Marriott Marquis Washington, DC is a luxury hotel located on Massachusetts Avenue NW, in NW, Washington, D.C., United States. The hotel is connected to Walter E. Washington Convention Center on 9th Street NW via underground concourse.
Washington Marriott Marquis is considered a "downtown convention center", well designed to provide lodging for participants at the Walter E. Washington Convention Center across the street, and to add to the convention center by providing smaller and more versatile meeting rooms. The hotel has a 100,000 square foot (9,300m 2 ) meeting room space, which includes a main ballroom of 30,000 square feet (2,800 m m) and two smaller 10,000-square-foot Ballroom (1,000 m). The building is topped by an 18,800 square foot covered penthouse (1,750 m), and an outdoor 5.200 square foot (480 m 2 ) terrace.
The hotel is owned by Capstone Development, District of Columbia, ING Clarion, Real Estate Investment, Marriott International, and Quadrangle Development Corporation. The operator is Marriott International. Opened on May 1, 2014, and has 1,175 rooms (including 49 suites), a lobby with multi-story atrium, and four dining outlets on the first floor. The hotel has 14 floors above the ground, and four floors below.
Video Washington Marriott Marquis
New convention center
The Washington Convention Center, Washington's second convention center, DC opened on 10 December 1982. But just eight years later, the small size of the facility and the national explosion in the construction of a convention center have caused 285,000 square feet (26,500 m 2 ) convention center to see a dramatic decline in business. In May 1990, the city announced plans for a new $ 685 million 2,300,000 square foot (210,000 m 2 ) new convention center. Ground was damaged for the new Walter E. Washington Convention Center on October 2, 1998, and opened in 2003.
Maps Washington Marriott Marquis
Hotel center convention center proposal
Consultant learn
With several hotels near the new convention center, the need for a "convention center hotel" is seen as an urgent start. In May 1999, Monument Realty proposed the construction of a 1,000-room convention center hotel with an area of ​​51,000 square feet (4,700 m 2 ) owned by a triangular parcel bordered by New York Avenue NW, K Street NW, and 10th Street NW. The monument estimates the hotel will cost $ 206 million. To make the business profitable, costs need to be lowered to $ 169 million. The monument sought $ 57.3 million in tax increase financing (TIF) but never received city approval for funds. In late October 2000, Monument Realty sold the package for $ 43.2 million to Boston Properties. (901 New York Avenue was built on this site.) In the fall of 1999, the Washington Renaissance Hotel at 9th and I Streets NW applied for $ 25 million in TIF money for expansion to a convention headquarters hotel. But city officials rejected this request, saying there was a significant risk that it would not generate tax revenues to make the TIF financially viable. D.C. City Councilor Jack Evans introduced the law to give TIF to the Washington Renaissance Hotel, but did not pass and the hotel owner sold the land where the expansion would take place.
To decide whether a convention center is economically viable, two studies were conducted in 2000. First, the city commissioned a study by the Chicago company C.H. Johnson Consulting. Assuming a 71 percent occupancy rate and an average room rate of $ 215 per night in 1,500 rooms, Johnson's study found the hotel would generate $ 135 million in gross income in the first year, resulting in a $ 34 million deficit. Nevertheless, Johnson's study calls the convention center hotel a "necessary material", citing the size of the new convention center, the distance (nearly 2 miles (3.2 km)) to the largest hotel, and the small size of the hotel nearby. Johnson's study does not seek to account for the economic impact of hotels on other businesses in the city. Another study by PricewaterhouseCoopers, commissioned by the Washington Convention and Sports Authority (WCSA), found that within its fourth year of operation the convention center will generate requests for 55,500 more room nights than can be accommodated by existing city hotels. Later, PricewaterhouseCoopers concluded, the new convention center will generate demand for 500,000 nightly rooms per year. However, the study also warned that every convention center hotel should rely on non-convention meetings for most of its business - placing it in competition with small hotels in the city.
Proposal request - RFP for new hotel
In November 2000, discussions by private and municipal developers focused less on whether to build a convention center hotel but how big it should be. This new hotel takes 1,200 to 1,500 rooms and at least 80,000 square feet (7,400m 2 ) meeting room space. It also needs to be within walking distance of the new convention center. The city hired a consulting firm to determine whether it would be financially feasible to build a $ 400 million hotel on the following sites: an old convention center, along Massachusetts Avenue NW, or New York Avenue NW. Several major hotel operators have expressed interest in building new hotels, including Hyatt and Marriott chains. However, no additional measures were taken at that time.
