Cobblestone Hotels seeks investor; Centerton commission resists city-funded hotel feasibility study

A representative for Cobblestone Hotels (name not provided in the transcript) presented a concept for a 54-unit hotel and said the developer was seeking about $10 million in investor funding and requested that the city fund a hotel-specific feasibility study estimated at about $20,000.

Commissioners resisted using public funds for a study that would benefit a single private project. Commissioner Keith Higgenbotham said he could not support paying for a feasibility study for one business and questioned why city funds should underwrite a developer’s market work. Katherine Smith and others echoed that position, saying a developer should either commission its own market study or the city should pursue a broader market study that examines multiple business types rather than underwriting one proposal.

Amber Guston, who identified herself with The Ravington, said a hotel could do well in Centerton and offered anecdotal evidence of strong local demand and referral patterns; other business representatives said a hotel would likely attract visitors connected to nearby venues and regional travel hubs.

Staff described advice received from the Bentonville Chamber of Commerce that developers typically provide feasibility materials, and commissioners noted a city-wide feasibility or marketing study could be more defensible if the city pursued one in the future. No motion was made to fund the developer’s study; the commission’s stated position during the meeting was not to pay the $20,000 for a single-project feasibility study.