City of Huntsville, AL
08/22/2024 | Press release | Distributed by Public on 08/22/2024 17:48
Huntsville approves project agreement for new hotel, downtown parking garage
Published on August 22, 2024
A development agreement between the City of Huntsville and the City Centre developer will result in the construction of a new downtown hotel, more restaurant space and a parking garage.
The City of Huntsville entered into the agreement with City Centre IV, LLC and City Centre I LLC, the developers responsible for the AC Hotel by Marriott, the Eclipse and the Bartley Building (currently under construction) within the City Centre mixed-use development located immediately south of Big Spring Park.
The original City Centre mixed-use project consisted of three total phases. Phase I and II are complete with Phase III under construction. The development team made the decision to add a new fourth phase to the overall project.
Though previously announced, the agreement stipulates the developers will build the 120-room Moxy Hotel, which will also feature 8,000 square feet of ground-floor retail space. The City, citing the need for more downtown parking, will construct a six-level, 430-space parking garage. The new public parking garage will support both the current parking needs of the adjacent growth as well as provide additional parking capacity for future VBC expansion.
"This project is crucial for our city center," Mayor Tommy Battle said. "Not only does it address the need for more downtown parking, but it also offers an additional hotel option for visitors eager to experience everything Huntsville has to offer."
The City will fund up to $11 million of the cost of the new parking garage and the developers will also contribute $3 million toward the garage. The developers will also make lease payments to the City for 110 spaces to support both the Moxy Hotel and AC Marriott. The remaining spaces will be metered by the City.
The developers have until Dec. 31, 2025, to begin construction on the Moxy Hotel. Construction on the parking deck will begin within 60 days of work starting on the hotel.