Six months later, in April 2001, D.C. Mayor Anthony A. Williams announced he issued a request for a proposal (RFP) to build a convention center hotel of 1,100 rooms, a $ 200-million convention near the site of the old convention center. Williams asked private developers to propose a personal website for the hotel. If there are no privately owned sites, Williams offers to build a hotel on the site of the old convention center (though consultant reports say that will limit the development potential of the site). Williams said a decision on the proposal would be made at the end of the year, and left open the possibility that the city would subsidize the hotel's financing. Real estate developer Kingdon Gould III says he is willing to build a 85,000 square foot (7,900 m 2 ) hotel he owns on the corner of Massachusetts Avenue NW and 9th Street NW. Similarly, developer Douglas Jemal offers the sites he owns on 7th Street NW and New York Avenue NW.
Four proposals for 1,000-plus hotel rooms (now priced at $ 300 million) were filed on August 2001 deadline. They include proposals by:
- Hilton & amp; Resorts, Douglas Jemal, and Landmark Organization Inc. (a development company based in Austin, Texas) for a hotel on the northeast corner of 7th Street NW and New York Avenue NW.
- Onyx International for hotels on the north side of Massachusetts Avenue NW between 4th and 5th Streets NW.
- Monument Realty for hotels in K Street NW between 4 and 5 NW Streets.
- Marriott International and Kingdon Gould III for a 9-NW 9th Street hotel between L Street NW and Massachusetts Avenue NW.
The city set a December 2001 deadline for a decision on a proposal.
The award for the convention's headquarters hotel fell to Marriott International in October 2002. The September 11 attacks caused a severe economic crisis in Washington, D.C., which caused the city to postpone its decision about RFP for more than a year. The award was not made until October 29, 2002. The mayor's office said the city might provide TIF financing for the project, which is now projected to have 1,500 rooms, 90,000 square feet (8,400 m 2 ) space meeting space, $ 500 million, and is open in late 2006 or early 2007. The Marriott/Gould bid is chosen because of the size of the plot, its location near the convention center, and the land, which is already owned by the partner. City officials said they intend to ask the D.C City Council for legislation to establish a non-profit institution to sell TIF bonds and own the hotel. Marriott said it would buy $ 24 million of bonds to create ownership in the hotel, said to be built by The JBG Companies. To keep the bond interest fair, the city said it would seek the authority to transfer up to $ 19 million in general sales tax revenues if the hotel did not generate enough revenue to pay interest on TIF bonds.
Initial financing proposal
The city's TIF financing proposal is controversial. Critics such as Charles W. McMillion (chief economist at business consulting firm MBG Information Services) argue that a convention center hotel will lead to a decrease in sales tax revenues by reducing pressure on hotel room rates throughout the city and by alienating participants from local restaurants and retail businesses. Hotel convention headquarters, critics also noted, will not have enough attendance to make a lost sales tax revenue. Executives at other hotel chains say the city's financing deal projects sales tax revenues of $ 40 million to $ 48 million annually, but a more reasonable estimate is $ 25 million to $ 30 million per year. City officials responded by pointing to two studies conducted in 2000 that came to different conclusions, and noting that the convention center had promised people booking large meetings on the site that the headquarters hotel would open in 2007. Without hotels, groups this can be completely canceled, they said.
On March 29, 2003, Walter E. Washington Conference Center worth $ 600 million was officially opened.
It took more than a year for the city to draw up its TIF proposal. On December 16, 2003, the mayor's office finally asked the city council to form a nonprofit agency authorized to issue tax-free bonds and borrow $ 1 billion. Under the plan, $ 460 million of bond issues will go towards building a convention center hotel. (The city says Tishman Urban Development Corp., not JBG Cos., Will build the hotel.) The remaining bond issue will refinance the existing convention center's debt to take advantage of the much lower interest rate. The issue of bundled debt, said the mayor's office, makes issuing bonds more attractive to investors because it is supported by revenue from two entities instead of one. To further ensure that the bonds are received by Wall Street, the city agrees to guarantee a portion of the bond interest with general sales tax revenue if the TIF hotel does not cover the interest.
Hotel location determination
Mariani Controversy
The mayor and the city council are still negotiating on a TIF deal in March 2004, although both hope to have laws passed in May. Even as the Exhibition Industry Research Center said an important headquarters hotel for the success of the convention center, there were concerns by other hotels in the city that the convention center did not produce enough nights to justify its construction. Washington Post business columnist Steven Pearlstein was questioned in April 2004 if a large hotel, questioned by the city, is really needed to make the convention center profitable. Pearlstein argues that two 500-room hotels, built solely with private financing, would be adequate.
