Sarasota-based Floridays Development Co. is partnering with a Houston-based operator to open its second Home2 Suites by Hilton hotel in the tourism corridor. The joint venture should close on the property this month, break ground by October, and has yet to sign a general contractor, a lead executive told GrowthSpotter.
Located at 2800 Destination Parkway, the 2.33-acre parcel lies just off the southwest corner with S. John Young Parkway. It's meant to draw from the SouthPark Center office park across the street, and other office parks along S. John Young Parkway.
The hotel site is also less than a mile from the southern boundary of Universal Orlando affiliate SLRC Holdings' 474 acres, and the future development that may occur there.
"We like the corporate aspect of that market, that whole SouthPark area and its white collar presence, and with Destination Parkway opening up into I-Drive in the future, we think it's an exciting corner to be on," said Steve Mullen, Floridays partner.
The five-story, 117-key hotel will be a joint venture with Vista Host Hotels, which will manage the property as well. A construction loan is being sourced through a Texas bank for about 75 percent of the projected $15.2 million project cost, Mullen said.
Permits for site work and a Development Plan have already been approved by Orange County. Construction documents must be finished and submitted in the next 30-45 days, and negotiations are underway with a few general contractors, Mullen said.
Floridays is high on the Home2 Suites flag, with its second under construction now in Sarasota, and plans to break ground on another in Brandon this October.
The company is currently seeking more hotel development land in Greater Orlando, looking in close proximity to hospitals and medical centers, including Downtown Orlando, Lake Nona and Horizon West, Mullen said.
The Duartes are holding on to a 3.7-acre parcel adjacent to the hotel site for future development. They sold the 1.94 acres on the hard corner in 2012 to Racetrac Petroleum Inc. for $1.44 million, where a fuel station now stands.