H6. 3rd and Main Proposal RecommendationCITY 7tial�
KALISPELL
Report To: Doug Russell, City Manager
Development Services
201 1 st Avenue East -
Kalispell, Montana 5991
Phone (406) 758-7940
From: Jarod Nygren, Development Services Director
Subject: 3rd & Main Proposal Recommendation
Meeting Date: September 7, 2021
BACKGROUND: On December 4, 2017, the Kalispell City Council adopted The Downtown
Plan as an amendment to the City of Kalispell Growth Policy Plan -It 2035 by Resolution No. 5846.
The Downtown Plan addresses a number of key topics that affect the future growth and
development of Downtown Kalispell. The Downtown Plan specifically addresses the need to re-
develop City owned surface parking lots into more beneficial uses to eliminate blight and increase
tax base.
In coordination with the Urban Renewal Agency, Business Improvement District, Revolving Loan
Fund Committee, Architectural Review Committee and the Kalispell Parking Commission, staff
drafted, and Council approved the 3rd and Main Request for Proposals (RFP). The RFP was
advertised beginning in December 2020 with proposals due July 9, 2021. A Selection Committee
was assembled with a representative from each of the groups listed above. One proposal identified
as "The Charles Hotel" was received and reviewed by the Selection Committee according to the
RFP criteria.
The Charles Hotel is proposed as a five story 79-unit boutique hotel with a full -service restaurant,
rooftop bar and valet parking service at 3rd and Main. A parking garage is proposed to address
parking needs of the development. The parking garage is proposed for location at the City's
Eagle's parking lot located at the southeast corner of First Street West and First Avenue West.
The Selection Committee held an interview with the developer on August 1 lth. Subsequently the
Committee voted unanimously to recommend The Charles Hotel development for City Council to
negotiate a Developer's Agreement detailing roles and responsibilities of all parties. If the Council
chooses to move forward with the proposal, the Selection Committee noted the following areas
yet to be addressed:
• Third party market/feasibility study of proposed development;
• Public communication plan to keep community up to date on proj ect's community benefits,
progress, timelines, etc.;
• Development of parking structure plan with Developer's Agreement;
• Contact with developer references.
RECOMMENDATION: It is recommended that Council make a motion to direct staff
to negotiate with Montana Hotel Dev Partners, LLC on The Charles Hotel proposal for the 3rd
and Main development to be detailed in a Developer's Agreement.
FISCAL EFFECTS: No fiscal effects at this time.
ALTERNATIVES: Do not proceed with negotiations for The Charles Hotel development
proposal for the 3rd & Main site.
ATTACHMENTS: The Charles Hotel proposal with parking update
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07/09/21
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3RD ST WEST & MAIN ST
DEVELOPMENT PROPOSAL
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TABLE OF CONTENTS
1. GENERAL INFORMATION
01
2. CONCEPT TO DEVELOP THE SITE 09
3. QUALIFICATIONS, EXPERIENCE, & FINANCIALS 27
4. BUSINESS PLAN
31
5. LEVEL OF RETURN & BENEFIT TO THE CITY 33
GENERAL INFORMATION
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COVER LETTER
RE: REQUEST FOR PROPOSALS FOR
THE PRIVATE DEVELOPMENT OF THE
CITY OWNED 3RD & MAIN LOT
07/09/2021
Attn: City Clerk
201 1st Ave E
Kalispell, MT 59901
MONTANA HOTEL DEV
PARTNERS, LLC
208 1st Ave E
Kalispell, MT59901
CONTACT
Bill Goldberg
EMAIL
bill@compassmt.net
Thank you for the opportunity to review and submit a proposal to the city of
Kalispell to develop the lot located at 3rd Street West and Main Street. Herein is
a comprehensive vision for the development as well as private financing, project
construction, and operations and management details.
Compass Construction, Bond Partners, and Alchemy have joined forces as Montana
Hotel Dev Partners, LLC. Together, our combined knowledge and experience
will produce an exemplary product for the city and Flathead Valley communities.
Our proposal is the collective result of multifaceted visionaries who are excited
to participate in the redevelopment of the Kalispell downtown area. We have
spent hours casting the vision, fine-tuning details, and preparing this proposal.
We are pleased to present a proposal backed with our intricate knowledge of
the hospitality industry, real estate development, and construction management.
We value and are fully committed to assisting the city in achieving its mission to
promote economic growth, improve area employment opportunities, and expand
its tax base.
Thank you for your thoughtful consideration. Should you need any clarifications,
please do not hesitate to reach out to us.
