TERRE HAUTE — A second corporation is seeking approval for a lower-interest federal tax-exempt bond to build a new hotel on Terre Haute’s east side.
Timothy J. Dora, co-owner of Dora Brothers Hospitality Corp., and member and registered agent for Sycamore Hotel Partners LLC, on Tuesday asked the Vigo County Board of Commissioners how the limited liability corporation could obtain a bond allocation. Dora is to make a formal presentation on the hotel project next week before commissioners.
The corporation plans to construct a four-story, 83-room Holiday Inn Express & Suites near the junction of Interstate 70 and Indiana 46 in the Sycamore Terrace Shopping Center, near the new Terre Haute Convention and Visitors Bureau.
The project would cost at least $10 million, Dora said Tuesday.
“The project still has to have a sound economic plan, but [the federal tax-exempt bond] allows us to get less expensive financing,” Dora said. “Interest rates would be lower through a federal tax credit. We are trying to do this as quickly as possible and hope to open [next] fall.
“The problem with commercial interest rates right now is that if you can find a bank that will [loan funds], which we did, you need an appraisal that supports that value. Appraisals right now are so tough because with comparable sales, there are a lot of distressed properties that are dragging sales numbers down and the capitalization of discount rates is real high right now,” Dora said.
The hotel will be owned by Sycamore Hotel Partners LLC and managed by Dora Hotel Co. under a license agreement with the InterContinental Hotel Group. Dora Hotel Co. currently operates both the Hilton Garden Inn and Candlewood Suites in downtown Terre Haute.
Commissioners this month awarded $3.54 million in recovery zone economic development bonds to help finance and construct a 153,600-square-foot warehouse/distribution center at 4780 E. Margaret Ave. for Clabber Girl, a producer of baking powder and other food goods.
That was half of the amount the county can issue under the federal Recovery Zone Economic Development Bonds program.
The bonds are part of program under the federal Stimulus Act, passed in February, which increased the borrowing capacity of local governments through a $25 billion allocation to issue two types of bonds. The act provided $15 billion for Recovery Zone Facility Bonds and $10 billion for Recovery Zone Economic Development Bonds. The allocations go to each state and to each county in a state. The U.S. Department of Treasury released the allocation amounts June 12 and all bonds must be issued by Dec. 31, 2010.
The recovery economic development bonds are issued to private businesses and do not affect the bonding capacity of the county. A private business that receives the bonds is responsible for paying them off.
The recovery zone facility bonds allow a county to obtain lower borrowing costs for economic development projects, including public infrastructure, public facilities, job training and educational programs.
Both bonds required commissioners to establish a “recovery zone,” identified as an area with high unemployment or general economic distress. Commissioners designated the entire county as a recovery zone earlier this month.
Howard Greninger can be reached at (812) 231-4204 or howard.greninger@tribstar.com
Business
Related Photos
-
Joseph C. Garza
Discussion
Dora seeks bond to build Holiday Inn Express & Suites
Corporation plans to erect new 83-room, $10 million hotel near I-70 and Indiana 46
- Business
-
-
Vectren receives best-in-class safety award
At its annual Operations Conference in San Francisco, Calif., the American Gas Association recognized Vectren as one of only 18 energy delivery companies in the U.S. that achieved outstanding records for employee safety in 2011.
-
Program to retrain 99,000 unemployed veterans
Unemployed veterans between the ages of 35 and 60 can now apply for new benefits to cover education costs for up to one year through a joint U.S. Department of Veterans Affairs and U.S. Department of Labor program that focuses on retraining 99,000 veterans for high-demand jobs.
-
Sycamore Terrace reaches 98 percent occupancy
Sycamore Terrace Apartments, a Watermark Residential multifamily community in Terre Haute, has achieved 98 percent occupancy.
-
EYE ON THE PIE: What if the poor can’t get to their jobs, the sick to doctors?
What do you care if the Hammond buses stop running?
-
Retirement party
A surprise retirement party for Daniel Wunderlich, chemistry teacher at Terre Haute South Vigo. is planned from 1 to 4 p.m. June 9 at the South cafeteria.
-
BRIEFLY: May 27, 2012
A number of state parks across Indiana have immediate seasonal needs that they are struggling to fill.
-
SOCIAL SECURITY: Serving wounded warriors, survivors of fallen
It’s an American tradition to pay tribute to the men and women of the Armed Forces each Memorial Day — especially honoring those who have made the ultimate sacrifice while serving our country.
- RESTAURANT INSPECTIONS: May 21, 2012
-
EYE ON THE PIE: Use to be close tie between output, employment
Crusty Crawford joined our lunch table with a pronouncement. “We’ve always assumed a close tie between output and employment,” he said. No one responded.
-
Employer opinions sought on students
A joint venture between Ready Indiana and the Indiana Department of Education is seeking employer input that will impact how Hoosier high school students are equipped for the workforce.
-
Carlisle prison marks 20th anniversary
2012 marks the 20th year of service for the Wabash Valley Correctional Facility, going on line with its first offenders Dec. 10, 1992.
-
SOCIAL SECURITY: Why young workers should care about Social Security
Summer will be here before we know it.
-
BUSINESS CENTS: Does your staff understand pricing?
Many companies feel as though their staff will follow instructions and implement price strategies as instructed.
