9-story Embassy Suites & Conference Center for UNP

[Pete]

Embassy Suites announces $50 Million Hotel and Conference Center Development in Norman
Posted: Wednesday, April 26, 2006

Embassy Suites announced at an April 26 press conference forthcoming development of a 240-room hotel and a 65,000-square-foot conference center in Norman. Both projects, which are estimated to cost a total of $50 million, are part of the University North Park mixed-use major development project unveiled in December 2005.



The nine-story Embassy Suites Hotel will be developed and managed by John Q. Hammons Hotels & Resorts, LLC, a leader in the nation's hospitality industry. The company currently operates more than 60 hotel and resort properties across the United States, including two in Oklahoma City and one in Tulsa.



"We are honored to be a part of such a visionary development and know that as it comes to fruition, it will be a source of pride for not only Norman, but for all of Oklahoma," said John Q. Hammons, chairman and chief executive officer of John Q. Hammons Hotels & Resorts, LLC.



The City of Norman will own the conference center for an estimated cost of $15 million. Once completed, the conference center will be managed by John Q. Hammons Hotels & Resorts, LLC. The Springfield, Mo.-based company has already initiated the design phase for both the conference center and hotel and intends to begin construction on both properties in March 2007.



"While the development of the entire University North Park area is especially good news for the City of Norman, the construction of the conference center, in particular, represents a very special and unique opportunity for us," Norman Mayor Harold Haralson said. "Not only will the City of Norman benefit by the influx of sales tax dollars to our community, but this new development activity is sure to make our city even more attractive to companies interested in locating or relocating their businesses here."



The University of Oklahoma played a major role in the decision to locate the state-of-the-art conference center in Norman.



"With the continued growth of the University, it is absolutely critical that we have the ability to host national and international conferences and events, as well as a wide range of continuing education programs, as close to the university as possible," University of Oklahoma President David Boren said.



Upon completion, the 585-acre University North Park development will also consist of a major retail complex, lifestyle center, park, office complexes, multi-family housing projects and businesses targeted for economic development by the City of Norman. The development is located east of I-35 between Robinson and Tecumseh Road.

[venture]

Hmm...im kinda shocked, but they'll definitely be welcome.

[John]

Good news for Norman.

Hotel rooms are one of the things Norman lacks. Motels out the wazoo, but the 'nicest' place right now is the Holiday Inn, and that's a stretch.

(I'm not counting the NCED)

[Patrick]

I thought something like this was going to be coming to Bricktown?

[BricktownGuy]

Related note... there was a Hilton Garden Inn, Courtyard by Marriott and a Comfort Inn planned for Norman.

Courtyard by Marriott and a Comfort Inn planned...are being build by Champ and Hitesh Patel from what my sources tell me. They own many OKC area hotel properties.

Hilton Garden Inn... proposed by Raj Patel, from Durant. http://www.premierhotels.us/?page=index

[BricktownGuy]

Yes, patrick, We all hoped something like this would come to Bricktown.

John Q. Hammons, knows what he is doing, so I wonder why Norman instead of Bricktown.

[brianinok]

Yes, it not hard to argue that JQH knows what he's doing. I used to work at the Renaissance, so I know some about him. Virtually every hotel project he gets involved in is successful. He only builds places where there will be lasting demand-- universities, corporate headquarters, convention centers.

I have thought for a very long time that Norman needed a nice full-service hotel. I know the Holiday Inn is full-service, but it's a Holiday Inn. As a side note: I feel the same way about Edmond. Norman has over 100,000 residents, the University of Oklahoma, numerous high-paying jobs in the private sector, and is just south of OKC on I-35. This is very good for Norman.

It's sad this won't be coming to Bricktown at this time. But, I wouldn't be surprized to see an Embassy Suites in downtown/Bricktown either. I don't have any inside information on that. But, since the Courtyard and Renaissance are performing extremely well, JQH may still be interested in downtown. Building in Norman does not equal loss in downtown, IMO.

[BricktownGuy]

I just had a thought..... I know why John Q. Hammons picked Norman over Bricktown. In Norman, there are not many full-service hotels. Like brianinok stated, it has a holiday inn... but thats nothing when you compare it to an Embassy Suites.

The hotels in Norman do really well year-round, as long as they have good management. IF Bricktown keeps doing well look for another John Q. Hammons hotel in the future.

