It's not the type of home you'd expect for a bird of prey, but two peregrine falcons have set their nest atop a Red Deer hotel attracting widespread interest from nature lovers and researchers.

The pair of falcons recently built a nest near a ventilation shaft on top of the Capri Hotel. Two chicks hatched this week and there could be another three on the way.

Todd Nivens from the Kerry Wood Nature Centre has been watching the birds closely and says it isn't that unusual of a home for the birds.

"Before there were people around these are birds that nested on cliff edges and cliff faces, so if you think of it from a bird's point of view, the edge of the Capri Hotel is a giant cliff overlooking a valley, you know with tons of hunting space," said Nivens.

The once endangered birds were nearly wiped out in the 70s by the use of DDT. There were only about two peregrine falcons in Alberta at the time; the insecticide has since been outlawed and there are now about 60 in Alberta.

"They've rebounded both in rural and natural environment and in urban development and now you find them in places like the roof of the Capri Hotel or you find them in buildings in Vancouver or Toronto or Calgary," said Nivens.

As for the hotelier who has been letting the falcons stay rent-free, he is happy to have them on his roof.

"It think its fantastic that we have some extra guests here in our hotel for the next few weeks, knowing that this is one of the few mating pairs in central Alberta," said Gill Vallee from the Capril Centre Hotel.

Vallee says he has been contacted by researchers looking to take advantage of the situation to learn more about the birds.

"They're hoping that we can have a proper nesting area and have a webcam up there so that we can watch the progress of the hatching of the chicks," said Vallee.

The hotel hopes by installing a permanent nesting box on the roof the birds will return every year.

With files from Adam Kuzina