Brewhalla/Cityscapes pitch 117,000‑sq‑ft convention center, Marriott Tribute hotel and TIF proposal to expand capital reserves
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Brewhalla and Cityscapes presented a 117,000‑sq‑ft convention center campus with a connected Tribute by Marriott hotel, advanced design work, Mortenson cost estimates (convention center ~$58.5M, hotel ~$42.5M), and a financing proposal that uses a TIF district to increase capital reserves while claiming developers will assume operational downside risk.
Brewhalla and Cityscapes told the convention committee their proposal offers a shovel‑ready convention campus west of Bridal (presenters used the project name Brewhalla) with a 117,000‑square‑foot convention building, a connected Tribute by Marriott hotel and a multi‑building entertainment district.
Mark Bjornstead, identified as president and cofounder of Drucker Brewing Company and a principal of the Brewhalla team, said the submission is complete enough to bid, that land is under control and that the hotel is "flagged and fully funded" in the team’s materials. JLG Architects described a master plan with a 50,500‑square‑foot column‑free main hall divisible by movable partitions, roughly 20,000 sq ft of prefunction space, 14 breakout/meeting rooms, 10,000 sq ft of storage and about 460 on‑grade parking stalls. The design team emphasized natural light, a two‑story connector atrium and strong back‑of‑house support including two recessed loading docks and a 14‑foot service corridor.
Kevin Bartram (construction lead) summarized Mortenson’s construction estimates and said the convention center construction estimate is about $58.5M with the hotel at about $42.5M. Bartram said land was offered to the city at no cost in the team’s plan and that substantial engineering and structural work is already complete.
On financing, the Brewhalla team proposed a public‑private partnership that leans on a targeted 1st Avenue TIF district to expand capital reserves and cover near‑term ramp costs rather than direct developer requests for city tax assistance for the private hotel. The team said they are not asking for TIF for the private hotel (the hotel would pay property taxes, the developers said) and that the TIF would be a vehicle for the city to capture incremental tax increment for capital improvements, debt service and neighborhood investments for up to a 25‑year horizon. Brewhalla said their bond consultant provides updated interest‑rate advice (they showed a plan using about a 5% borrowing assumption versus an older 6% Baker Tilly assumption) and proposed to accept responsibility for early operating losses in order to reduce city downside risk in the bond package.
Committee members pressed the Brewhalla team on short‑window bookings and sales staffing; Brewhalla said the CVB (Visit Fargo Moorhead) would be an active partner in long‑lead association sales while the developer would focus on shorter‑window local and produced events. Committee members also questioned reliance on a TIF for long‑term capital set‑asides and noted that taxing jurisdictions sometimes limit or decline TIF terms; Brewhalla said they had discussed the concept with local taxing entities and argued it is a common tool to create durable capital funds for long‑term building upkeep.
The Brewhalla team also described a branding strategy (a commissioned landmark sculpture in partnership with Plains Art Museum) and a unified management model that connects hotel, convention center and Brewhalla operations to coordinate pricing, calendars and sales.
Next procedural step: the committee will continue review and hear city legal and financial perspective before any selection; no vote occurred at this meeting.