In April 2004, the City Council D.C. began to debate whether the convention center hotel should be built on the site of the old convention center. The proposal came from local architect Ted Mariani, who proposed the construction of a 1,500-room hotel with a large meeting room connected by an underground tunnel to a new convention center. Mariani convinced some members of the City Council that this would be the best use of the land. (Pearlstein pointed out that the council's actions were also partly taken "because of the disappointment of largely abandonment" of the previous year's negotiations.) The Williams administration strongly opposed Mariani's plan. Over the following month, members of the administration staff and the city council of Williams met to discuss Mariani's proposal. Joe Sternlieb, head of the Downtown D.C Business Improvement District; James A. Jemison, mayor of mayoral planning; and city development consultant Ron Kaplan meets for two to three hours a day, three times a week, with council staff and offers to approve a hotel and several meeting rooms as long as the board approves a deal by the end of June. But Board Chairman Linda W. Cropp and Board Member Jack Evans (in whose neighborhood the site is) both liked Mariani's plan. On July 15, 2004, the two sides reached an agreement to continue with Williams's existing plans. However, several members of the city council and WCSA opposed the agreement. One step ahead, WCSA commissioned research on the site of the old convention center of consulting firm Convention, Sports & amp; Leisure International (CSIL). WCSA said the report would be ready by August 2004.
WCSA Report
The CSIL report was completed in October 2004. The authorities will vote to receive consultant reports on October 13, 2004, but postpone voting after Mayor Williams asked for more time to negotiate solutions. The next day, Cropp, backed by the city's hospitality industry, once again suggested that the old convention center site be used for a convention center hotel worth $ 450 million, 1,500 rooms. With both sides seemingly deadlocked, Greg Fazakerley, a local developer and former president of the Building Industry Association D.C, stepped up in late October to help both sides reach an agreement. The WCSA then scheduled a vote on the consultant's report for November 4.
The WCSA again postponed the vote until December, but released a CSIL report on November 4 under pressure from other parties in the dispute. The report analyzes six sites for potential convention center hotels as well as financing options. On Dec. 3, the WCSA board voted in favor of the Williams website, but said it would continue studying placing the hotel somewhere on New York Avenue NW. WCSA says the third option is to build a hotel in the northeast corner of the old convention center site. Cropp is not happy with WCSA's actions, and the city council continues to delay action on the TIF plan.
Resolution on positioning issues
The resolution to the dispute occurred in June 2005, after a delay of more than one year. In April 2005, a majority of city councils came in support of Williams's proposal, and the council plans to approve Williams's plan on May 4. But Cropp convinced the council to postpone the vote, arguing that the bill still gives the mayor. absolute discretion in which to build a convention headquarters hotel. Williams submitted a revision of the agreement on May 24, and the council unanimously approved plans to rebuild the site of the old convention center on June 6, 2005. The agreement says that 120,000 square feet (11,000 m 2 ) from the Land at an angle northeast of the old convention center site will remain an undeveloped board resolution of what to do with the property. Under the plan, the board also maintains the authority to change the convention center hotel site at any time.
Getting more land
Pipefitters building purchase
A more complicated issue was a $ 30 million bid in August 2005 by the Philadelphia-based real estate development firm Lubert-Adler Management to buy a plot of 0.5 hectares (2,000 feet <2> ) at the corner of 9 NW Road and Massachusetts Avenue NW. The land is owned by trade unions, the Mighty Entrepreneurs Association and the Pipeline Appliance and Pipefitters, and the 90-year-old historic headquarters occupies the site. Marriott, Gould, and the city hope to convince Pipefitters to sell their building for the development of the hotel. To prevent the purchase of Lubert-Adler, WCSA placed a $ 900,000 deposit on the Pipefitters property, and promised that the historical building would be incorporated into the new hotel rather than destroyed. On August 22, Pipefitters agreed to sell a 145,000-square-foot package (13,500 m 2 ) to WCSA for $ 30 million. This sale significantly strengthens Williams's favored site appeal.
The proposal proposal of the convention center hotel got a big boost on September 11, 2005, when a second report by CSIL concluded that the hotel was worth $ 417 million, 1,200 rooms with 100,000 square feet (9,300m 2 ) meeting space and 600 parking spaces will be financially feasible. CSIL says that hotels built on the site of the old convention center will take 12 to 15 months longer to build and cost $ 12 million more. The report appears to have halted further efforts to build an old convention site.
