Just a few days before the fire, the Hotel Washington's profile had been substantially raised by a cover story that appeared in the Rhythm section of both daily
newspapers. "On any night of the week," Natasha Kassulke wrote, "a walk through the businesses at the Hotel Washington complex ... is like entering a
Disney World for drinkers, dancers and diners."
Fire officials determined that an ashtray emptied into a wastebasket in the office of the Cafe Palms caused the fire.
The city of Madison, a local bank and the Scheel family gave it their best shot. But plans to rebuild the Hotel Washington succumbed to a series of setbacks and
increasing costs. Greg Scheel withdrew applications with Capitol Bank and the city for loans to rebuild the downtown entertainment mecca.
