Title
Resolution approving a Cooperation Agreement between the Economic Development Authority of the City of Hampton (“EDA”) and the City of Hampton (the “City”) funding grant incentives to T Peninsula Hotel VA, LLC (“Developer”) for the Development and Operation of a minimum 120 room Element Hotel or a comparable “City/EDA approved Brand” with a minimum of 1,000 square feet of meeting room space on a Portion of the Former Macy’s Site located at the Peninsula Town Center (LRSN 13002082), and authorizing the City Manager or her Designee to execute Same
Purpose
PURPOSE/BACKGROUND/DISCUSSION/IMPACT:
Hampton’s current hotel stock is high in low performing accommodations, including extended stay and limited service accommodations, which do not necessarily meet the demands of event attendees, convention planners and regional tourists considering Hampton. The number of quality hotel accommodations is insufficient to support current and future needs and consequently constrains other tourism related activities in Coliseum Central and throughout the City of Hampton.
A recent study by Hunden Strategic Partners concluded that business at Hampton Roads Convention Center plateaued over the past three to five years due to limitations of the room block potential. According to the study, there are only 440 quality hotel rooms within walking distance of the Hampton Roads Convention Center and a grand total of 850 quality hotel rooms in the City. The appropriate room block for the Hampton Roads Convention Center is 1,500 rooms.
Having new hotel product will improve these metrics, allowing the City to retain more of its tourism-related hotel nights and attract new convention business to the City. In addition to having a net positive benefit to tourism-related activity in Coliseum Central, the project will support other tourism-related assets and activities throughout the entire City of Hampton.
In 2016, the EDA sold property in Coliseum Central for the development of a new 1...
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