Sincerely,
Montana Hotel Dev Partners, LLC
ROBERT WATSON
BILL GOLDBERG
R
JOHN COSTA
Partner
Partner
Partner
GENERAL INFORMATION 1
NORTHWEST MONTANA
HISTORICAL SOCIETY
Buffalo Block, Kalispell
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EXECUTIVE
SUMMARY
Montana Hotel Dev Partners, LLC, comprises many
years of experience in construction, development,
and hospitality management. Together with local
lead Bill Goldberg of Compass Construction, our
regional presence and familiarity is enhanced by
national knowledge and experience. We worked
alongside Montana -based firm A&E Design,
leveraging their skills and talent in architecture,
interior design, branding, and environmental
graphics to craft a vision for this project. We feel
the resulting proposed development best suits
the needs of downtown Kalispell and its market.
This property shares an important touchstone
with the founder of Kalispell. Charles Conrad and
his herd of bison (the namesake of "Buffalo Hill"
on many local places) have specific relevance
to the site. Mr. Conrad owned Conrad National
With respect to the history of this site, our
proposed project is comprised of three primary
elements. The main component of our proposal
focuses on the development of an 86,000-square-
foot boutique hotel on the property at the
northwest corner of 3rd Street West and Main
Street. Amenities on the building's first floor and
portions of the second engage both the public
and hotel guests. A three -meal restaurant, bar,
lounge, retail pads, and conference space will
appeal to both audiences. We envision a total
transformation of this site from a quiet surface
parking lot to a busy Main Street attraction.
The second component of the project is a
parking structure to accommodate increased
parking demand. We propose to construct this
on what is currently the city -owned Eagles lot
Bank where the south wing of Glacier Bank stands at the intersection of 1st Avenue West and 1st
today. His daughter Alice used the proceeds
from the sale of her father's herd to construct the
building that previously occupied this lot. The
original mixed -use Buffalo Block building stood
handsomely in 1910 before becoming a grocery
store. Later, it became Hillstead Department Store,
with predominately medical offices on the floor
above. Sadly, the historic building was destroyed
by a fire in September of 1976.
Street West. The proposed structure is sized to
accommodate displaced city -leased parking for
both lots in addition to the hotel and restaurant
parking demands. With attention to good urban
design principles, we also propose additional
retail or restaurant space on the street -facing
main floor of this structure.
GENERAL INFORMATION 3
The final component of our proposal is a collection
of support office spaces. These spaces will house
staff that can support hotel operations off site. This
will likely be a tenant improvement project within
an existing building near the hotel site.
We worked with Northwest Montana History
Museum to resurface historic photos of the
original Buffalo Block building. We referenced
design cues from the precedent building's form,
openings, mass, and structural rhythm of the
fagade, but chose not to replicate them. Rather,
we reimagined these distinctive characteristics
to support the historic context while designing a
concept reflective of the current era. Naming the
building the Buffalo Block while branding the hotel
as The Charles Hotel honors the site's rich history
and brings the project full circle.
Our team shares enthusiasm for the future
of Kalispell. That excitement resonated so
significantly with our investor group that they have
already committed capital for the entire project.
We are eager to see the results of the vision
seeded approximately a decade ago in the city.
As the work on projects like the Kalispell Bypass,
Parkline Trail, Glacier Rail Park, Downtown Plan,
and TIF Districts materialize, we are inspired to
invest our time, money, expertise, and ideas.
The Charles Hotel at the Buffalo Block advances
the city's and region's positive trajectory by
attracting people to this area. Having already
secured a liquor license, we see our restaurant
and bar creating additional dining and social
options downtown. Hotel guests support
extended hours for downtown business and
activities. As a result, the money they spend in
restaurants, bars, and retail will benefit the local
economy.
The people employed by our local firms know
that Kalispell is a special place. These stakeholders
have long been invested in downtown and
visualizing redevelopment opportunities.
The downtown plan, Kalispell Urban Renewal
Plan, and Kalispell Growth Policy have been
adopted and continue to be implemented every
day. Traffic and parking studies support the vision
and reinforce functionality of an urban core in an
otherwise rural corner of Montana. The city center
sees new businesses coming to market while
gaining walkability, placemaking, and population
density —all positive economic drivers.
We have detailed opportunities within our plan
to host local artists and makers in our building.
Not only will these creatives provide an authentic
experience for our guests, but they will also enjoy
a growing market share and regional recognition.
From the hotel check -in environment to our dining
experience, we intend to curate a feel that is
authentic to the Flathead Valley while establishing
an environment of casual sophistication. Through
our restaurant and bar, we plan to support local
farms and ranches as well as businesses that
produce desserts and spirits. These strategies
further support the local economy and reflect
the place we love. From plated meals to an iconic
corner building, we hope to enhance the qualities
that already make Kalispell great.