Gould land exchange
After the board's approval for the Williams website, the city and Kingdon Gould III became locked in negotiations over Gould land that would take nearly two years to complete. The reasons for the negotiations are not clear. Gould joins the original proposal by Marriott to build the hotel, and seems willing to use his land for it. But at some point between October 2002 and January 2006, it became clear that private financing for convention-based hotels can not be acquired with so many property owners. Gould is the smallest property holder and does not provide equity for the project, which leads to negotiations to acquire land.
Initially, the city and Gould discussed two options: buy Gould land directly, or allow Gould to exchange his land with municipal land elsewhere. The two sides decided to exchange the land, but negotiations halted after Gould argued that his parcel (worth $ 72.6 million) is more valuable than the city-owned package in the northeast corner of the old convention center site ($ 75.9 million). Furthermore, Gould wanted a zone change made for an old convention center site. The city zoning law requires 200 housing units to be built on site. Gould wants assurances that he will receive a waiver of demands for this rule.
On January 26, 2006, Gould agreed to swap an area of ​​1.5 hectares (0.61 ha) on the southeast corner of 9th Street NW and Massachusetts Avenue NW for a city-sized place at an old convention center. The agreement also said, in part, that the city would seek changes to the restrictive zoning regulations on the site of the old convention center. The letter of intent signed by both parties also led one of Gould's corporate managers from a parking garage at the new convention headquarters hotel and included a late fee payment if the city did not act quickly to complete the swap. Since the sites favored by Williams are not large enough for planned hotels and many city-owned areas in the area are not close together, Gould land exchange creates a more unified site with fewer owners.
In February 2007, the swap agreement was not finalized. Zoning changes do not occur, though city officials promise that they will come. There is no agreement on the management of the signed parking garage. City refused to engage in hotel operations, and suggested Gould to negotiate with Marriott about parking garage management. Long negotiations sparked a final fee clause that requires the city to pay Gould $ 2.2 million. This, too, delayed swap, as payment of more than $ 1 million required city council approval. In September, Gould and the city public accused each other of stalling the deal.
The Gould land exchange agreement was finally approved by the city council on November 1, 2007. It took 22 months to amend the local zoning regulations so that Gould was freed from building housing on the new site.
Miscellaneous other ground plan
The city is having trouble getting titles to other parts of the hotel website as well. Two small packages at 9 and L NW Streets still remain in the hands of their owners in early 2007. Although the city could use the power of the leading domain (approved in June 2006), it was instead involved in negotiations over land prices. This negotiation took almost two years. It was not until December 2006 that the city used the power of the leading domain to secure the land.
First finance package
With the approval of the board of the site plan completed in June 2005, the council was under pressure to approve a financing package for the convention center hotel. But with a bit of movement on the issue, Marriott and RLJ Development (the development fund owned by billionaire executive hedge fund owner Robert L. Johnson) said on 11 September 2005 that they were drawing up plans to finance the hotel privately and avoid city councils at all. But no private funding is falling into place.
In February 2006, Mayor Williams handed back to the city council a three-year proposal for a public finance hotel convention center. With the possible cost of the hotel now at $ 650 million, Williams asked the city to sell $ 187 million in TIF bonds to WCSA, which in turn will sell WCSA bonds based on its own income as well as from TIF. WCSA will use its own bond sales to pay $ 187 million of hotel construction costs, with the remainder financed by Marriott and RLJ Development itself. The Williams proposal also leases public property to Marriott and its partners for 99 years at a cost of $ 37 million. The deal allowed Marriott to build a 1,434-room hotel with 100,000 square feet (9,300 m) of meeting space and 600 parking spaces. In addition, Marriott will allow WCSA to build a 50,000 square foot (4,600 m 2 ) meeting center on the site. (WCSA said it will finance this center separately from the sale of WCSA bonds.) Although the city's finance chief Natwar Gandhi doubts the hotel will generate enough tax revenues to meet TIF's needs, Marriott MuniCap consultants expect the hotel to generate $ 44.2 million in tax revenues three years after done. To ensure that development begins in 2008, the law also contains a prominent domain language that allows the city to acquire ownership rights over two small properties within the package that have not been acquired.
The approval of this financing package is relatively fast. In June 2006, the council passed Williams' proposal. Only $ 135 million in approved TIF bonds, but leading domain provisions are included as submitted.
In November 2006, Adrian Fenty was elected mayor of Washington, D.C., after Anthony Williams refused to seek a third term in office. Fenty was inducted into office in January 2007.
