GSG Hospitality Group recently conducted a hotel feasibility study in the Pine City, MN area, and is pleased to announce that site plans have been approved by the Pine City Council to build a three-story, Grandstay Hotel with 51 rooms and a pool. The purpose of this market study was to provide a demographic and economic overview of the Pine City area. This research is powerful for its ability to impact investment in the local economy through the creation of new jobs, diversification, and investment within the entire Pine City region.
Developers are currently in the financing phase of the project with Jerry Buseman of Pine City Hotel Investors. Buseman said that the developers hope to start construction in 2018. Pine City Mayor Carl Pederson said that the city is in regular communication with the project developers, who are now working to get financing for construction. Once the developers can show they have established their own private financing for the project and submit their application to the city, they will be approaching the Pine City Economic Development Authority about taking out a revolving loan, and will ask the city council for tax increment financing for the site.
City officials were looking for a way to replace a hotel that they were losing, and having a hotel feasibility study was key in attracting developers for the community.
Learn more about GSG Hospitality Group and how a hotel feasibility study can attract developers for your area.