Salt Lake City: Official Development News Thread - Part 3

[arkhitektor]

Originally Posted by Future Mayor

Did The Enterprise already announce the two hotels south of ESA?

I've never understood how The Enterprise makes money as a newspaper. They charge to read any articles on their website or for a subscription, but I know from working for developers that their 'articles' are usually just press releases from the companies they are written about. You're basically just paying money to read PR pieces, not actual articles written by the paper.

[ajiuO]

Ok! The developer just got back to me but didn't say much :/

Thank you for your interest in our upcoming development. At this point,
information beyond what was released to The Enterprise is only available
to project investors and related parties. More information will be
forthcoming via local news outlets and our company website, which we
invite you to visit at www.pegdevelopment.com. If you have interest in
investing in this or other future developments, please contact us via the
website.

Thank you,

Matt Hansen
Project Manager

[Future Mayor]

I hate to be the bearer of bad news for everyone, but PEG is the company developing the Hyatt House and Courtyard by Marriott, south of ESA. The development we talked about several pages back.

Here is the planning commission report link. http://www.slcclassic.com/boards/plancom/2012/September/00481.pdf

In comparison to the Hilton Garden Inn, there are many factors that can easily make this project equal 90 million compared to the 10.2 million.

1) Land costs; Land in downtown SLC next to ESA and the CLRSPCC is substantially more expensive than a vacant piece of property near the Dixie Center.

2) Two buildings vs one; The St. George project was 5 stories in one building, the ESA Project is two buildings, both at 6 stories the first level being retail. The report doesn't say how many rooms each of the two hotels will have but I would estimate they both have at least 150 each. The addition of a 6th floor will alone add on addition cost, because foundation work and steal will have to accomodate one additional floor that the Garden Inn didn't have too.

3) Parking; A parking structure for twice the amount of hotel, plus the cost of the structure itself. An above grade parking struture cost 6x more per space than a surface lot.

4) Hotel Brands; While I haven't stayed in a lot of hotels lately, there could be finishing requirements for both the Hyatt House and The Courtyard that exceed the specifications for the Garden Inn.

5) Time; While the Garnden Inn was completed in 2005, and we have since been through the recession since and many costs have come down, there is a chance that the cost of labor and materials could add to the cost as well.

[ajiuO]

Actually.. I don't consider this bad news at all...

This will be much better then what we currently have at that location... It will at least block views of that ugly power sub station from the north and east.

I'm getting really sick of stucco construction though.. Hopefully the 90m budget allows for a nicer exterior.

[scottharding]

I still think this significantly hurts the chances of a major convention hotel coming in the nearish future.

[ajiuO]

Just another confirmation of the site location.

They emaild me back and said the site will indeed be south of ESA.

I'm assuming that the building on the SW corner of Stockton & Malone (I'v always wanted to use that) will be demolished.. But that's yet to be seen.

[Future Mayor]

Originally Posted by scottharding

I still think this significantly hurts the chances of a major convention hotel coming in the nearish future.

I'm going to disagree with you on this. The convention center hotel will still be needed, it's not just the number of total rooms available nearby, it's the number of rooms available in one building and directly adjacent to, most often connected to, the CLRSPCC. Including additional convention space.

Adding these 200-300 rooms south of ESA doesn't do anything to meet the demands of the conventions that we aren't able to attract, those that want to be able to house all the people for their convention in one hotel, or those that want to at least be able to host their entire "organizations staff" in one hotel, including additional conference space in the hotel to allow for meetings closer than the actual convention center.

I actually think these new hotels will help to attract a few more conventions, simply by having more hotels rooms in proximity, and actually increase the need for the convention hotel even more.

[Future Mayor]

Originally Posted by ajiuO

Just another confirmation of the site location.

They emaild me back and said the site will indeed be south of ESA.

I'm assuming that the building on the SW corner of Stockton & Malone (I'v always wanted to use that) will be demolished.. But that's yet to be seen.

Yes that building will be demolished. It's in the Planning Commission documents, that corner and south is where the first hotel will be built, the Hyatt House.


I've posted a lot today so I'll add rather than post again.

