Warren Snipes, who is handling leasing, says there should be no lack of tenant interest for several reasons. The popular Downtown office market has a vacancy rate of only 3.1%.
"We also have great access off the inner loop highway system around Charlotte and we're only four blocks from the heart of the city," he says.
The new Westin hotel will include 1,600 parking spaces. Office rates are also expected to be lower than normal because land costs are already paid for, Snipes says.
The building can accommodate a variety of users ranging from class A to high-tech. It could attract either several tenants or a single user, says Snipes. No rates have been set. Brokers say typical Downtown rates for Class A range from about $22.50 per sf to $28 per sf.
Construction on the convention center hotel began last October and is scheduled to be completed in October 2002. "It really meets a need meeting planners told us we had to fill," Tom Flynn, assistant to the city manager, tells GlobeSt.com.
The hotel allows the convention center, which has 310,000 sf of meeting space, to broaden its appeal to conventioneers, Flynn says. The hotel will also have an impact on Downtown. Flynn says it will generate or spin off $1 million in new tax revenues.
Portman, which was developed over 20,000 hotel rooms, includes among its projects three of the four major convention hotels in Atlanta. It has also built other hotels with sites set aside for offices.
This is Portman's first project in Charlotte, but others may follow. "We'd like to do more. We like to think this gives us a foot in the door," says LaGrone.
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