-
Valley Child Development Center receives grant
Valley Child Development Center has been awarded a $5,000 grant from the Terre Haute Day Nursery Foundation through the Wabash Valley Community Foundation.
-
Exec offers advice on becoming startup entrepreneur
Sam Clemens, chief product officer of Cambridge, Mass., startup company Insight Squared, gave Rose-Hulman Institute of Technology students insight on how to develop a startup business.
-
Newsmakers: May 20, 2012
Leland Phipps, family practice physician at Paris Community Hospital/Family Medical Center, has been re-elected to membership with the American Academy of Family Physicians.
-
Alumna to serve as VP for Rose-Hulman Ventures
Rose-Hulman Institute of Technology alumna Elizabeth M. Hagerman is returning to her alma mater to serve as vice president for Rose-Hulman Ventures, the institute’s successful innovation space that has spawned careers and entrepreneurial enterprises throughout Indiana.
-
Summer Sidewalk Sale set
Marshall Main Street’s Downtown Summer Sidewalk Sale is planned from 8 a.m. to 2 p.m. June 9.
-
Oil drops to lowest level in 6 months
The price of oil dropped to a six-month low Tuesday on concern that economic uncertainty in Europe could hurt demand for crude.
-
Adidas initiative: ISU students develop business improvement process at facility
As Indiana State University students cruised Interstate 70 on Friday afternoons from Terre Haute to Indianapolis, they were looking forward to reaching their destination.
-
BUSINESS BRIEFLY: May 13, 2012
An evening of networking and education for Clark, Crawford and Edgar counties regarding branding, marketing and tourism development opportunities is planned for 6:30 p.m. May 21 at the Heath Museum on the square in downtown Robinson.
-
Wendy’s partners with Riley Hospital
For just $2, customers at participating Wendy’s restaurants in the Evansville/Terre Haute area can get free Jr. Frosty desserts through Dec. 31 while supporting Riley Hospital for Children at Indiana University Health.
-
Marshall Chamber to stage annual golf outing
The Marshall (Ill.) Chamber of Commerce invites golfers to its annual golf outing scheduled for June 8 at the Marshall Golf Course.
-
ON THE MOVE: May 13, 2012
McKenze Rogers has joined Williams Randall as an account supervisor.
-
Seminar teaches seniors to fight fraud
The Federal Trade Commission estimates that 25 million Americans are victims of consumer fraud each year.
-
EYE ON THE PIE: Economic tools for consumers, workers, business owners, officials
My friend is a carpenter. He has two heavy boxes of tools and several other containers with stuff.
-
SOCIAL SECURITY: Potential Medicare savings for mom
Given the current economic climate, buying a nice gift for Mother’s Day may be more difficult than in years past.
-
‘Best Places to Work’ honored at banquet
Companies raising the bar with their workplace practices were recognized on May 3 at the Indiana Roof Ballroom by the Indiana Chamber of Commerce.
-
NEWSMAKERS: May 13, 2012
Susi Willis, CPA and partner in Larsson Woodyard & Henson, LLP, was recently presented with the Distinguished Service Award by the Indiana CPA Society at its annual CPA Celebration at the Indiana Roof Ballroom in Indianapolis.
-
Indiana Rail Road wins Family-Friendly Award
The Indiana Rail Road Co. has won the Terre Haute Chamber of Commerce’s “Family-Friendly Business Award” for 2012 based on the company’s highly successful employee wellness program.
- More Business Headlines
-
Vectren receives best-in-class safety award
Raw Video: Activists Allege Massacre in Syria
NJ Man Charged With Murder in Death of Patz
Biden Addresses West Point Graduating Class
Astronauts Enter World's 1st Private Supply Ship
Today in History
Support, Fun for Kids of Fallen Soldiers at Camp
Shell Readies Arctic Drill Ship
50 Years Later, Underground Fire Still Burning
Fugitive Penguin Caught, Returned to Aquarium
Jimmy Carter Endorses Egypt's Election Results
Raw Video: Unruly Passenger Restrained in Miami
Light Show Transforms Sydney Opera House
Dozens of Children Killed in New Syria Attack
Passenger Restrained on Flight to Miami Arrested
Raw Video: Soldiers Plant Flags at Arlington
Calif.'s Coronado Named Nation's Best Beach
Police: Gunman Has Hostages in Realty Office
Dragon Arrives at Space Station in Historic 1st
Beer Here!: An Historic Exhibit
CEO Salaries Become Sore Issue in Labor Disputes
Wild weather for Memorial Day weekend
Inspiration for the class of 2012
Colorado College Student Shot While Trespassing
Will Smith & Josh Brolin on "Men in Black 3"
80-Year-Old Skydiver's Nightmare Jump
JWoww Sizzles in a Black Bikini
Sliders on the Grill
Cruise ship crunch
Backstage With Beyonce
Ultimate Creamy Potato Salad
Pope's Personal Butler Under Arrest
Jenny McCarthy's New Man
Tyler's Classic Coleslaw
Britney Spears Under X Factor Fire
Flesh-Eating Bacteria Victim Hits Milestone
Hurricanes and Heat Waves Across America
Kristen Stewart Is Red Hot
Shark Attacks Australian Fishing Boat
Bradley out for playoffs
Kayaker Survives Trip Over Washington Waterfall