Talking about the inquiry that UTPlanner received, I would really like to see a hotel rise on the SE corner of Stockton and Malone, maybe a nice slender 20 story hotel with around 300 - 400 rooms, again not eliminating the need for the Convention hotel, but still adding to the downtown stock, near the CLRSPCC. The Radisson on S. Temple has 381 and is around 13 stories, I envision a slim more square design that is taller. Then again I might prefer something like the W to come in and build something 25-30 stories on that parcel, after the convention hotel is already built on the RWP. I think a W located adjacent to ESA would be a great fit, and on the east side of 300 W it wouldn't be height restricted like on the west side of 300 W.

[livedowntown]

Unfortunately one of the worst architecture firms http://www.beecherwalker.com in this state will be designing the two hotels. Hopefully Hyatt and Marriot have standards that will require good design but this firm does not look promising.

This double 🞵🞵🞵🞵🞵 for me because I'll have a view to these two hotels out of one of my windows.

I am excited for the development but once again I fear we will get sad, provincial, suburban architecture downtown.

[Comrade]

Originally Posted by arkhitektor

I've never understood how The Enterprise makes money as a newspaper. They charge to read any articles on their website or for a subscription, but I know from working for developers that their 'articles' are usually just press releases from the companies they are written about. You're basically just paying money to read PR pieces, not actual articles written by the paper.

That's probably how they make their money ... they don't have to employ actual writers.

[Orlando]

Yep, you guys were right, it is that development just to the south of the ESA. Here the full article from the Enterprise. I feel like the boy who cried wolf now. It's great that that blighted part of downtown will have something nicer to look at there, but I am concerned that it might delay or ruin the chance of getting a tall convention hotel.




$90 million hotel development coming to downtown Salt Lake
1 day 5 hrs ago | 0 0 comments | 2 2 recommendations | email to a friend | print
peg
By Barbara Rattle

The Enterprise

A $90 million hotel development is coming to the west side of Salt Lake City’s downtown.

Provo-based PEG Develop-ment is finalizing license agreements for a 159-room Hyatt House and a 175-room Courtyard by Marriott on 3.2 acres at 108 S. 300 W. Both will be six stories tall. The property currently consists of surface parking and a vacant building. PEG Development purchased the acreage about a year ago.

Plans call for construction of a three-story, 349-stall parking structure at the back of the property to begin within about 60 days, said Robert Schmidt, director of development for PEG. Ground should be broken in February or March for the Hyatt House, while a mid-summer 2013 groundbreaking is planned for the Courtyard by Marriott.

Start to finish, the project should take about two years to complete, Schmidt said, noting PEG Development has partnered with Orem-based investment firm Blue Diamond Capital to pursue the project, the entirety of which has been designed by Beecher Walker Architects. Rimrock Construction will act as general contractor on the parking structure and Hyatt House; a builder for the Courtyard has not yet been selected.

Hyatt House is an extended stay concept with larger rooms and kitchenettes, catering to the traveler staying for several days. Schmidt said the Salt Lake City Hyatt House will have nearly 6,000 square feet of ground-level retail, a fitness room, meeting rooms and year-round outdoor pool. A large, contemporary lobby will feature plentiful lounge areas and communal space.

The lobby of the Courtyard will be on the second level, as the ground level will be devoted to retail space, ideally food-related tenants, Schmidt said. It will have a fitness center, meeting rooms and pool. Both hotels will be able to accommodate some outdoor dining, as PEG negotiated setback modifications from the city.

“We’re just as excited as can be about the project,” Schmidt said. “We think it’s going to make a real difference in the downtown market and a beautiful addition to the block, with proximity to the Salt Palace, Gateway and the amenities that are there. We’re hoping to bring a fun atmosphere with the ground-floor retailers.”

PEG Development, founded in 2003, is relatively new to hotel ownership. While the firm has developed several hotel properties in partnership scenarios, it was just a little over a year ago that the firm purchased the Provo Marriott, whose lobby just received a major remodel.

The owners of PEG are Cameron Gunter, Reed Halladay, Marc Bingham and Michael Bingham. The Binghams are the founders of Blue Diamond Capital.

Read more: The Enterprise - 90 million hotel development coming to downtown Salt Lake

[Orlando]

Originally Posted by jedikermit

...I signed up for it last night--now we'll see if the Mrs. Jedikermit lets me go. Always in motion the relationship is.

Would any of you guys mind taking any of the images I posted regarding my UPAC/office tower proposal down to the workshop?? If we could get them to buy off on the idea of having the office tower straddle on top of the lobby/entrance portion of the UPAC to give us a more prominent building in the skyline, that would be great!! What do you guys think? Is there a link for the workshop that I can send this to? It makes sense, because there is limited space to use, and there is a shared lobby portion, and there is a desire to have a more prominent/taller building in the Salt Lake skyline. Remember that the Glass Mystery Tower was originally proposed to be 35 stories tall at that same location?!