Second financing package and construction agreement
Financial feasibility and financing issues
Concerns about the survival of the central convention center hotel occurred again in 2007. Hotel reservation conventions in Washington, DC, fell 13 percent in 2006 and are expected to fall another 24 percent in 2007 and 29 percent in 2008, questioning the need for a headquarters hotel. In Baltimore, Maryland, a central convention center hotel approved in 2006 failed to increase convention reservations. Furthermore, Gaylord Entertainment Company built a 2,000-room hotel and meeting complex at Gaylord National Resort & amp; The Convention Center is in Prince George's County, Maryland, just across the city line. The Gaylord complex, said Washington Post, is likely to attract businesses from the proposed D.C convention center hotel. Reviewing these developments, Heywood Sanders, a professor of public administration at the University of Texas at San Antonio concluded that "Placing in a hotel is not a guarantee that it will improve performance [Walter E. Washington Convention Center]." But others defend the need for a convention center hotel. Official convention center and William Hanbury, president and chief executive officer of the Washington Convention & amp; Tourism Corp. (a non-profit group that promotes conventions and tourism in the city), blaming the decline in bookings due to the lack of hotel headquarters. Hanbury estimates the loss of the convention business of $ 200 million. In addition, The Washington Post reports that hotel occupancy in the city is still so high that some hotels are willing to provide the significant tariff discount conventions they usually receive. This also ruined the booking of the convention center.
Other issues threaten to raise hotel costs and put questionable survival as well. The novelty is how many rooms should be set aside every night for business conventions. Marriott and its financial partner want less space dedicated to the convention business so that its operating margin will be higher. Marriott also wants to build some medium-sized meeting rooms, rather some large ballrooms. No agreement was reached on these issues in February 2007, despite several months of negotiations. However, both parties agree that the hotel underground section will include a 75,000 square foot (7,000 m 2 ) meeting center that will include at least one ballroom and several meeting rooms. The long negotiations, according to RLJ Development executives, lead to higher costs and could cause Marriott and its partners to demand more public money. Negotiations do not seem to hinder construction. Construction of the hotel is scheduled to begin in early 2010 in time for the opening end of 2011.
Despite the question of the need for hotels, private financing fell in February 2007. Marriott and RLJ Development announced that Quadrangle Development Corporation joins the project as a financing partner for the hotel, which costs down to $ 550 million. Although the city does not issue approval for gang closures, the preservation of historic buildings, excavations up to 80 feet (24 m) underground, or zoning changes, the addition of private equity investment in the hotel is considered a positive sign.
Request more public funds
Not only did the existing financial transactions fall apart in 2008, but project costs increased. When developers ask for additional public financing, the city's debt cap begins to play a role in the negotiations.
In February 2007, RLJ Development officials warned that excessive delays in approving projects led to higher costs, and could lead Marriott and its partners to seek additional public funding. City CFO Natwar Gandhi warned in June 2007 that the project risked breaking the city's voluntary debt limit of 12 percent of total spending. On March 23, 2007, The Washington Post reported that the city would not offer additional additional Marriott tax financing for the project.
Marriott requested additional public financing in early September 2007. Facility costs have risen to $ 750 million, and a deteriorating economic climate makes credit less available. Marriott and RLJ Development say that, without additional public funds, they will not make a profit at the hotel. In response, board member Jack Evans (long supporting the hotel) suggested that the city cancel the project.
The final construction agreement
To save the project, Marriott agreed to reduce the size of the hotel. Shortly after the request for public funding, the District asked Marriott to cut facility costs by reducing the number of rooms to about 1,000. Marriott agreed to build only 1,150 rooms, and to thwart underground ballrooms and meeting rooms (saving about $ 100 million). Marriott and the city also settled their dispute over the space set aside for the convention business. This issue has reached conclusions since early 2007, when Mayor Fenty gave Marriott a take-it-or-leave-it offer to book 80 percent of the rooms for the convention center, as long as the convention center business was booked three years earlier. Marriott agreed to set aside 80 percent by September.
Concession by Marriott works. On September 24, 2007, Marriott, WCSA, and the city signed an agreement to jointly finance 1,150 hotel rooms.
Design jobs
Marriott released details about the hotel's ongoing design efforts in October 2008, more than a year after the structural specifications were approved by the city. The company said the convention's headquarters will make a breakthrough in 2009 and open in 2012. Marriott plans the hotel has six restaurants, five on the street level. This first-floor restaurant will include traditional restaurants, "concept" restaurants, cafes, sports bars and upscale liquor bars. Marriott submitted his plan to the D.C. zonation commission. for approval in November 2008.
