IDA authorizes public hearings for downtown hotel and Wheaton House redevelopment; approves several routine project resolutions

The Syracuse Industrial Development Agency on Monday authorized public hearings and lead-agency actions for several downtown redevelopment proposals and approved routine project paperwork.

The board voted to: (1) authorize a public hearing for a proposed Hilton-branded, roughly 240-room hotel that would be built on parcels including the agency-owned M. Lemp Park and the adjoining Warren Street garage; (2) authorize a public hearing for the reuse of the long-vacant Wheaton House at 366 West Onondaga Street into mixed-use space with four studio apartments on the top floor and commercial space below; and (3) approve a change in ownership form for the McGuire Family dealership conversion to an LLC, among other routine items.

Why it matters: the hotel project would redevelop agency-owned parcels in downtown Syracuse, proposes a roughly 300-space parking structure and includes requests that could affect agency finances and land transfers (sales, PILOT and possibly tax-exempt bond issuance). The Wheaton House project is tied to the city—s Downtown Revitalization Initiative (DRI) funding and the Syracuse Land Bank—s strategy for reusing long-vacant properties.

Board action and discussion

Eric (Staff member) summarized the hotel proposal and said the developer plans a Hilton-branded hotel of approximately 240 rooms combining parcels that include the IDA-owned M. Lemp Park and the adjacent Warren Street Garage. "This is a proposal to develop, a new hotel hospitality development on the current M. Lemp Park, site," Eric said, adding the project would include a roughly 300-space parking facility and that the developer is continuing to secure financing and finalize conceptual drawings.

Eric also presented the 366 West Onondaga Street proposal, describing the building as a roughly 9,000-square-foot vacant mansion locally called the Wheaton House. "The proposal on the project would be to convert and adapt the building into a mixed use development," Eric said, describing plans for studio apartments on upper floors and commercial space on lower floors and noting the Syracuse Land Bank currently owns the parcel and plans to move offices into the redeveloped ground floor.

Sue (Staff member) briefed the board on a previously closed 2020 transaction for a car dealership on Hiawatha Avenue and presented a resolution to record the entity—s conversion from a limited partnership to a limited liability company. "As you may recall, we closed this transaction in 2020—this is the car dealership over on Hiawatha," Sue said, adding that the refinancing lender approved the ownership-structure change and the change does not affect the IDA—s position.

Board members asked clarifying questions. On the Wheaton House, members noted the project—s location within the city—s DRI corridor and discussed eligibility for historic tax credits; Eric said the developer expects to pursue those credits. On the hotel, staff noted the project had been selected via the agency—s earlier RFP process and that final sale and transfer of parcels would require further IDA approvals.

Votes at a glance

- Minutes (board meeting 12/17/2024): motion to approve carried (mover: Dirk Sonneborn; second: Ricky Brown). - McGuire Family entity change (effective Nov. 2024): resolution approved (mover: Ricky Brown; second: Dirk Sonneborn). The board recorded that the lender approved the change and that the IDA—s position is not affected. - 100 and 1 North Salina Street (Post-Standard building): board authorized the agency to act as lead agency to undertake a Seeker review and proceed with preliminary SEQR/SEQR-like steps; motion approved (mover: Ricky Brown; second: Ken McKenzie). - 366 West Onondaga Street (Wheaton House): board authorized a public hearing for the redevelopment proposal and to proceed with public-notice steps; motion approved (mover: Ricky Brown; second: Ken McKenzie). - Syracuse Lodging Associates (M. Lemp Park / Warren Street Garage): board authorized a public hearing and later separately approved a motion for the agency to act as lead agency for environmental review; motions approved (lead-agency motion: mover: Ricky Brown; second: Ken McKenzie).

What the approvals do (next steps)

Each authorization to hold a public hearing or to act as lead agency starts the next procedural phase for those projects: public notice, a formal public hearing where the applicant will present plans and answer questions, and, where applicable, environmental (Seeker/SEQR-like) review. The agency also noted that any future approvals that would transfer agency-owned parcels, issue PILOT agreements, or issue tax-exempt bonds would require separate, affirmative board votes.

Other items

The finance committee reported it reviewed the Hidden Level project and a Post project and recommended positive consideration; the board noted the Hidden Level public hearing was being postponed at the applicant—s request as the applicant finalizes financing. Staff announced the 250 Harrison project is expected to close by the end of the week.

The board adjourned and later reconvened briefly to adopt a lead-agency resolution for the Syracuse Lodging Associates item before adjourning again.

Provenance

Evidence for this article appears in the agency meeting transcript beginning at the board call to order and proceeding through the board—s adjournment before the SLDC session. The relevant transcript excerpts include the staff summaries of the Wheaton House and hotel proposals and the recorded motions and votes.

Ending

Public hearings will be scheduled; the IDA gave staff authorization to post notices and to proceed with lead-agency filings where indicated. The agency did not adopt any final sale, PILOT, or bond issuance at this meeting; those substantive approvals would require separate votes in future meetings.