy is formed.
1983: The Salvation Army begins operating the Crossroads shelter on Brighton Boulevard.
2021: The Denver Rescue Mission begins running the 48th Avenue Men's Shelter.
2025: Urban Alchemy wins its first Denver contract.
2027: Urban Alchemy is set to take over Denver's two largest shelters.
Market Landscape
The competitive bid that cost The Salvation Army the Crossroads contract is the same process the city is using to reshape its shelter network around newer nonprofit operators. Urban Alchemy's move from one Aspen shelter to two of Denver's largest sites shows how a relatively young organization is gaining share against established providers.
Residents who use or work near the Crossroads and 48th Avenue shelters will see a new operator take over, and the 71 laid-off Denver Rescue Mission employees will need to find new work or hope for rehiring. Taxpayers will fund the proposed $33 million three-year and $5.6 million one-year contracts.
The takeaway
The transfer shows how city shelter funding increasingly flows through competitive bids that can displace long-standing providers. Watching the council vote and any rehiring announcements will show how the change affects the people who depend on these shelters.
What happens next
Denver City Council is expected to vote on approving Urban Alchemy as operator of the Crossroads and 48th Avenue shelters, with the transfer set for 2027.
Further reading
Track other changes in Denver's business landscape in the Openings & Closings section.
Live Poll
Do you trust Denver's local government to pick good operators for homeless shelters?
