Roswell council backs Roswell Development Finance Program loan for proposed downtown Hyatt-branded hotel

The Roswell City Council on Nov. 24 approved a resolution supporting the Shambre Hotel project and authorized the city administrator to execute documents necessary to implement a $14.76 million loan under the Roswell Development Finance Program, Daryl Connelly, the city’s director of economic development, told the council.

Connelly said the Shambre Hotel is a 125-room, Hyatt JDV-branded boutique hotel proposed for downtown Roswell, with a total project cost reported in the presentation as $55 million. The developer is DTR Hospitality (identified as an affiliate of DSM Realy Partners); the third‑party lender named in the presentation is New Capital. Connelly said the loan would have a 30‑year term and that construction is expected to start in February 2026 with completion by the end of 2027.

Why it matters: city staff and council framed the loan as catalytic for downtown tourism and event capacity, saying the hotel would include a restaurant, rooftop bar and event space and would support conference and visitor demand.

Connelly described the Roswell Development Finance Program as modeled on CPACE law but focused on hotel projects and resiliency improvements. He said the program uses a voluntary special assessment tied to the property to secure repayment and that “the loan has no financial risk to the city or the RDA.” He also described projected benefits including roughly 350 construction jobs and about 30 permanent jobs.

Council members asked for details on the city’s compensation and financial exposure. Connelly summarized fees shown in the packet and during discussion: an initial application fee, a 1% closing fee on the loan (reported as about $147,000 on a $14.7 million loan), a legal fee (reported up to $25,000), and a 1% annual servicing fee on payments that would be retained by the city for administration. He explained the program lowers the cost of mezzanine financing for the project (the presentation contrasted an estimated 7% cost for the special-assessment loan versus up to 15% for typical mezzanine debt), improving the deal’s financability.

Council Member William Mortland moved to approve the resolution supporting the Shambre Hotel and authorizing signature of related documents; Council Member Christine Hall seconded the motion. The council voted 6–0 in favor.

Votes at a glance: the council approved the Shambre Hotel resolution 6–0; it also passed the consent agenda and a separate park contract (each vote recorded 6–0).

What’s next: the developer indicated it is targeting a loan closing in December and construction in February 2026. The city’s role, as described by staff, is administrative—collecting the assessment and remitting funds to the custodial agent—rather than providing direct city funds for the loan.