FAIRFAX, VA-George Mason University is taking the advice of a task force to convert the on campus hotel, the Mason Inn Conference Center and Hotel, into a residential, dining and instructional facility. The project will begin work in June with an anticipated delivery date of August 2014.

The hotel has been operating since 2010 but activity there has been unable to support the operating expenses and debt service, according to a memo distributed publicly by the university's president Ángel Cabrera. The hotel posted an annual financial loss of more than $2 million, he said. The university partnered with Crestline Hotels and Resorts in managing the hotel.

Meanwhile, the university's demand for on-campus residences and dining, classroom, meeting, and office spaces has gotten to the point where it exceeds its current capacity, Cabrera said.

Until the Mason Inn closes for renovations in June, it will continue to operate as a full-service hotel and conference center. Also, under the new campus master plan, George Mason is scouting for "financially sustainable facilities" that include conference space, meeting rooms and possibly even overnight accommodations.

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Erika Morphy

Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.