CHARLESTON, W.Va. — Commissioners from the Charleston Urban Renewal Authority voted Wednesday to enter an agreement with KM Hotels, based out of Richmond, Va., to develop the former Holley Hotel site in downtown Charleston.
KM Hotels presented a proposal to build a Homewood Suites on the Quarrier Street property. The extended-stay hotel, which is part of the Hilton chain, would create more attraction for retail and office users.
The company has 120 days to finalize its plans and complete the project before closing on the property.
Jim Edwards, Executive Director of the CURA, said they will sign the development agreement, which will then start the clock for developers. He said the company needs to research the site and look at the conditions first.
Edwards said they will then sell the property for $885,000 if KM Hotels meets the deadline.
Edwards said the hotel will benefit the downtown area of the city and the east end of Quarrier Street. The missing part of the block has been there for more than 20 years. He said it discourages pedestrians from moving down the street.
“This will provide a link and fill in the gap,” said Edwards, “The hotel itself will generate a great deal of activity on a daily basis. Not only with folks staying there, but also meetings, food, a bar, and so forth.”
If the company decides to move forward with their plans, then CURA will close the deal. Construction would begin in December with a time frame of 18 months to complete.
The development agreement of the site with KM Hotels has been discussed since last summer.
There is another development project in the works. The CURA approved the sale of a portion of the city’s dog park property at Washington Street East to Charleston Pediatric Dentistry.
Dr. Ashley Patnoe, a dentist, suggested a long term lease with CURA to build a new office. Patnoe said she would lease the parking lot behind the park and build a two story building on the property.
The lot would be available for park goers on weekends and after 5 p.m. on weekdays. Two thirds of the park would remain with eight designated parking spots for patrons.
Edwards said the dentist building would pay monthly for the spaces. The lease amount would be $25 per space with a lease of 20 spaces to start.
The project is pending for a final approval by the CURA.