Our team is inspired and motivated by the
upcoming redevelopment of the core area and
what that means for downtown. We envision more
TIF revenue, better parking in the downtown TIF,
and ultimately more synergy within the district.
Preserving the past while infusing forward -thinking
elements creates a place we can continue to
love and enjoy; one that stays true to its history
while taking advantage of present and future
potential. Our plan shares a pathway to that
vision, becoming a reality in the third quarter of
2023. Thank you for this incredible opportunity
to partner with the city of Kalispell to propel the
region toward a bright future ahead.
4 THE CHARLES HOTEL
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CITY OF Kalispell
Development Services Department
V & Main Development RFP
Attachment A
AFFIDAVIT
Assurances
The undersigned proposer hereby submits to the City of Kalispell (City) the enclosed proposal
based upon all terms and conditions set forth in the City's Request for Proposals (RFP) and
referenced materials. Proposer further specifically agrees hereby to provide services in the
manner set forth in the proposal submitted by the proposer.
The undersigned proposer acknowledges and states, under penalty of perjury, as follows:
1. The City is relying on proposer's submitted information and the representation that proposer
has the capability to successfully undertake and complete the responsibilities and obligations
submitted in its proposal and in the resulting agreement.
2. The City has the right to make any further inquiry it deems appropriate to substantiate or
supplement information supplied by proposer.
3. Proposer has read and fully understands all the provisions and conditions set forth in the RFP
documents, upon which its proposal is based.
4. The forms and information requested in the RFP are complete and made part of theproposal.
The City is not responsible for any proposer errors or omissions.
5. This proposal may be withdrawn by requesting such withdrawal in writing at any time prior to
the proposal deadline but may not be withdrawn after such date and time.
6. The City reserves the right to reject any and all proposals and to accept the proposal that, in
its judgment, will provide the best quality development to the City.
7. This proposal is valid for a minimum of 120 days after the RFP proposal submission
deadline.
8. All costs incurred by proposer in connection with this proposal shall be borne solely by
proposer. Under no circumstances shall the City be responsible for any costs associated with
proposer's proposal or the RFP process.
9. Proposer has not in any manner, directly or indirectly, conspired with any person or party to
unfairly compete or compromise the competitive nature of the RFP process.
10. The contents of this proposal have not been communicated by the undersigned nor by any
employee or agent to any other person engaged in this type of business prior to the official
opening of this proposal.
11. To the best of the proposer's knowledge, the information provided in its proposal is true and
correct and neither the undersigned proposer nor any partner, corporate officer or managing
employee have ever been convicted of a felony or a crime involving moral turpitude.
GENERAL INFORMATION 5
CITY OF Kalispell
Development Services Department
V & Main Development RFP
Legal Status
1. Proposer intends to operate the business as (check one):
Corporation* () Non -Profit 501(c)(3) ( )
Government Entity () Partnership* ( )
Limited Liability Corporation* (x) Sole Proprietorship ( )
Other (Please describe: ) ( )
Identify the members, if LLC, partners, if a partnership, or officers, if a corporation, of the
proposer (add lines as needed).
Members: Bill Goldberg, John Costa, Robert Watson
For the purpose of this RFP, addenda and exhibits, any questions regarding the principals are
referring to the officers, partners and members as disclosed.
2. In the past 10 years, have you personally, or any business with which you have been involved,
been declared bankrupt, filed a petition in any bankruptcy court, filed for protection from
creditors in bankruptcy court, or had involuntary proceedings filed in bankruptcy court? If
"Yes," provide date, court jurisdiction, case name, case number, amount of liabilities, amount
of assets and the status of each occurrence. Yes ( ) No ( x )
3. Has the proposer or any of its principals or its principal's affiliates been declared to be in
default under any obligation to or contract with the City? If "Yes," please provide details
concerning the nature of the default, including the City contract number. Yes ( ) No( x )
4. Are there any pending liens, claims or litigation in excess of $500,000 involving proposer, or
any corporation or other entity that has, directly or indirectly, a controlling interest in the
proposer, or any subsidiary of the proposer or other entity in which the proposer has a
controlling interest or any of the proposer's principals, officers, or directors? If "Yes,"provide
detailed information regarding complaints. Yes ( ) No ( x )
5. Has the proposer, or any corporation or other entity that has, directly or indirectly, a controlling
interest in the proposer, or any subsidiary of the proposer or other entity in which the proposer
has a controlling interest or any of the proposer's principals, officers, ordirectors, been
involved in any lawsuits in the past 10 years? If "Yes," provide list.
