Abandoned Hotel to Get Another ChancePosted: Updated:
An $11 million proposal to turn a historic hotel in South Bend into a mixed-use development is moving forward. The city's department of community investment recommends the redevelopment commission approve Great Lakes Capital's plan for the former LaSalle Hotel, which includes nearly five dozen apartments and ground-level commercial space. Work could begin by the end of the year. Our partners at Fox 28 report the project is part of an ongoing effort by the city to revive its downtown. October 22, 2013
SOUTH BEND, Ind. - The Department of Community Investment has made a formal recommendation to the Redevelopment Commission for Great Lakes Capital to restore the historic LaSalle Hotel as a mixed-use building with apartments.
"Today we're recommending to the Redevelopment Commission that Department of Community Investment staff move forward to finalize a development agreement with Great Lakes Capital," says Scott Ford, Executive Director of Community Investment. "The company's experience renovating historic structures and the quality of their plan to redevelop this important part of South Bend's past makes Great Lakes an ideal partner."
Chosen from among three proposals the Department of Community Investment received in May, Great Lakes Capital would purchase the building from the City for $1. Investing nearly $11 million in the project, Great Lakes Capital would renovate and manage the building with 59 apartment units.
"The La Salle Hotel is a site we've long been interested in," says Brad Toothaker, managing partner with Great Lakes Capital. "We're honored to bring this iconic South Bend landmark back to life."
The renovated building would have 23 one-bedroom units and 36 two-bedroom units, renting from $842 to $1,360 per month. The restoration also would create resident storage space, a fitness center, and commercial space on the ground and mezzanine levels.
"This project will add to the momentum of downtown's ongoing revitalization," says Common Council Member Tim Scott (1st District). "Great Lakes Capital has developed an excellent plan to attract more residents to the downtown area."
Through the Department of Community Investment, the City will spend $1.8 million in TIF funds over the next two years. The City also supports Great Lakes Capital filing for an eight-year tax abatement.
A development agreement is expected to be completed in November and presented to the Redevelopment Commission for approval. Work is expected to begin later this year.
"The LaSalle is an important part of South Bend's cultural heritage," says Mayor Pete Buttigieg. "The redevelopment of this historic structure will play a significant role in South Bend's comeback."
Source: The City of South Bend