The Marriott Marquis' design was submitted to the National Capital Planning Commission at the end of 2008. The design outlined a 14-story hotel, 1,000,000 square feet (93,000 m 2 ) with glass and steel facades. The facade of the historic 1916 Pipefitters building will be incorporated into the facade. The design required digging 100 feet (30 m) underground to build 1,000 parking spaces and two levels of space that can be used to accommodate 100,000 square feet (9,300m 2 ) of meeting rooms and spaces returned to the project). The plan also called for a tunnel under 9th Street NW to connect the hotel and convention center. The commission, which has the authority of approval for development, reported positive on Feb. 4. In the same month, WCSA announced an upcoming $ 187 million bond underwriter ($ 134 million will be used for the hotel).
Third financing agreement
The collapse of personal financing
As the recession deepens and the debt crisis worsens, hotel developers are asking for more public funding. But in July 2008, Gandhi city CFO repeated its warning since June 2007 that the city will break its debt limit by doing so. The city has committed to public funding to rebuild the Southwest coast, mixed-use O Street Market project, and purchase Skyland Shopping Center, and Gandhi warns that funding may need to be diverted from this project and other projects or cities will be left with only $ 122 million to spend on development and infrastructure between 2008 and 2014. Marriott tries to calm the city's fears by saying it has not been nearing the capital markets to seek private financing, and will not do so until at least April 2009.
Private financing for hotels collapsed in June 2009. RLJ Development exited the project sometime between September 2007 and June 2009, but Marriott added Capstone Development (led by former Marriott executives) as a new financing partner. However, Marriott, Capstone, and Quadrangle Development were unable to find the funds needed to begin construction. In an effort to save the project, on May 29, WCSA authorized the sale of $ 750 million in bonds to pay for the hotel. To issue these bonds, WCSA requires the approval of the city council. But with the city facing a $ 800 million budget deficit in fiscal 2010 and a $ 1 billion deficit in 2011, the agreement seems unlikely.
The city council began to consider in June 2009 whether an additional $ 100 million in city financing could convince lenders or investors to join the project. On June 7, Capstone said it had $ 135 million in equity, but required $ 300 million in loans for equities to be made. In mid-June, the city council considered transferring funds from seven development projects supported by other cities to fund the hotel, as the council refused to violate the city's debt limit. But several unnamed city council members, The Washington Post reported, were unwilling for the city to take a larger equity interest in the hotel after spending $ 700 million to build a new National Park in March 2006.
Third financing package
On June 17, 2009, the city council and WCSA reached agreement on a new financing plan made by city CFO, Natwar Gandhi. Under the plan, the city will lend Marriott $ 80 million in return for Marriott, Capstone, and Quadrangle increasing their equity contribution to $ 320 million from $ 135 million. To earn additional equity money, ING Clarion Real Estate Investment is added as a new partner in the project. Higher equity participation means Marriott no longer needs to seek private loans as part of the deal - which means construction can go forward without the long delay that will occur when looking for bank loans. The city's total contribution is $ 267 million ($ 135 million in equity financing, $ 80 million in loans, and $ 52 million in refinancing of WCSA bonds), all of which must be raised by the WCSA joint-bonds.
D.C City Council voted unanimously on June 29, 2009, supporting a new financing package. The deal was revised somewhat from the 17 June agreement. The city agreed to issue bonds worth $ 225 million (down from $ 267 million) to provide Marriott $ 159 million in equity financing (an increase of $ 135 million). The TIF revenue from the hotel project itself will pay $ 135 million in equity financing, while another $ 24 million in equity will come from other TIF sources of income in the city. The new wrinkle in the plan is that WCSA will donate a $ 25 million loan (paid over 25 years) as well as a one-time $ 22 million grant to build the hotel. The city also agrees to eliminate the requirement that a parking garage be built near the hotel.
The June 29 financing agreement passed the second and final ballot by the council on July 14, 2009. A $ 2 million training program (to be paid by bond issuance) was added to the issue of municipal bonds. The money collected pays the construction contractor to train unemployed city workers in various skilled construction jobs while the hotel is built. Marriott officials said that, with financing finally in place, a breakthrough would occur in late 2010 and the hotel opened 42 months later.
JBG Cos suit.
Initiation of lawsuit
The construction of Marriott Marquis was postponed on September 4, 2009. The subsidiary of JBG Cos., Wardman Investor LLC, filed a notice to the Municipal Contract Control Board in early 2009 to request that the entire project be set aside to be "unauthorized single source procurement". JBG Cos. Argued that the original proposal requires that the hotel be built on private land and financed with personal money. JBG did not submit a proposal because it can not meet this requirement. Furthermore, the city negotiates only with Marriott, abolishes private investment requirements, adds $ 272 million in public financing, and gives Marriott an "unusually profitable" rental. JBG believes that these changes alter the project requirements to be issued for a public bid again. The appeals panel said in July 2009 that JBG Cos had no position to protest the award for never bidding on a job. Even if the company did indeed exist, the appellate council said, they lost the right to protest after the council passed a law removing the project from a regular contract process in 2006.
