In the intervening years, plans were announced for a condominiumconversion, which failed to materialize. Maharishi RoyalResidences, LLC sold the Blackstone Hotel in December for $18million. The hotel will reopen as a Marriott Renaissance property,with a restored lobby, ballroom and second-story restaurantoverlooking Grant Park. The restaurant will be built in space thatwas part of the old Mayfair Theatre.

Because of its landmark status, the Blackstone Hotel projectwill include restoring the terra cotta facade and mansard roof. Thecity is committing up to $18 million in tax increment financing toSage Hospitality Resources as an incentive.

McHugh has established itself in the hotel sector, building orrenovating 4,000 rooms during the last 10 years. Its projectsinclude the Crowne Plaza Chicago Metro, Hotel 71, Hotel Monaco andHotel Allegro.