Retrofitted Historic Building in Downtown Indianapolis to Bring Hotel, Apartments
- Sep 22, 2014
by Adriana Pop, Associate Editor
Downtown Indianapolis is becoming increasingly attractive to the boutique-hotel market.
According to the Indianapolis Business Journal, a Home2 Suites by Hilton is scheduled to be built in what’s known as the annex of the historic Consolidated Building at 115 N. Pennsylvania Street.
TWG Development LLC and Ambrose Property Group are investing $16 million into the revitalization of the century-old, 15-story downtown landmark, which they plan to turn into 98 apartments with first-floor retail or restaurant space. The companies have acquired the entire building in late 2012 from an affiliate of New York-based Crown Properties.
Meanwhile, the hotel component of the project, which will be located at the rear of the vacant structure, will be developed by a joint venture between East Lansing, Michigan-based HRC Hotels LLC and Valparaiso-based Good Hospitality Services LLC.
Construction is expected to begin early next year and be complete by the first quarter of 2016. By the time it opens, the hotel will be the first Home2 Suites by Hilton property in the Midwest. Nightly room rates are expected to range between $130 and $140.
“There are not a lot of hotels on that side of downtown,” Jeff Good, who serves as president of both HRC and Good Hospitality, told the newspaper. “We think that’s a natural growth area.”
The seven-floor annex, which has about 70,000 square feet, was built in the 1950s. Its last tenant, The Cozy restaurant, left in 2000 along with Downtown Comics, which occupied a large portion of the Consolidated Building.
Both the hotel and apartment project have been designed by Browning Day Mullins Dierdorf Architects. Upon completion, the entire property will be known as Penn Street Tower.
Good Hospitality will build, develop and manage the hotel, while HRC Hotels will own it.
In Indianapolis, the partnering firms have also converted a vacant building on South Meridian Street into a 92-room Homewood Suites. Furthermore, they operate a Homewood Suites on the northwest side and in Plainfield, as well as a Courtyard by Marriott on the city’s northwest side.
“Jeff and his team have built an excellent operating platform and know the Indianapolis market, as demonstrated by their Homewood Suites facility on South Meridian,” Dennis Dye, a TWG principal, told the newspaper in an emailed statement. “Having the hotel activity coupled with an additional 98 apartments is just what is needed for this segment of the city.”