MINER -- Drury Inns Inc. have decided to build a bigger hotel.
Upon finalizing the purchase of the Raudmont Inn, Joe Pereles, vice president of development for Drury Inns, said the company intended to build a new Drury Inn and Suites with at least 120 rooms on the site but was considering the possibility of making it a bit larger.
During a Tax Increment Financing meeting held prior to the regular Miner Board of Aldermen meeting Tuesday, Pereles said that while Drury is still in the design phase, the company intends to build a hotel with at least 150 rooms and possibly as many as 156.
Gene Norber, economic development resources president for Drury, presented a proposed revised plan along with a document listing specific changes to the original agreement.
"The guts of the financing on the project remain the same," Norber said.
With the larger hotel, the project's total cost would be increased by a little over $2 million to a total of about $15 million. The percentage of assistance Drury is seeking remains the same.
Norber said because both the additional personal property tax revenue from the new investment in the hotel and the commercial surcharge do not go to the TIF fund, taxing entities will see a positive impact on their revenue.
Assistance from the TIF will be necessary, however, for the company to get a sufficient return on its investment.
"Without the assistance, Drury would not do the project," Norber said.
The TIF Commission set a public hearing for the amended plan at 5:30 p.m. Oct. 31. Action on the amended plan is expected approximately two week following the public hearing.
Pereles said the company will proceed with asbestos abatement and demolition of the Raudmont Inn in the meantime.