1950s-60s era postcard and the Budget inn in Toledo today. A development company has bought the property and work is underway to redevelop the three buidings.

Passersby have observed work began last week on the first two roofs of the three-buildings which form the Budget Inn complex at South Broadway and Business Highway 30 in Toledo.

Tama County property tax records list Superior Housing Cooperative Assoc. as the purchaser of the Budget Inn property on June 4 for $95,000.

McKenzie Standley, general manager for Superior Rentals, Marshalltown, told The Chronicle on Friday afternoon, June 14, “Yes Superior Rentals has purchased the property, and have started renovations. We are working towards making the buildings safe, and hopefully turning them into something the community can be proud of and not the eye sore they have been for so long.

“We are not yet decided on our final plans for the property, however I will certainly keep you updated to our progress.”

Budget Inn Closed

The roof on one of three Budget Inn motel buildings was being replaced last week with a new one. Superior Housing Cooperative Association took over ownership of the property on June 4 and work on improvements began shortly. Chronicle/John Speer

The Budget Inn, closed for some time, began falling into disrepair in 2013. At that time the Toledo City Council ordered the windows and doors boarded up in response to safety concerns and reports of persons and animals entering the rooms.

In December, 2014, Toledo City Council members approved adding the location to the city’s urban revitalization area in December. They had previously voted to rezone the land from commercial to multi-family residential upon the recommendation of the Planning and Zoning Commission.

The long-vacant motel then had been proposed as the site for a 24-unit apartment complex to be newly-built in 2015 by West Des Moines property development company Newbury Living.

However, the plans were dashed when the Iowa Housing Authority awarded the lion’s share of $51 million in grant money to Iowa’s largest and mid-size cities.

The Budget Inn, known first as the L-Ranko Motel, was the premier lodging business in the area for a number of years. Loren and Blanch Rank first opened it in the 1950s upon the rerouting of U.S. Highway 30 through Toledo from the old Lincoln Highway through Tama. They expanded it twice building two additional sets of units.

The Donald McKale and Ordell Matzdorf families purchased and continued the operations for many years. It was later sold to Chan and Honsa Bahkta and then passed on to other owners.