The Indianapolis City-County Council on Monday night voted unanimously to issue up to $155 million in bonds to pay for an expansion of the Indiana Convention Center at Pan Am Plaza.
The 110,000-square-foot hotel is situated between the Monon Trail and Veterans Way in Carmel, just south of City Center Drive.
The full City-County Council is expected to vote on the proposals next month. After that, the financing will need to be approved by both the Metropolitan Development Commission and the Indianapolis Bond Bank.
Ratio is architect for the $550 million project by Kite Realty Group Trust that includes a Signia Hilton, an expansion of the Indiana Convention Center and—eventually—a second, 600-room Hilton-branded hotel.
Leisure demand rises, but hotels are sorely missing business travel and group events like conferences and weddings.
A third of planned downtown hotel rooms announced before the pandemic are now on hold.
The $300 million hotel will be the most expensive and elaborate new lodging project built in the city since the $450 million JW Marriott complex was completed in 2011. And it will compete directly with the JW.
The city will not subsidize construction of Kite’s two hotels on the site but will ask the City-County Council to authorize a $150 million bond to finance an addition to the Indiana Convention Center.
The project, which includes plans for a $125 million expansion of the Indiana Convention Center, would also create 2,500 construction jobs before completion in 2025.
The project, expected to cost as much as $550 million to construct, has been in the works for years as Kite and the city worked to reach an agreement.
The immigrant from Taiwan is deep in research and development for his new role as executive chef at Vivante, a French restaurant opening in Carmel’s luxurious Hotel Carmichael on Aug. 4.
Visit Indy said about $75,000 of the $1 million budgeted for the “You’ve Earned It” advertising campaign has so far been spent, generating about $400,000 in visitor spending.
Indianapolis Mayor Joe Hogsett said the city is continuing to work with Indianapolis-based Kite Realty Group Trust—which is developing the project—to finalize a reworked timeline.
Hotels across the metro area are starting to slowly rebound from this spring’s shutdown, but north-suburban properties are making up ground faster than anyone else.
Guests who stay at the hotel will see a variety of changes, including plexiglass barriers at check-in counters and an increase to the amount of time allocated for room cleanings.
The Nike Tournament of Champions, a 300-team girls basketball event, is expected to bring 9,000 people to Indianapolis through Sunday, injecting an estimated $8.9 million into the local economy.
The three hotels were among several throughout the city to temporarily suspend operations during the pandemic.
The tourism group’s new “You Have Earned It” campaign focuses on Indiana residents and relies heavily on Facebook and Google advertising platforms.
With business and air travel barely breathing, hotel companies are betting on the leisure traveler as a short-term strategy for survival.
Hotels see cleaning standards as a way to soothe jittery guests—and possibly win back business from rivals like home-sharing companies like Airbnb.
