Austin’s hotel building boom continues, with 2 more projects planned

Nov 6, 2014
Austin American Statesman

The long list of hotels planned for the Austin area continues to grow


The latest two projects – a 10-story Hyatt House hotel slated for downtown and a Home2 Suites near Austin-Bergstrom International Airport – will make almost 300 more rooms available to out-of-towners once completed


The Austin area has about 31,000 hotel rooms, according to the Austin Convention and Visitors Bureau. By 2015, that number is expected to increase to 33,000 rooms, with even more hotels coming online in 2016 and 2017


Opening dates for the Home2 Suites and Hyatt House have yet to be announced


The Austin City Council is set to vote Thursday on a proposed loan package for the developer of the four-story, 87-room Home2 Suites, which is planned for an undeveloped site in the 1700 block of Airport Commerce Drive in Southeast Austin


City documents indicate the hotel project is expected to cost $8.3 million


The federally funded loan, offered under the city of Austin’s Family Business Loan Program, would be for a maximum of $402,000, according to city documents. It will be used for non-construction related expenses, such as furnishing rooms with bedding and toiletries, city spokeswoman Melissa Alvarado said


The developer, identified as 1707 Airport Commerce LLC, is a locally based, minority-owned business, Alvarado said


A representative of 1707 Airport Commerce LLC didn’t respond to a message from the American-Statesman seeking comment


“The Family Business Loan Program is appealing to small businesses looking to expand or enhance their operations utilizing low-interest loans to create jobs throughout the Austin area,” said Sylnovia Holt-Rabb, assistant director for the city’s Economic Development Department. “This proposal would create 45 jobs in an area with a 37 percent poverty rate and a 7.4 percent unemployment rate, compared to 4 percent citywide.”


The Hyatt House hotel is planned to rise 10 stories at 901 Neches St. in downtown Austin, according to permit applications making their way through the city’s review process. It will have 189 rooms and a 139-space parking garage


The site, which is currently undeveloped, is across the street from two other hotels that are already under construction and set to open in late 2016 – the city’s first Hotel Indigo and a Holiday Inn Express


The Hyatt House’s owner, listed as Journeyman Austin Holdings, didn’t respond to a message seeking comment


Hyatt House, an upscale extended stay hotel chain, already has one location in the Austin area, near the Arboretum



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