JBG Cos motive to file a lawsuit may not be to follow the construction of the convention headquarters hotel, however. The Washington Business Journal, citing unnamed business sources, said the lawsuit was really fueled by a dispute between JBG Cos. And Marriott about changing a portion of Marriott Wardman Park (which JBG and other company, CIM Group, purchased from Marriott in 2005) became condominiums.
The lawsuit continued until the fall of 2009 and until 2010. DC Attorney General asked the court to drop the lawsuit on October 11, but the court refused to do so on Nov. 18. City requested reconsideration of its motion on 1 December. , but the court refused to do so on January 6, 2010.
Counter-suits
Marriott opposes JBG Cos. On January 14, 2010, JBG Cos accused. About the torturous disorder in his contractual relationship. To support his claim, Marriott told the court that officials of JBG Cos. Had threatened Marriott with a convention center lawsuit if not renegotiating the Wardman Park deal. The lawsuit significantly delayed project financing. No bonds were issued in mid-January 2010, and there are signs that ING Clarion may be stepping down from the project in case of additional delay. In an attempt to break the deadlock, Board member Jack Evans (former real estate lawyer) tries to mediate the dispute. On January 21, WCSA filed a lawsuit against JBG Cos for a torturous assault as well. The city followed suit with claims of another distorted disruption on February 18.
On March 29, 2010, D.C. High Court Judge Natalia Combs Greene provided partial summary assessments and motions to be dismissed to Marriott, city, and WCSA. Some of the out-of-court settlements have been reached by those who gave JBG Cos. Some limited ability to move forward on condo projects, but the treaty now seems unnecessary given a court decision. Public officials are pleased with the court's verdict, and believe the convention's headquarters project will move forward quickly. The amended order can be seen here. City officials say groundbreaking at the hotel will occur in May or June 2010, and WCSA officials say construction bonds could be brought to market within 60 to 75 days.
Resolution lawsuit
But in June 2010 there was still no agreement on JBG Cos's lawsuit. All parties have suspended litigation against each other three weeks prior to the decision of the district court to give negotiation a chance. But unnamed legal sources told the Washington Business Journal that JBG Cos. Still can appeal the decision of the district court, which stopped the conversation. With no visible resolution, the city said on June 3 that it would resume litigation within two days if the deal does not arrive. No resolution was reached, and the litigation resumed on 8 June.
The parties in various lawsuits settled their legal dispute on July 1, 2010. The agreement allowed the construction to proceed at the convention headquarters hotel, but otherwise the provisions were not disclosed. The agreement impedes legal appeal by all parties.
The legal dispute has delayed construction at the convention headquarters hotel with another nine months. To get the project moving again, WCSA said it would release a $ 22 million grant to Marriott and its partners in late August 2010 so that the preparation of the land could start immediately.
Construction of hotel
WCSA bonds reached the market in November 2010. Bond issues include $ 66.5 million of bonds facility bond recovery facility Build US Bonds (BAB) tax-exempt, $ 90 million tax recovery zone bonds economic development bonds, and $ 20.1 million of BAB's direct-bond payments - all of which went to fund the convention center of the hotel. Other $ 71.8 million tax bills refinance existing WCSA debt.
The land was damaged to Marriott Marquis Washington, DC on November 10, 2010. Officials announced that the four-star hotel will open in spring 2014. Construction is expected to last a year longer than usual because deep excavations are needed for underground levels and tunnels connecting with the center convention. The cost of the structure is estimated at $ 520 million.
The business climate for Marriott Marquis Washington, DC increased dramatically after the ground was damaged. On May 3, 2011, the hotel received its first convention business when the United States Army Association agreed to take up space in hotels for 2014, 2015 and 2016. In August 2012, the hotel has 15 contracts for approximately 210,000 bedrooms up to 2021. On in September 2011, Marriott announced it and Capstone Development will build Courtyard by Marriott and Residence Inn by Marriott on its Marriott property just north of Marriott Marquis. Together, the hotel will provide 500 rooms. Marriott requested a TIF fund of $ 35 million from the city for a $ 172 million project, but the city (which is close to its borrowing limit) said "does not entertain the new TIF app right now." In June 2012, Marriott signed a $ 210 million contract to operate four hotels owned by Gaylord Entertainment. The agreement gives Marriott control over the Gaylord Resort Hotel in National Harbor, helping to remove the hotel as a competitor to Washington Marriott Marquis (or at least mitigate its competitive impact). In addition, PKF Hospitality Research reported in July 2012 that demand for hotel rooms in Washington, D.C., is projected to exceed supply by 2016, even with the addition of Marriott Marquis Washington, DC and planned hotels and under other constructions.
