Champaign City Council set to vote on deal with JSM for Lot J project
An earlier version of this story included an incorrect start date for the project based on erroneous information in a city report. The correct date appears below.
CHAMPAIGN — Work could begin in fall 2013 on a much-anticipated 12-story hotel and residential complex at Sixth and Green streets if city council members approve an agreement with JSM Development this week.
The details of the project have evolved since JSM won the city's business in a proposal war last year. The deal now has JSM paying nearly $4 million to buy city-owned Lot J and building two 12-story towers connected by a glass bridge and five-story parking garage.
The city council is scheduled to review and vote on the deal when it meets at 7 p.m. Tuesday in the Champaign City Building, 102 N. Neil St.
Hourly parking would remain available to the public in the parking garage when the building is finished. Right now, the scheduled completion date is August 2015.
The builder would provide for about 21,000 square feet of retail space on the first floor, 108 hotel rooms in the next four stories and 297 studio, one-bedroom and two-bedroom apartment units above that. The building would be cantilevered over the existing building along Sixth Street, which JSM also owns.
According to a city memo, officials believe a brick-paved Healey Street cannot support the additional traffic the redevelopment will bring. The city expects that JSM will contribute $160,000 toward the estimated $1.7 million cost of reconstructing Healey between Fourth and Sixth streets.
City officials are estimating that the development could generate as much as $50,000 annually in new property-tax revenue, new sales-tax revenue, and as much as $179,000 annually in hotel/motel tax revenue.
The completion date had originally been set for August 2014, but negotiations, floodmap revisions and a review period by the hotel franchise pushed the schedule back one year, according to a memo.
If all goes according to schedule, the JSM project would begin after Bankier Apartments completes a 14-story building directly across Green Street on a site that is now occupied by Gameday Spirit, Hair Benders and Beri Frozen Yogurt & Roll Model.