[Pete]

There is a very strong need for quality hotel rooms and conference space in Norman.

Not only is the university growing rapidly (enrollment at all-time high in spite of record admission standards) but OU is hosting more conferences and building more research space on the south campus.


And I don't know why you guys are assuming this is instead of (rather than in addition to) a new Hammons hotel in Bricktown. He already owns and operates multiple properties in the area, so why would this have anything to do with Bricktown?

[Patrick]

I do agree Norman was a very smart decision on JQ's part.

I think he'll still build another in Bricktown too. He already said he's considering it.

[TheImmortal]

I think I read in a Journal Record article a while back in which he said some thing of the likes of "When I say I am going to build a project, I build it" and "Downtown OKC will see an Embassy Suites in the not too distant future". He did not specify Bricktown I do not believe, but rather said it would be somewhere downtown. Did anyone else read this or am I crazy.

[Patrick]

I think I read in a Journal Record article a while back in which he said some thing of the likes of "When I say I am going to build a project, I build it" and "Downtown OKC will see an Embassy Suites in the not too distant future". He did not specify Bricktown I do not believe, but rather said it would be somewhere downtown. Did anyone else read this or am I crazy.

I think that sounds about right.

[Luke]

Yeah, I don't think this was an either Bricktown or Norman thing. I believe downtown OKC will see an Embassy Suites just like Hammons said we would see.

[JOHNINSOKC]

If Hammons does build the Embassy Suites downtown, I think it would be great to have it near the Myriad Gardens since there are balconies outside each room. Of course, Bricktown would be the best place because it would fit better aesthetically on the canal. Either way, there will be three locations in the metro eventually. I honestly never thought about Norman being a possibility. I read that the new mall at University Park is going to be the FOURTH LARGEST in the nation. Is that for outdoor malls or malls in general??? I think that would be cool to be home of one of the largest shopping malls in the country. That would make OKC look BIGTIME!!!

[Luke]

I've heard so much about this University North Park thing but haven't seen any renderings. Anybody know what this is supposed to look like?

[Nuclear_2525]

I can't see it being the fourth largest outdoor or indoor mall in the nation...the site, especially with TARGET taking up half of it, isn't big enough for that.

[John]

Target isn't taking up that much of the property. This development stretches all the way to Tecumseh Rd.

[HFK]

I've heard so much about this University North Park thing but haven't seen any renderings. Anybody know what this is supposed to look like?

Unfortunately, I don't have any links to images but, for those unfamilar with Norman, I believe that this complex is located around the old dirt mound that was on the east side of I35 in northern Norman (just north of Robinson). The dirt mound is gone and the Super-Target is being constructed.

The article has answered some questions for me: the area that's actually been cleared is enormous, much larger than neccesary for the new Target, and I'd wondered what else was going to be built there. Sounds very interesting, particularly since Norman is actually closer to me these days than OKC (at least as far as significant retail stores are concerned, e.g. Best Buy, Lowes, HD, BN, etc)

... the 'nicest' place right now is the Holiday Inn, and that's a stretch.

That must be one fine Holiday Inn to outshine the Residence Inn. I've stayed in plenty of Holiday Inns but I don't believe that I've ever seen one that could match an RI (with the possible exception of the lodge-like HI Express in McCall, Idaho)

Now, what's being built on the west side of I35, a couple of miles north of the new Target (I believe that it's just north of Tecumseh, in the vicinity of that new-ish medical complex that seems to be a bit out of place...)

[BricktownGuy]

I've heard so much about this University North Park thing but haven't seen any renderings. Anybody know what this is supposed to look like?

Exactly, I would like to see the development brochure or even a site plan. There has been alot of hype.

[floater]

I've heard so much about this University North Park thing but haven't seen any renderings. Anybody know what this is supposed to look like?

In one of the news reports by the Norman Transcript, UNP was described to resemble OU's Cherokee Gothic architecture. It'll even have those brick gateway arches. The land is owned by the OU Foundation after all, and President Boren has been involved from the beginning:

Published: January 23, 2006 12:15 am
Council to consider TIF review committee

The Norman Transcript

Transcript Staff Writer

The Norman City Council is scheduled to decide at its Tuesday meeting whether to submit a project plan summary for the proposed University North Park tax increment financing or TIF District No. 2 the next step forward to the statutory review committee.

