What happened
According to a news release from the city, multiple factors led to the decision to end the partnership with the hotel, including hotel officials bypassing the 2023 groundbreaking deadline.
"The global [COVID-19] pandemic and financial impacts for the developer contributed to the dissolution, and unfortunately, the approved plan could no longer move forward,” City Manager Cody Petree said.
The development plans called for a 300-room hotel, 25,000 square feet of meeting space, two restaurants and a spa, according to the release. The hotel was supposed to be located just east of City Hall.
The backstory
The project, which was initially slated to break ground by April 1, 2020, was first announced in 2017 and approved by Roanoke City Council in May 2019, according to previous Community Impact reporting.
On Nov. 12, 2019, the council approved a resolution to issue up to $30 million in bonds to help fund the development of the Peabody Hotel and Convention Center.
According to Community Impact reporting, the city would pay for the convention center, a portion of the parking garage and related infrastructure improvements, and the developer would fund the hotel portion of the project.
A Peabody Hotel exists in Memphis, Tennessee, where it is a landmark attraction, according to the company website. Like the Memphis location, the Roanoke Peabody Hotel would have featured the eponymous Peabody Ducks—a flock that hangs out in the hotel lobby and fountain, according to meeting documents.
What’s next?
The news release states a "signature" boutique hotel will now break ground at the location where the Peabody Hotel was supposed to be.
“We are eager to start anew with the development,” Petree said. “Our team is thankful for the council's support in allowing us to partner with Garfield Public/Private LLC to bring a conceptual design package for the space."
Roanoke City Council approved the Garfield partnership during the Nov. 12 City Council meeting.
"The choice to change course for the Roanoke convention hotel is absolutely the best and right decision for the city and the citizens of Roanoke," Mayor Scooter Gierisch said. "It has provided the city with an opportunity to investigate further our options as well as re-evaluate the terms from the previous opportunity.
“We remain focused on creating a unique and authentic sense of place and are excited to see what is to come."
