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Developers and city at impasse over predevelopment fees as hotel MOU negotiations continue

Albany City Commission · April 21, 2026
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Developers proposing a downtown boutique hotel and extended-stay redevelopment said they have spent about $57,000 out of pocket and requested reimbursement plus a consultant fee; city staff flagged three sticking points — reimbursement, advisory fee size and historical‑tax-credit coordination — and commissioners asked for a narrow negotiation to bring back a revised MOU.

Developers working on a proposed downtown boutique Marriott and an extended‑stay conversion of the Auburn Herald and adjacent properties told the commission they have advanced due‑diligence work for about a year and a half and asked for limited predevelopment reimbursement and consultant compensation so they can deliver final drawings and pricing to potential lenders.

Developer representatives said they seek reimbursement of approximately $57,237.19 for prior out‑of‑pocket costs and…

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