By TOMMY REZAC
St. Joseph Post
St. Joseph city councilmembers this week officially approved the demolition and rebuild of the Red Lion Hotel in downtown.
HDDA St. Joseph LLC and the city agreed to redevelop the Red Lion Hotel, which has sat vacant for years. The decision by city council confirms that the developer will tear down the existing structure and build a 150-room Courtyard by Marriott hotel.
Marci Bennett, Executive Director of the St. Joseph Convention and Visitors Bureau says the decision to tear down and rebuild the hotel was the best decision on the table.
"It'll be absolutely incredible for our community and for downtown and any events we're hosting at Civic Arena," Bennett said. "For the Air Guard and 139th Airlift Wing. It's been a long time coming."
The 20 million-dollar hotel will also include a banquet space, a restaurant and parking lot. The developer will use loans to immediately pay for the project, but has asked the city for financial assistance through tax reimbursements.
Bennett says this new hotel will provide a service that the city does not currently have.
"Not only is having hotel rooms adjacent to the Civic Arena, but to have additional meeting space," she said. "That is one of huge needs for our community. Meeting space that has continuous hotel rooms."
The city has agreed to provide up to $3.5 million in tax reimbursements through general sales and tourism taxes.
Reimbursement on the city sales tax will end when total reimbursement reaches $2 million, or 20 years from the opening date.
Reimbursement through the tourism tax will end when total reimbursement reaches $1.5 million, or when the tourism tax expires.
The hotel is set to be back open by the end of 2024.
Bennett says the time is right for a new hotel and meeting space in downtown with all of the other new development in the area.
"I would say 15 years ago, if you stayed in that hotel, there really wasn't much to do," Bennett said. "You'd have to go out to the Belt Highway or somewhere. But, we have all kinds of really cool restaurants downtown and shops. I think it's the right time and the right place."
Work on the property can't start any later than May 31, 2023.