Axel Hotels confirmed this week that they plan to open a gay boutique hotel in NYC called "The Out NYC." The vacant building at 508 W. 42nd street in Hell's Kitchen has been selected for the site. The building, which once was a Travelodge, will undergo a $20 million renovation to become an upscale 123-room hotel, complete with spa, restaurant, café, shops—and a 10,000-square-foot dance club. The property is expected to open sometime in 2011. Axel currently operates three "heterofriendly" hotels around the world in Buenos Aires, Barcelona, and Berlin.