Marriott Marquis Washington, DC began to rise above the ground in August 2012, in the midst of its construction schedule. Although engineers still have 15 feet (4.6 m) to dig, most of the foundations and ballroom in the basement and meeting room space are completed. (Officials say the hotel should dig a total of 90 feet (27 m) underground). Construction officials say a platform will be built in a classroom that will support sustainable underground construction as well as construction on it. Marriott was given permission to place 17 mobile trailers on unused land north of the construction site in November 2012. The trailer serves as a temporary office for construction foremen and leaders. An opening date of May 1, 2014, has been set.
And Nadeau, the hotel's general manager (hired on 21 March 2013) told the Washington Business Journal in mid-April 2013 that the hotel is on track for reservations and opened on time. The hotel also reports on the annual meeting of the American Academy of Family Physicians (6,500 total attendees) for October 2014, Family, Career and Public Figure (5,000 total attendees) for July 2015, and American Dental Association (total 40,000 participants) for November 2015.
Washington Marriott Marquis opened on May 1, 2014. The establishment of the fifth and final dinners of hotels, specialty restaurants, has not been opened. Marriott officials say that the tenants will be announced later in 2014, and the restaurant may not be open until late 2014 or early 2015.
Design suits
The hotel's general contractor, Hensel Phelps Construction Co., alleged that Cooper Carry Inc., the architect of the hotel's hotel, failed to design the property structure. Hensel Phelps identifies 20 areas of concern, which include below-grade structures, ceiling material, door hardware, channel work, gutter and downspout systems for incoming canopies, smoke control systems, staircases, wall-mounted rooms, windows and more. Hensel Phelps also claims that Cooper Carry failed to do its work in a timely manner (forcing the contractor to miss the deadline) and violating the standard "standard of care" obligations. Both parties were involved in mediation, but could not reach agreement. In October 2015, Hensel Phelps filed a $ 8.5 million lawsuit against Cooper Carry in federal court.
Done hotel - description
This four-star hotel has 14 floors above the ground, and four floors below.
The outside of the Neomodern structure is glass and steel. It also incorporates the historic former facade facade of the Union Federation of Workers/Pipefitters Union Building, a Chicago brick school and limestone building built in 1916.
Interior
The hotel has an atrium with glass skylights, and a 56ft (17m) lobby statue. Approximately 18,000 square feet (1,700 m 2 ) space in the mezzanine will ignore the atrium. Six hospitality suites are on the mezzanine level as well. Other facilities include a concierge level lounge with outdoor terrace, and a two-storey 8,000 square foot (740 m 2 ) fitness center. The hotel features 1,175 guest rooms, including 46 suites. 2 very large suites 'Presidential Suite' and 6 are 'medium-sized' Vice Presidential Suites.
Five restaurants are located on the ground floor, and include: Anthem, a casual dining restaurant; The Dignitary, upscale room; High Speed, high-tech sports bar; Lobby Bar; specialty restaurants; and a traditional restaurant with 2 private dining rooms.
Four levels of meetings are located underground.
- The Meeting Level 1, just below the ground floor, contains a small conference room.
- The Meeting Level 2 below contains the Marquis Ballroom, a 30,000 square foot (2,800 m 2 ) room with no 22-foot (6.7 m) column and ceiling. The ballroom foyer receives natural light from the atrium above. The large delivery area in the back allows large exhibits and cars to access the ballroom. The Walter E. Washington Convention Center is also accessible from this level through underground concourse.
- Meeting Level 3 contains additional boardroom space, even though this room is larger than Meeting Level 1.
- Meeting Level 4 contains two ballrooms, Independence Ballroom and Liberty Ballroom. Each ballroom has 10,800 square feet (1,000m 2 ) of column free space, and a ceiling of 20 feet (6.1 m). Many additional small meeting rooms are also located at this level.
Marriott Marquis Washington, DC has 400 parking spaces in its underground parking garage.
Ratings
In March 2017, Cvent, an event management company, ranked to the Washington Marriott Marquis 72nd in the US annual list of best hotels for meetings.
Employee
Nearly 900 Marriott Marquis, Washington DC employees voted during their orientation, in the selection of checkbook neutrality, to join Local 25, UNITE Here representing hotel workers in the metropolitan area of ​​Washington, DC.
References
External links
Official website
Source of the article : Wikipedia
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