It is proposed to be adjacent to where the city will build its anticipated $46 million multi-use stadium at Town Madison. Developers say the hotel will overlook center field complete with restaurants, retail, and a lazy river.
It’s something really new to the area that we’re really excited about,” said Madison City Council President Tommy Overcash.
These are two of the most recent renderings:
On Tuesday, the City of Madison solidified its part of the deal.
The agreement spells out a 150 room hotel with signature food and beverage options, a retail store, and a water park complete with a lazy river and sand volley ball.
Tommy Overcash, Council President, explained that the city worked with the Town Madison Cooperative District to create a $9 million incentive package to the hotel franchisee, Chance Madison, LLC.
Overcash said that Madison will fund $6 million of that over six years, with the first half of that payment due up front when the hotel opens. Then, the city will pay the rest over the remaining years.
Meanwhile, the Town Madison Cooperative District has its part to play. Generally, Overcash said the District is responsible for collecting the property, liquor, and sales taxes to pay back the landowner, Breland Companies, for infrastructure costs. But to fund its $3 million in incentives, the District will let Margaritaville keep 75% of the taxes generated at the hotel property up to that $3 million sum.
Tuesday, the city council also authorized an amendment to the Funding Agreement with the District to allow for the above arrangement.
“It’s really a joint effort,” Overcash said of the development agreement. “We’re really excited. This is the first [Margaritaville hotel] in the state of Alabama. It’s new to the market.” He added, “Businesses like that come to the area and bring a lot of attention, a lot of excitement, and a lot of regional traffic.”
He said that’s what makes incentives worth it.
“It’s just the cost of doing business,” he stated.
The hotel franchise owner was deeply involved in working with BallCorps (which owns the minor league baseball team,) Town Madison developers, the city, and the architects to create a concept that blends with the stadium designs, Overcash said.
“We’ve actually been working on this quite a while,” Overcash added of the deal to bring in the hotel.
The Town Madison Cooperative District will also need to approve its own development agreement with Chance Madison, LLC. for the hotel. The hotel is expected to break ground in late 2018 and open in 2020. Meanwhile, the baseball stadium is expected to be open for an April 2020 season.
Source: WHNT 19 News