SYRACUSE — Hotel Syracuse owner Ed Riley remembers a meeting he once had with Syracuse Common Councilor Jean Kessner about the hotel’s renovation project. Kessner had provided a thought that still sticks with Riley. “She said ‘this hotel is where Syracuse keeps its memories,’ and it’s the truth,” Riley recalled. The renovated […]
SYRACUSE — Hotel Syracuse owner Ed Riley remembers a meeting he once had with Syracuse Common Councilor Jean Kessner about the hotel’s renovation project.
Kessner had provided a thought that still sticks with Riley.
“She said ‘this hotel is where Syracuse keeps its memories,’ and it’s the truth,” Riley recalled.
The renovated Hotel Syracuse is scheduled to reopen in Spring 2016 with 261 guest rooms and a whole new name.
The downtown landmark, which opened in 1924, will become the Marriott Downtown Syracuse when crews finish the renovation work.
Riley has announced the hotel will become part of Marriott International’s (NASDAQ: MAR) flagship Marriott Hotels brand.
He spoke during a news conference held June 25 at the Hotel Syracuse.
“We’re very pleased and proud to announce that the Hotel Syracuse … brand is going to retire,” Riley said.
Riley also noted that he has a “long relationship” with Marriott, having been a company employee and having renovated “a lot of Marriott hotels.”
“They looked at what was going on in this community and what’s happening to downtown and it was an easy sell,” he said.
Marriott is a name “recognized worldwide” for business travel and has “the best group-booking organization in the business,” Riley said in response to a follow up email inquiry from CNYBJ.
Riley also announced that Fairfax, Virginia–based Crescent Resorts & Hotels will operate the hotel.
The Marriott Downtown Syracuse will integrate the landmark’s historical components with modern amenities, according to a news release distributed at the event.
In addition to “stylish” guestrooms and “high tech” meeting spaces, the hotel will offer restaurants, shops, and other social spaces, the news release added.
The renovated structure will also include a “museum” area that focuses on the building’s history. Some historic signage may also remain on the building’s exterior, he added in the email response.
Syracuse–based Hayner Hoyt Corp. is the general contractor and construction manager for the hotel renovation and restoration.
The project’s construction costs are expected to total $57 million, Riley said in the email.
Crews are restoring the historic suites, and the facility will have a “completely modernized and new” imperial ball room, Riley said at the June 25 announcement.
“But we’re keeping the character of this hotel … what you see around you, the fabric of the lobby, the fabric of the Persian terrace and of the 10th floor, will all remain and be restored,” he said.
M&T Bank loan
Allen Naples, regional president of M&T Bank, recalls a meeting he had with Riley in mid-2014 when Riley presented his “grandiose” idea of restoring the Hotel Syracuse.
Naples was among the speakers at the June 25 announcement.
“When he left, I said you have to be kidding me. There’s no way we’re doing this deal,” Naples said in his remarks.
A loan officer reviewed the project proposal and indicated M&T Bank could “do this deal,” Naples recalled.
The bank has been working on it for six months, he added.
M&T’s senior loan committee on June 24 heard the presentation. The next day, an M&T Bank banner that said it is financing the project, was on display inside the
Hotel Syracuse.
“This is probably one of the largest financing projects in the city of Syracuse in a long time,” said Naples.
M&T Bank is providing a construction loan for the project, Riley said in his email response. He declined to reveal the amount of the loan.
The financing also involves several state grants, including a nearly $15 million convention-center hotel grant.
The state has also awarded a grant of $3.6 million through Gov. Cuomo’s regional economic-development council initiative.
Crescent to operate
Michael George, founder, president & CEO of Crescent Hotels & Resorts, says he’s a Watertown native who has an “emotional attachment” to the Hotel Syracuse.
“From an investment perspective, the downtown area is underserviced for a high quality, full-service hotel,” says George.
Crescent will serve as the day-to-day operator of the Marriott Downtown Syracuse, with its focus on service, sales, and community relations. George describes Crescent as a “large operator” of Marriott properties.
“We forged our relationship with [Riley] about six months ago,” says George.
When asked how many people Crescent would employ to service the Marriott Downtown Syracuse, George replied, “We’re still finalizing the business model.”
Crescent currently operates more than 100 hotels and resorts in 36 U.S. states and four Canadian provinces, according to the news release.