The statutory review committee consists of representatives of entities affected by ad valorem tax such as Norman Public Schools, Moore-Norman Technology Center and others. They would consider the TIF project plan summary.

The project plan summary provides details of the 290-acre first phase of the University North Park development east of Interstate-35 and between Robinson Street and Tecumseh. The council stipulated that the committee would only be forwarded the project plan summary after it was completed and agreed to by the University of Oklahoma Foundation, the University of Oklahoma and developers and approved by the council after a public hearing.

The plan was discussed at a Jan. 17 council study session.

The $17.7 million proposed TIF district would finance mostly off-site traffic improvements, the 12-acre Legacy Park and engineering and legal fees. It would be financed with 50 percent of incremental sales and ad valorem taxes derived from the district with bonds guaranteed by the University of Oklahoma Foundation.

Among $10.4 million in the proposed traffic improvements are ingress and egress on both sides of Interstate 35 at the Robinson and Tecumseh interchanges and a two-mile long frontage road.

Developers have said the area would still develop if there is not a TIF for the area, but it would be over a much longer period.

Norman Public Works Director Jimmy Berry has said that traffic improvements are already needed to alleviate congestion in the area.

Berry said a TIF District would provide the improvements up front, rather than having them implemented as a result of traffic studies as each phase of the development was forwarded.

If the TIF is approved, improvements at Robinson and 24th Avenue NW would begin in spring 2006, with Robinson and East Interstate Drive and Robinson and West Interstate Drive/Crossroads Boulevard beginning in summer 2007.

Construction at Tecumseh and 24th Avenue/Flood Avenue could begin in spring 2006.

The TIF District would include $5.5 million for Legacy Park, which would feature a 3-acre lake, an extension of Legacy Trail system through the development, public art and extensive landscaping in excess of that required by the Planned Unit Development.

There is $1.75 million planned for engineering, legal and other professional fees for the traffic improvements.

Marc Nuttle, chairman of the TIF citizen's advisory committee or TIFCAC, said during meetings of that committee it was his goal that everybody who had a concern be heard.

"There was no disparity on the citizen committee that to get these kinds of improvements, some kind of TIF is required," Nuttle said.

Members of the TIFCAC voted 12-2 in favor of the TIF District. There were majority and minority reports written, which provided much of the basis of the project plan summary.

Chuck Thompson, TIFCAC member, said the committee felt that implementing a TIF was the only way to ensure that the development was "spectacular."

A Super Target is already going up as part of the first phase, in the southwest portion of the development. Renderings of the store design show elements of OU's Cherokee Gothic red brick design that will flow through University North Park.

"The Target design shows how closely the Target store falls into the line of thinking. ... Target is a good example of applying the design standard," said Frank Goppold of Little Diversified Architects of Charlotte, N.C., referring to the Architectural Design Review Board that will consider development designs.

Stanton Nelson, with RT Oliver Investments, Inc. developing the Super Target, said as a Norman resident himself that it was very important to him to have University North Park be a "spectacular" development and avoid empty store fronts in the rest of the city.

Goppold said junior anchor stores are being signed up that will blend with the Target store and echo that aesthetic.

Several details are specified in the project plan including light poles, benches, trash receptacles and bike racks.

Legacy Park was an idea of TIF Citizen Committee member Gene McKown and included at the suggestion of city leaders. The park would feature a 3-acre lake, a fountain feature, public art and extensive landscaping.

"It was a wonderful idea," said Randy Stone, of Carter-Burgess, saying it helped convey a sense of place. "We jumped on it immediately."

Other provisions could include $25 million in economic development incentive costs to "foster expansion of the retail base and quality employment opportunities in the City of Norman," similar to what is being done to attract premier retail businesses in other communities like Frisco, Texas. Those would have to be approved by the City Council.

It could include costs for a conference center, museums and other cultural facilities not to exceed $10 million. A National Weather Museum, International Gymnastics Museum, conference center and other ideas have been offered for future phases of the 585-acre development.

Incentive funds would only be available for retail business that relocated from outside the city limits of the City of Norman or that does not exist in a 21-mile radius from the TIF District. It would also need to demonstrate an anticipated minimum sales volume of not less than $175 per square foot of retail space for stores larger than 10,000 square feet, or not less than $275 per square foot for stores of 10,000 square feet or smaller.