How do you sign up for the workshop?

[SLC Projects]

Well that kind of 🞵🞵🞵🞵🞵. 90m seems alot just to built two mid-size hotels. Really think Hyatt House and Courtyard by Marriott could go higher then only 6-stories. Yes it's better then what's there now and yes SLC really needs more hotels rooms, but enough with the lame 6-story hotels already. When are we going to see bigger hotels popping up?

[scottharding]

Originally Posted by Future Mayor

I'm going to disagree with you on this. The convention center hotel will still be needed, it's not just the number of total rooms available nearby, it's the number of rooms available in one building and directly adjacent to, most often connected to, the CLRSPCC. Including additional convention space.

Adding these 200-300 rooms south of ESA doesn't do anything to meet the demands of the conventions that we aren't able to attract, those that want to be able to house all the people for their convention in one hotel, or those that want to at least be able to host their entire "organizations staff" in one hotel, including additional conference space in the hotel to allow for meetings closer than the actual convention center.

I actually think these new hotels will help to attract a few more conventions, simply by having more hotels rooms in proximity, and actually increase the need for the convention hotel even more.

I hope you're right, but my feeling is that these will be good in the short term, but if a new Convention Hotel ever does come to fruition, then these helped to create a glut of rooms downtown, and like many of the other hotel chains are complaining, the Convention Center Hotel puts the others out of business. So, these new hotels strengthens the argument of the opposition. That's how it seems to me.

[ajiuO]

The 6 story thing doesn't bother me nearly as much as the prospect of them most likely being stucco buildings with pitched roofs.

It seems like 6 story stucco hotels are a dime a dozen along 300 & 200 west.

The food and retail in the base would be nice.

We need to hurry up and get a new city ordnance passed that limits the use of stucco on new construction to single family dwellings and buildings under 4 stories.

[Orlando]

Originally Posted by ajiuO

I'm pretty sure that is just a tower concept and not the actual theater.

Actually, the base is the UPAC portion of the two. The office tower sits above and to the side of the UPAC. The base portion only represents the main entry and grand lobby of the UPAC. The actual stage and loading docks are behind all of this, and situated next to Regent Street. If I remember correctly, someone posted the original proposal to have the theater and loading docks along Regent street. Can anyone dig that post up? I tried to find them earlier.

[ajiuO]

Im sure the docks being on regent street are almost a given. I would actually like to see them come up with a way to use the building with the nice ceiling as the lobby for the theater. I think that would make a very classy lobby. I can also picture that tower concept on the corner.

[jedikermit]

Originally Posted by Orlando

Would any of you guys mind taking any of the images I posted regarding my UPAC/office tower proposal down to the workshop?? If we could get them to buy off on the idea of having the office tower straddle on top of the lobby/entrance portion of the UPAC to give us a more prominent building in the skyline, that would be great!! What do you guys think? Is there a link for the workshop that I can send this to? It makes sense, because there is limited space to use, and there is a shared lobby portion, and there is a desire to have a more prominent/taller building in the Salt Lake skyline. Remember that the Glass Mystery Tower was originally proposed to be 35 stories tall at that same location?!

How do you sign up for the workshop?

Here's the link to sign up for the workshop; the asme site also has a "contact us" link at the top that may be a way to get your ideas in.

http://www.utahperformingartscenter.org/oct-workshop

[Orlando]

Thank you!

[Makid]

I see the hotels as not actually competing with the Convention Hotel. They will act as a bridge until the Convention Hotel is built however.

I do have personal knowledge that there are many conventions that won't consider coming here until a Convention Hotel is in place. I also know that the hotels directly abutting the Salt Palace are in support of the Convention Hotel as it would increase their business from increased convention goers.

I have heard that if we don't hear about the Convention Hotel before the Winter Outdoor Retailer convention next year, we will likely lose Outdoor Retailer for the Summer show. They want to stay but need more rooms together, show space is secondary here as they use many outside areas for displays around the Salt Palace.

With private developers increasing the hotel supply around the Salt Palace, this does show that there is a need for more rooms already and as we start to see larger conventions in the next few years the need will become even more pressing.