Bonds OK'd for hotel, parking garage in Ogden
By SCOTT SCHWEBKE
Standard-Examiner staff email@example.com
OGDEN -- State officials agreed Wednesday to allocate to the city about $11.3 million in tax-exempt bonds for construction of a hotel and underground parking garage at The Junction.
The city's administration and Redevelopment Agency requested the allocation from the Utah Department of Community and Culture.
Bonds will come from unused federal stimulus funds awarded to other Utah municipalities.
The RDA is slated to receive $3 million in bonds to build a 250-stall city-owned public parking garage under the proposed hotel that may be built by Sandy-based Sequoia Development Inc. at the northwest corner of 23rd Street and Washington Boulevard.
The bonds for the parking garage would be repaid by the RDA over 23 years through a special assessment tax levied against the hotel that would have 125 to 140 upscale rooms, said Terrence Bride, the city's assistant director of business development.
In addition, the RDA has been allocated $8.3 million in stimulus bond funds to help finance construction of the hotel, which would likely cost about $18.5 million to build.
Sequoia Development would be responsible for repaying the bonds over 23 years and funding the balance of the construction costs, said Bride.
Stimulus fund bonds awarded to Weber County totaling about $615,000 also will be allocated to the hotel project on behalf of Sequoia, he said.