When Peter Toalson and his partners bought a corner building in the emerging Chicago neighborhood of Logan Square a few years ago, they initially envisioned a ground floor restaurant, topped by two apartments. Soon, though, emboldened by the tremendous popularity of what became a Michelin-starred gastropub, Longman & Eagle, the partners began to think bigger. “Some sort of lodging option immediately came to mind,” Toalson says. “After researching the history of inn and tavern culture in Chicago, we landed at the integrated eating, drinking, and sleeping concept.”

The new hostelry echoes the artfully calibrated signals of unassuming comfort set by the eatery’s unpolished wood floors, black-painted chairs, and plaid-clad waitstaff. “Downstairs, we tried to refer to more timeless, traditional elements,” says Toalson, who crafted the space with co-owners Cody Hudson, a local designer, and Robert McAdams of Mode Carpentry. “The upstairs is more heavily considered, but still uncomplicated. It may be over-thought, but I don’t think it ever feels over-done.”

Beds are sparingly dressed, with deep purple or marine linens, wood floors are bare, and brick walls are exposed. An eclectic blend of furnishings-custom-made built-ins by McAdams interspersed with chairs by John Martin, also of Mode-completes the effect. “Many, maybe all, of the material choices were made out of necessity,” says Toalson, “since we did the project on an extremely tight budget.”

But no two rooms are the same, and lean as they are, they’re rich with personality, illustrated through touches like hanging terrariums and assortments of books and mix tapes. “We wanted to give the rooms a sense of place,” says Toalson. “There’s the idea of sharing an experience with others who actually live in the neighborhood-to give guests the sense that they’re staying with friends, being exposed to their preferences and tastes.”