The Armory would be known as the new Etha Hotel taking on the location of 24 E. Mendenhall in Bozeman. The hotel would be about eight stories high with 102 rooms.
Bozeman City Commissioners say the hotel would be the perfect boutique place where folks could stay and enjoy the growth Bozeman is seeing.
Commissioners said at Monday night's meeting Bozeman is seeing more tourists and new residents moving into the area.
City officials say this project is a great way to show Bozeman is developing and moving forward economically.
Not everyone is happy about the hotel. Some residents spoke up and said it would take away from the natural landscapes and views of residential areas.
Deputy Mayor Jeff Krauss told the public downtown has to change or else it will die. Krauss argues the building will not tower over the Baxter Hotel.
"We can't have density without having height," said Krauss.
The Commission is deciding whether they will sell the Story Mansion or donate it to charity.
Commissioners came to a 4 to 1 vote with Dept Mayor Krauss holding the dissenting vote.
The Commission decided to accept proposals by then end of August as to how they will proceed with the Story Mansion.