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Developers say Marriott franchise executed; condo sales at about 30% as downtown projects advance
Summary
Project representatives told the commission the Marriott Renaissance franchise agreement has been executed, management agreements are imminent, condo sales stand at about 30% and construction-financing milestones are targeted for late fall.
During the Sept. 8 meeting, project representatives provided the commission with an update on related downtown developments, saying they had executed a franchise agreement with Marriott for a new Renaissance hotel and were continuing to assemble financing and management agreements for the mixed-use project.
A speaker identified as a project representative said: "We are officially Marriott franchisees now." He added that franchise and management agreements were in process and that underwriting, equity placement and debt commitments were being pursued with the goal of completing key financing steps in early November so the bonds could be sold and the project could proceed to closing by year-end. He also said condominium sales were about 30% and that the developer hoped to accelerate pre-sales to reach a higher threshold before construction began.
Commissioners and staff discussed potential partial certificates of occupancy for an associated residential tower (Eleventh Street Station) and noted the tradeoffs of completing floors sequentially versus waiting for broader occupancy to make partial occupancy financially feasible. Staff said they had discussed possibilities with the developer but that any arrangement for partial occupancy would require further financial analysis from the developer and additional review by the city.
No formal action was required on the update, but commissioners said they welcomed the progress report and reiterated the need to coordinate on financing and timing of construction milestones. The update accompanied other formal actions tied to the solar project, TIF area and bond pledges discussed earlier in the meeting.