Trey Bates, a member of the TIFCAC, suggested six amendments to the project plan that he said still needed clarifying...

[soonerliberal]

TIF moves onto the fast track
The Norman Transcript

Hotel developer wants to break ground in October
By Carol Cole
Transcript Staff Writer
June 21, 2006

Gone was the acrimony. Gone was the backbiting.

Instead there were nine Norman city councilmembers working urgently together with city staff at a retreat Tuesday to put the city on the fast track on implementing its $54.7 million University North Park Tax Increment Financing District project plan. The TIF District No. 2 was approved by council May 23.

A little extra motivation was recently thrown in the mix, with hotel developer John Q. Hammons' desire to break ground on his $35 million, 10-story Embassy Suites hotel in October instead of the March 2007 date previously discussed.

"What I want to do is set the framework," said City Manager Brad Gambill. "And I want your guidance for staff. ... When we leave here tonight, we want to go to the starting line. And that's what it's going to take."

Council tackled potential timelines and priority of work for the district east of Interstate 35 between Tecumseh Road and Robinson Street.

At the top of the "to do" list is creating a master operating agreement.

Planning Director Richard Massie said three things need to go on simultaneously.

First, council needs to work with staff and the developer and the University of Oklahoma Foundation.

The developer needs to prepare lots of plans for infrastructure. And thirdly, the city's review process needs to be worked through with a date of Aug. 14 for building plans.

"That's the last date we can have filed with the city the application for revision of the Planned Unit Development, a revised preliminary plat, the updated traffic impact analysis, which is a major, major effort on their part," Massie said.

He said there are many pieces of the puzzle to put together to make it happen.

"It is a work in progress," he said.

The developer reportedly has firmed up a site with Hammons for the hotel and conference center.

The city would need to have a final plat in hand by Sept. 11. Planning Commission would meet and determine whether to give its recommendation Sept. 14, with council's first reading on Sept. 26. The second reading by council would be Oct. 10.

"If all that can occur, in theory, they could start construction on Oct. 13," Massie said.

He said he expected building of the hotel is a "fairly standardized process" for Hammons, and he expected few problems there.

Hammons would also construct the conference center, with $15 million in funding from the TIF District and $5 million of his money. When he announced the deal, he said he would pay for any overages in construction costs.

City staff said they would work on also bringing forth an operating agreement for the planned road improvements along with the master operating agreement.

Throughout the process, the Foundation's architectural committee will also be reviewing plans.

"This is not a rubber stamp group," said Massie of committee members who include local architects Bob Goins, Rick McKinney and others.

The University North Park development was presented this week at the International Council of Shopping Centers annual meeting in Las Vegas, Nev., causing lots of synergy for the project, Massie said. He said developers are excited about prospects of potential retailers perhaps moving up their timetable for the development.

The only real problem for the city is how rapidly their various projects financed by the TIF District No. 2 can be completed.

"That's one problem that might create, when you compress that schedule," he said. "There is not, at that early date, a revenue stream."

Massie said he planned to do the inspections with his own staff, with perhaps the exception of the concrete inspections.

Four elements could be coming forward at close to the same time, Gambill said. Those would include the master operating agreement, road operating agreement, conference center agreements and plans for Legacy Park.

The OU Foundation has said it would guarantee bonds for the road improvements.

City Finance Director Anthony Francisco said the priority of work is "a very dynamic thing," but city staff had determined the order of how things should develop as time had gotten compressed.

"That is both scary, overwhelming, intimidating, but also very exciting," Francisco said. "And all this stuff can happen in a relatively short period of time. ... In order to make this happen, we are going to have to work well together. We are going to have to trust each other individually and collectively. What you cannot let happen is for this opportunity to go away, for this opportunity to get lost. Or for this opportunity to happen without the proper controls in place."

Francisco said to think of the master operating agreement as the TIF's Constitution.

Councilmembers said they favored creating a new public trust that would just deal with TIF funds, instead of using an existing trust like the Municipal Authority.

They discussed the makeup of the TIF oversight committee, which will oversee expenditures of the district. Decisions on the committee will be discussed further.

