HomeMy WebLinkAbout4.3a Hotel Study Update Memo
TO: Economic Development Authority
Jennifer Levitt, EDA Executive Director
FROM: Gretchen Larson, Economic Development Director
DATE: November 4, 2022
RE: Hotel Market Study
The Team at HVS has provided city staff with preliminary numbers regarding the hotel market
study which was authorized by the board at their August 9 meeting.
During the months of September and October, HVS completed numerous interviews in the
market with demand generators including area businesses, sports associations, and event
facilities. In addition, they spoke with economic development departments in surrounding
municipalities, as well as numerous competitive lodging facilities.
Tanya Pierson with HVS met with the City Administrator and staff on November 2 to review the
preliminary findings. Based on their demand generator interviews and pattern of business
development, they found that the city could support a midscale or upper midscale limited-
service, chain-affiliated, 90-unit-hotel.
It was their recommendation that the US-10/US-61 corridor at 80th Street be the primary area of
focus for development because of the favorable visibility, easy access, and proximity to area
businesses and retail establishments in Cottage Grove. Tanya also shared that, as the city
continues to grow and add jobs, new homes, and retailers to our base, that The Shoppes at
Cottage View and Jamaica Avenue areas would also be good locations for future hotels.
Tanya anticipates that the final report will be ready the week of November 7.