Hotel construction hot in 2008

Filed under: Daily News,Real Estate |

Hotel construction may be one of the few national bright areas for new construction in 2008, and a few local projects could make that the case locally, too.

Lodging Econometrics, said that the further quarter “pipeline” rose 36 percent from the same quarter in 2006.

Specifically, data through Jan. 25 showed projects already under construction, scheduled to start within the next 12 months or in “early planning” were all up more than 30 percent.

Industry analysts caution however, that December 2006 and January 2008 might actually have been a “turning point” for the industry, noting that there will be fewer new project announcements in 2008 across all hotel chains.

Locally, construction has begun on the new 320-room Renaissance Hotel off Interquest Parkway and a new Hampton Inn & Suites is near completion near the World Arena. A MainStay Extended Suites hotel is on the drawing board, but a site has not been announced.

In addition, Cooper Tower developer Ray O’Sullivan will likely name the downtown project’s hotel flag this spring.

A 220-room Embassy Suites Hotel is also planned near America the Beautiful Park, but the project is pending as developers await the results of the city’s Urban Renewal Authority’s environmental assessment and soils remediation plan for the former gas operations building property.

No development application has yet been submitted to the city’s planning department said senior planner, Steve Tuck.