On-site international airport hotel development

[Rick Tripp]

An interesting chain of events may put me in position to develop the only on-airport hotel at a U.S. international airport without going through the airport management's RFP process. The airport management wants a 200 key, 3 to 4 star hotel.
Here's the problem, I've never done a hospitality development.
I'd be interested in discussing any experience you have with funding options, hotel development consultants, hospitality partnerships, management, etc.
Preliminary cost estimates are about $40M, we have $10M.
Thanks in advance for you input.

[Bill Gulley]

WOW! Outstanding! Have no idea how you avoided the airport board, I'd like to hear how that happened, privately if you can't post it. Is the location on airport proper or adjaent to it? Many folks, even at a municipal and county levels don't understand that actually, the FFA regulates everything on a controlled airport, beginning at the entry roadway. But that may not really be a factor in this case as they often retain, but subrogate authority.

The very best advice I can give you is to contact John Q. Hammons, Hammons Hotels in Springfield, Mo. He is a class act and has developed **** hotels all over the country as well as overseas.

First thing I'd suggest you do is to lock up your potential deal. Control the land if you can for as long as you can, which might mean buy it. A project such as this will probably take at least a couple years and maybe longer. FInancing such a project might be a problem right now. Are there any development bonds available form state or local authorities. Don't forget tax abatements too, as you'll be providing at least a hundred jobs long term and this could be a good economic jolt in the arm locally! There is much more to a project like this than bricks, mortor and dirt. Good luck, Bill