A Hampton Inn planned for former car lot in Springfield's South End appears to have stalled.
The former Epiphany Tower at 143 State St., seen here in this 2007 file photo, is scheduled to be remade into a Holiday InnSPRINGFIELD – The effort to build two new hotels in Springfield during a difficult economy has led to mixed results, with one project’s future uncertain and the other scheduled to move ahead in 2011.
A proposed 98-room Holiday Inn Express Hotel at the former Epiphany Tower at 143 State St. is scheduled for construction this year, said Ashok Patel, chief development officer for Jamsan Hotel Management.
“The project is permitted,” Patel said. “It is going to go forward and open later this year.”
However, a new Hampton Inn and Suites hotel proposed on East Columbus Avenue remains stalled, officials said.
The developer, 66 Springfield Properties LLC, purchased the property in 2008, formerly the site of Balise Hyundai, and announced plans for an $8.2 million, 98-room hotel.
John D. Judge, the city’s chief development officer, said he believes the developer is exploring other options for the property.
The company’s lawyer, Paul A. Maleck of Springfield, said plans are uncertain.
Both projects were stalled during the past year, at least in part due to the economy and commercial loaning challenges.
Meanwhile, the owners of the former Holiday Inn on Dwight Street announced plans recently for a $3.1 million renovation project. The proposed project, including new windows, a new heating-air conditioning system, and interior renovations, was announced in March, but includes an application for a $2.5 million federal, low-interest loan.
Judge said it has been difficult for developers to proceed with new hotel projects in a recession.
“We have kept our ear to the ground, and are keeping an eye out for any way we can help,” Judge said, regarding the East Columbus Avenue property.
The future development of that property, however, is helped by major improvements taking part in the South End, including a recently completed road reconstruction project and additional improvements planned in that neighborhood, Judge said.
Regarding the State Street hotel, “we obviously would like to have it developed this year,” Judge said.
The hotel is bordered by State Street, Dwight Street, and Willow Street, and there are plans to demolish an adjacent building that once housed a restaurant to provide additional parking. Plans also call for another parking area on Willow Street and valet parking.
The plans were approved last April by the Springfield Redevelopment Authority, and the developer initially hoped the $5 million renovation project would be completed in November.
In Northampton, Mayor Mary Clare Higgins refused to grant another extension for a proposed $15 million Hilton Garden Inn project behind Pulaski Park in February of 2010. The city had accepted the developer’s $1 bid for property in 2007.
The developer, Pioneer Valley Hotel Group, has filed suit against the city in Hampden Superior Court over the denied extension.
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