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Developer seeks city help to build TownePlace Suites on Mariposa; asks staff to explore tax rebates and fee relief
Summary
A local developer told the council he plans a 99-room TownePlace Suites by Marriott on Mariposa and asked city staff to explore incentives — including sales-tax rebates, reduced fees or property-tax abatements — to make the project bankable amid high interest rates.
Rudy Davdul (Rudy Davdul, developer) presented a preliminary plan to build a 99-room TownePlace Suites on Mariposa, near the Frank Reid corridor and just uphill of the Mariposa Port of Entry corridor. He described the hotel as extended-stay, with kitchens and larger rooms, a 2,500-square-foot meeting space, and a separate fast-casual restaurant on the same parcel.
Davdul said rising interest rates and reduced loan-to-value lending make new hotel construction harder to finance and that franchise support from Marriott included a reduced franchise fee. He presented a 10-year local tax projection and asked staff to let him explore development incentives commonly used elsewhere, including partial sales-tax rebates, property tax abatement options and reductions or deferrals on plan-review, permit and impact fees. He said the hotel could create about 40 direct hotel jobs and roughly 60 restaurant jobs next door.
Council members said staff should coordinate with the developer; planning and zoning review of the site plan has begun and the developer expects to produce construction drawings in four to six weeks before soliciting contractor pricing. Councilmembers noted the city’s bed tax revenue and encouraged staff to evaluate incentives while preserving fiscal safeguards and transparency. The mayor and staff asked that legal and finance staff engage with the developer to identify what incentive tools, if any, are feasible under state law and city policy.
