Jim Griset had a simple dream: to build a small, boutique hotel in the heart of downtown Prescott, Ariz. He envisioned transforming three buildings he owns on iconic Whiskey Row into a hotel that would complement the surrounding architecture and preserve the charm and character that make Prescott special.
But for years, the city barred Jim from bringing his dream to life—a city commission repeatedly and illegally rejected his application based on vague and subjective standards. So, with the help of the Goldwater Institute, Jim fought back.
This month, in a win for private property rights, the Prescott City Council finally gave Jim’s project the green light, agreeing to abide by the law and ensure fair permitting for all.
The three buildings Jim owns—currently home to a Harley Davidson shop, an art gallery, and a souvenir store—aren’t historic themselves. But they sit within the city’s designated historic district. That’s where the trouble began.
Because the property is in a historic district, Jim needed approval from the Historic Preservation Commission, a citizen board charged with assessing whether proposed projects align with Prescott’s historic preservation guidelines.
That process set off a years-long saga.
When Jim first submitted his application in 2023, the commission rejected it—not based on any clear or objective standards, but in response to NIMBY [not-in-my-backyard] opposition and vague impressions. Instead of pointing to identifiable criteria in the city’s preservation code, the commission relied on subjective notions like whether the design was “respectful” of the district’s “intimate scale.”
Those terms don’t appear anywhere in the law. They’re not defined. They’re entirely subjective—which is exactly what the law is supposed to prevent.
Jim appealed to the Prescott City Council, which initially upheld the denial.
But that denial violated state law.
The Goldwater Institute helped to pass the Permit Freedom Act to ensure cities use clear, objective, and pre-existing rules when deciding permit applications. The Act prohibits local governments from making new rules midstream or applying vague, subjective standards to block lawful use of private property.
And that is precisely what Prescott did.
This was especially troubling because the city clearly recognized the need for more lodging downtown. In 2024, the city itself sold the old City Hall to a developer building a four-story hotel—in the same district—without the resistance or shifting standards Jim faced.
Despite the obstacles, Jim stayed committed. He listened to feedback. He revised his designs. He worked in good faith to ensure his project complemented downtown Prescott. He tried to do everything the right way.
Yet every time he met the standards placed before him, the standards seemed to change.
Then, things started to shift. After Goldwater attorneys highlighted the city’s legal obligations under the Permit Freedom Act, the City Council requested an independent review by an outside historic preservation expert. That neutral review confirmed what Jim had been saying all along: his project met every objective criterion in the city’s Historic Preservation Code.
As Goldwater attorneys pointed out at the time, based on this review, under the Permit Freedom Act, there was simply no legal criteria authorizing the denial of his permit.
Even then, the Historic Preservation Commission voted 3–2 to deny the project again. Jim appealed.
On November 4, the City Council reversed the commission’s decision. Several council members spoke openly about the importance of private property rights and the need for fair, consistent rules—not decisions driven by subjective preferences or political pressure. Members of the public echoed the same: government rules must be fair, consistent, and objective. They should not favor some over others.
It was a fitting moment in Prescott, the town where Barry Goldwater announced his presidential campaign. Senator Goldwater understood private property rights, the rule of law, and the simple truth that free people—not central planners—are best suited to decide how to use their own property.
Property owners in Prescott, and across Arizona, deserve certainty. They deserve to know the rules before they invest. When government shifts the rules or invents new ones as it goes, it undermines confidence, deters investment, and violates the law.
Jim’s story isn’t just about one hotel—it’s about fairness, accountability, and the fundamental right to responsibly use one’s own property. And thanks to the Permit Freedom Act, he is now one major step closer to making his dream a reality.
Jon Riches is the Vice President for Litigation at the Goldwater Institute and represented Jim in this case.