[fromdust]

Now, what's being built on the west side of I35, a couple of miles north of the new Target (I believe that it's just north of Tecumseh, in the vicinity of that new-ish medical complex that seems to be a bit out of place...)

i see it everyday, its off exit 112. i do not know what it is though. anybody know?

[Pete]

Tue July 11, 2006



University Town Center to rival giant enclosed malls

By Chris Brawley Morgan
The Oklahoman

NORMAN - Drivers zipping along Interstate 35 may have noticed a red-brick structure evolving into a solid-looking SuperTarget - but it’s only the first step in a super-size retail development here.

The master plan for University Town Center calls for 2.5 million square feet of new retail space.

Besides six anchor stores, development plans show three hotels, a movie theater, conference center and an eight-acre park, said Stanton Nelson, partner and spokesman for the development partnership, University Town Center LLC.

A 500,000-square-foot Lifestyle Center, an open-air shopping mall, is the area most likely to attract stores unique to the metropolitan area, he said.

“This is the heart and soul of the project. It will make the difference between a typical development and what we are doing here,” Nelson said.

In the end, construction costs for University Town Center may top $350 million. The development extends across 280 acres, a mile of which is adjacent to Interstate 35. The entire project probably will take between five and 10 years to complete, Nelson said.

If the University Town Center is completed as planned, it will be just slightly smaller than the three largest enclosed malls in the United States.

The three malls, all of which are under contiguous roofs, all boast 2.8 million square feet. That’s a mere 300,000 feet more than Norman’s University Town Center. The largest malls are the Mall of America in Minnesota, the King of Prussia Plaza in Pennsylvania and South Coast Plaza in California.

Patrice Duker, spokeswoman for the New York-based International Council of Shopping Centers, said the trend today is to build open-air shopping centers, rather than enclosed malls, particularly in warmer regions.

The next phase of construction for University Town Center will begin next fall, when work will start on three “small shops” on the south side of Target.

Also next fall, work should begin on a 130,000-square-foot facility - which will be divided into smaller retail operations - on the north side of the $25 million Target.

Developer John Q. Hammons said he plans to start work in October on a third construction project next October - a $50 million, 10-story Embassy Suites Hotel and conference center.

“When the boys came to me, they told me they wanted to build a shopping center and they asked me if I wanted to build a hotel,” Hammons said. “So I answered the question. I said “yes” and I’m doing it.”

Hammons’ company, located in Springfield, Mo., owns and operates more than 63 hotel and resort properties in the United States, including the Courtyard by Marriott and Renaissance Hotel in downtown Oklahoma City.

Norman City Manager Brad Gambill thinks University Town Center may draw shoppers from across the region, including north Texas.

“There have been some pretty big name stores that want to come to Norman and that’s exciting in itself,” Gambill said. “There are some unique stores on the list.”

Nelson said he wouldn’t disclose any retailers who are in negotiations to move to the new development.

University Town Center is being developed by the University of Oklahoma Foundation, R.T. Oliver Investments and Sooner Investment Co., Nelson said. He also is a partner of R.T. Oliver Investments, which both owns and manages several downtown Oklahoma City high-rise buildings, including the Corporate Tower.

A TIF (tax increment financing) district will provide for $54 million in sales and ad valorem tax revenues to be set aside to help develop public aspects of the projects, including roads, the park and conference center, Gambill said.

The sprawling development will be connected by the buildings’ red-brick-and-cream-stone exteriors. “Since the university is such an important place in Norman, we are incorporating the university feel,” Nelson said.

Said Gambill, “The University Foundation and the University of Oklahoma set up some very detailed design criteria these stores have to meet. It’s going to be really nice, a lot of landscaping.”

Gambill said OU President David Boren has taken an interest in the aesthetics of the development.

Nelson said the Lifestyle Center will provide retail space for possibly 50 tenants, including two department stores. Most of the stores will be comparable to retailers located in Penn Square Mall, he said.

[Midtowner]

Look! TIF abuse!

It's great to know that Norman Public Schools are going to be hit up for $54 million dollars so that Hammons can have a nice hotel, and out of state developers can have a nice shopping mall.

That law needs to be repealed. These guys can afford to build a nice project on their own.

[Pete]

Not to mention, other shopping centers and retailers have to compete with the newbies who are now given an unfair competitive advantage.

How many retailers and restaurants in the surrounding area will fold once 2.5 million square feet are dumped into that small market?