The Residence Inn by Marriott in downtown Hartford’s Richardson Building will undergo its first major renovation, after a dozen years in operation.
But the owners of the 136-year-old, brownstone building are looking to the city for help with the project. They are highlighting the benefits of the renovations — expected to cost millions of dollars and begin next year — as they seek to reduce their annual payments to the city for leasing the land under the Main Street building.
The Residence Inn by Marriott in Hartford’s historic Richardson Building (center) will undergo a multimillion dollar renovation. Photo by Kenneth R. Gosselin/kgosselin@courant.com
Ever since the mid-1990s, the owners, including Marc S. Levine and the Waterford Group, have paid to the city about 10 percent of gross annual revenues generated from the inn and the other retail and office space in the building. The city council is being asked to cut that to 5.8 percent.
This year, the payment amounted to about $500,000, according to city economic development officials.
The owners say the terms of the lease date from stronger economic times, and the level of payments have made it difficult to set aside funds for the mandatory renovations. Periodic renovations are required by Marriott for a property to continue carrying its name.
In addition to its ownership stake, Waterford, led by its chairman and chief executive Len Wolman, manages the building and is in charge of the inn’s renovations. The 100-suite inn caters to business travelers and those who are relocating.
Lisa Beers, a spokeswoman for Waterford, said the renovations will include such items as carpeting, flooring, wall vinyl and paint.
“With the unique layout and design of the Richardson Building and its historic nature, the renovation is more complex and intricate,” Beers told me. “The finished result will be a renewed and modern property, allowing the Marriott Residence Inn to remain competitive in the market by offering outstanding service, accommodations and amenities.”
Hotels have struggled in the recession but are starting to see an uptick in business.
Brown, Thomson & Co. was a major tenant in the Richardson Building in the heyday of Hartford’s downtown department stores. Photo by Kenneth R. Gosselin/kgosselin@courant.com
“The hotel is doing very OK from an occupancy perspective,” Levine told me, noting that the inn has an average year-round occupancy of about 80-percent. But the combination of the required renovations and the payment to city made it difficult to set aside money for the renovations, Levine said.
For the city, the request also comes at a tough time as it wrestles with a tight budget.
Wayne Benjamin, the city’s director of economic development, said an analysis showed the percentage paid by the Richardson partnership far exceeded other downtown properties with similar lease arrangements. For instance, the Trumbull on the Park apartments pay 4.5 percent of gross revenues.
At 5.8 percent, the payment this year would have amounted to about $300,000.
The city will reap smaller payments at least initially, Benjamin said. But the city wants the partners to continue investing in property upgrades that hopefully will boost future business at the residence inn and increase payments to the city, Benjamin said.
If approved, the lease agreement would also would be extended to 2073, from its current 2048 with two, ten-year renewals.
Henry Hobson Richardson, a well-known 19th-century architect, designed the building at 942 Main St. The Main Street facade is striking with its Romanesque brownstone, featuring three layers of arches that grow smaller and more numernous with each horizontal level. When department stores dominated this area of Main Street, the building was home to Brown, Thomson & Co.
In the 1990s, the building underwent a five-year, $13.5 million transformation, with the residence inn opening in 2000, replacing former apartments.
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15 Responses to Major Renovations Planned For Hartford Residence Inn
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My property tax increased 30% this year – Why does this wealthy group need a tax cut?
Speaking of hotel’s, why doesnt someone write an article regarding the Goodwin Hotel and the reason why it’s vacant? The property sits on city land and the city is forcing any potential operator to open a unionized hotel. Because of this self-serving nonsense, the city’s most beautiful property sits vacant for years.
Hoffa – I suppose the irony of you criticizing unions is intended with your given anonymous handle. If you don’t like unions, then tell your boss you want to work seven days a week, you don’t want time-and-a-half overtime and you certainly will work Labor Day. Oh, and your kids will be more than happy to work, too. Unions are not perfect, any more than any other human institution. But unionized workers help raise the working and livings standards for us all.
This has more to do with whether someone would want to open a new hotel in a market that is far from ideal with union labor. The obvious answer is no. Its not for me a slam against unions, but an unreasonable requirement for this specific property
My reply was to Ken,unions have their place but it’s not every place.
And pump millions of dollars into Democratic war chests every year … even better are the public sector unions whose salaries are paid by the taxpayer and whose dues are automatically deducted from their checks. It’s just perfect, isn’t it. Unless you are a taxpayer and not supporting Democratic war chests.
So Ken, you believe as a business owner you should be forced to worrk with unions? If you were in the industry you would know one of the reasons why the Goodwin closed was because of the costs related to unionized labor. It’s not 1927 anymore Ken. You’re out of it. There are laws to protect workers in 2012. Meanwhile, the Goodwin sits vacant for years so politicians can pander to their voters. You should know better.
You’re taking this much to far.
It’s not tax reduction Jory. It’s a lease payment reduction. The city owns the land.
You hit the nail on the head Rob… and people need to know about this nonsense.
As far as the lease agreement goes, a reduction seems like a reasonable request, especially given the terms of other lease agreements.
Ken, unions time has come and gone. Yes, they did serve a very important purpose, but strong labor laws have changed things, and they are no longer needed. Particularly in the public sector, as this leads to corruption, as FDR noted. Oh, and I am a member of a public sector union, but have no choice in the matter.
The last few paragraphs of this article describe how union power hurts our economy: http://newsroom.ucla.edu/portal/ucla/FDR-s-Policies-Prolonged-Depression-5409.aspx
Tony,
Have you heard of Scott Walkler in Wisconsin. How long will it take to abolish all labor laws in GOP controlled states, if unions ceased to exist ? Probably not even a week.
Also, see this link:
http://www.salon.com/2009/02/02/the_new_deal_worked/
The reality is if they do not get the reduction they will be unable to fund the renovations required to continue flying the Marriott flag. This would likely result in Waterford having to find another franchise to link up with, go independent (kiss of death), or close down the hotel.
Across the river, the Plaza Hotel is on the verge of changing banners yet again (it’s been a Ramada, Sheraton, Plaza, and now ?????). The Plaza has seen much better days and the changing of franchises has not helped.
Just like any other business, if you have an ownership group willing to invest in the property (and the city for that matter) the city should do what it can to help make it happen. Let’s face it, it’s difficult to justify investing money in the City of Hartford as it is.
boo hoo for the fat cats. This is how the fat cats get fat. Give me Give me Give me. I’m sure the Wolmans are part of the 1% so I say too bad. Oh wait is that DANNY BOY I hear at the door with more of OUT TAX DOLLARS.