Nashville Hospitality Market Going Strong – New $65 M Hotel Project Planned
By Eliza Theiss, Associate Editor
With the 1.2 million square foot Music City Center’s grand opening just around the corner, it’s no surprise that hotels are springing up all around Nashville, especially in the neighborhood of the state-of-the-art convention center. In fact there are no less than six hotels currently under construction in Nashville’s downtown market and according to Nashville Post, two more are about to join the party. According to the publication, Atlanta-based North Point Hospitality plans to develop, not one, but two Marriott-branded hotels in the South Broadway (SoBro) corridor of Nashville.
The $65 million project would build two Marriott hotels on a tract of land with 175 feet fronting Korean Veterans Boulevard and 285 feet fronting Fifth Avenue, already zoned for hotel development. The project will be developed in two phases, with the first one planned to kick off construction by the end of 2013. Phase I consists of a 200-key, 14-story Residence Inn by Marriott mainly fronting Korean Veterans Boulevard and an above-ground 200-car four-story parking garage. Phase II of North Point’s project, a 150-key SpringHill Suites by Marriott, is expected to break ground in early 2015. The hotel however, will be developed atop the then-finished parking garage, after another 50-car parking level is added, resulting in a 16-story structure fronting Fifth Avenue. The entire project is expected to be completed in 2016, but is still subject to Metropolitan Development and Housing Agency Design Review Committee approval regarding the buildings’ facades. When finished, the L-shaped structure will share a street corner with Music City Center.
North Point Hospitality is no stranger to the Nashville hotel development market. It previously developed a 194-room Hilton Garden Inn in the Vanderbilt/West End area that was completed in 2009, as well as Home2Suites by Hilton, in the same area. The 119-unit hotel was completed in 2012. According to the Nashville Post, the properties share a parking garage and both were sold to a real estate investment trust. Founded in 1978, North Point has since developed 32 hotel properties from the ground up, totaling 3,060 rooms at a total cost of $322,100,000.
Click here for more Nashville market data
Photo credit: Google Maps
Chart courtesy of Marcus & Milichap