The developer of the Centre City project says the hotel downtown is on its way.
“It’s definitely a go,” said Paul Dunn, the project manager for J.S. Capitol Construction.
Dunn said the J.S. Capitol is still putting together the final details of financing for the 80-room Marriott Springhill Suites hotel, but he expects construction to begin late fall or winter this year. It will take about a year to complete.
Dunn said. “I can’t offer a set groundbreaking yet, but it is expected to be this year.”
NexTier Bank on July 29 approved about $3 million for a construction loan for the project.
While the financing was approved, the developer said earlier this month that internal issues needed to be addressed before the project could continue.
The city redevelopment authority will contribute $2 million in state grants to the project. It will be a 40 percent owner of the building.
The hotel will join a new Rite Aid Pharmacy already under construction on Main Street, and a 225-lot parking garage as part of the Centre City project.
Dunn said the developer must finalize plans for the parking garage with the city parking authority before starting work on that.
Art Cordwell, the executive director of the authority, said at the authority’s meeting Thursday the parking garage is vital for the hotel.
J.S. Capitol expects to finance the garage then sell it back to the city parking authority after one year.
Dunn said the garage would be built simultaneously alongside the hotel.
Dunn said talks with the city on the garage should pick up again. He said the developer’s attention has been on finalizing a financial deal for the hotel.
The Rite Aid is expected to open in October.