Yes( ) No (x )
6. Has the proposer's or any of its principals or its principals' affiliate's contracts been terminated
prior to their expiration terms, voluntarily or involuntarily, within the last 10 years?If "Yes,"
provide name, location, and date of the contract(s). Yes ( ) No ( x )
7. Has the proposer, or any corporation or other entity that has, directly or indirectly, a
6 THE CHARLES HOTEL
CITY OF Kalispell
Development Services Department
3rd & Main Development RFP
controlling interest in the proposer, or any subsidiary of the proposer or other entity in which
the proposer has a controlling interest or any of the proposer's principals, officers, ordirectors
ever been barred from bidding on federal, state, or local government contracts? If "Yes,"
provide the current status of such suspension or debarment proceedings.
Yes( ) No
References
Proposer shall furnish the names and contact information for 3 clients for whom the proposer is furnishing
or has furnished services similar to those described in this RFP. Do not list City of Kalispell employees or
officials as references.
1. Company and Reference Name:
Telephone and E-Mail:
Multiple Companies, John Hagg
702-540-1001 hagg.john@icloud.com
2. Company and Reference Name:
Telephone and E-Mail:
MKay Enterprises, Steven Kay
415-254-1201 sk@stevenkay.com
3. Company and Reference Name:
Telephone and E-Mail:
Rim Rock Development, Micah Linton
386-867-1403 micah@rimrockcompanies.com
Signature(s)
Billy Goldberg
Proposer's Legal Name':
'The proposer must be authorized to transact business in Montana and be in good standing prior to
submitting this proposal.
Printed Name of Authorized Representative*: Billy Goldberg
Title:
Member
Business Mailing Address: 208 1st Ave E, Kalispell, MT 59901
Telephone
Address: 406-253-0544 bill@compassmt.net
Signature:
Proposal m be signed by an
Name of Joint Venture Partner (if a
Printed Name of Authorized Representative*
Title:
to contractually bind the proposer.
Business Mailing Address:
Telephone and Email Address:
Signature:
*Proposal must be signed by an individual authorized to contractually bind the joint venture partner.
NOTARIZED
Signed and sworn bef a me this - day c
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Notary Signature;
My Commission Expires: H 2-02-
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Affix Seal: 0SEAL
AMY L MCGE%EE
NOTARY PU 9 L1C to r the
Slote of montaoa
Residing at Columtia Falls, Ll awa
My Commission E:PireS
Fe mazy 14, 2024
GENERAL INFORMATION 7
CITY OF Kalispell
Community & Economic Development Department
3rd & Main DEVELOPMENT RFP
Attachment B
DEVELOPMENT DETAILS
Name of proposer: Montana Hotel Dev Partners, LLC
Each proposer must complete and submit this form with its proposal.
• Gross Square Footage (SF): 86,100 gross SF
• Commercial SF: 14,054 SF retail and restaurant
• Office SF: 2,860 SF
• Residential SF: N/A
• Other SF (detail): 42,852 SF hotel rooms, 26,334 space and SF other (see program)
Number of Residential Units: N/A
Number of Units by Residential Type:
o Rental Units:
o For Sale Units:
Number of Units by Market Type:
o Affordable:
o Workforce:
o Market Rate:
• Number of Hotel Rooms: 79
• Number of Parking Spaces: 95 hotel + 58 public + 12 shared (165 total)
• Number of Buildings: (1) one on subject property + (1) one parking structure on nearby property
• Building Height(s) (feet and stories): 5 stories + basement 1 58'-10" abv grade
• Estimated Number of Construction Jobs: 600
• Estimated Number of Permanent Jobs: 135 FTE
• Estimated Value of Project: $47M hotel total project cost / $34M construction cost
8 THE CHARLES HOTEL
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NARRATIVE
THE CHARLES HOTEL AT THE BUFFALO BLOCK
The new 86,000-square-foot hotel at the corner of 3rd Street West and Main Street will
engage area visitors and locals alike, bolstering the downtown Kalispell restaurant and
entertainment scene. This property has high visibility, attracting passersby both on foot
and driving through the area. Guests will receive truly generous service, rooted in the
philosophy of saying "yes." Our philosophy is reflected from within; we are internally
committed to providing a fun and supportive work environment for staff. Their satisfaction
translates to personal, welcoming touches extending through the boutique hotel to its
world -class restaurant and business event center.
Our passion for downtown Kalispell is real and we want to be a part of it. We feel strongly
that a successful project on this property is one which incorporates regionally appropriate
and historically relevant materials within the Main Street Historic District. Additionally,
attention to scale, rhythm, and the fabric of downtown is critical to being authentic to the
site in its redevelopment. By translating our passion to this project, we know future guests
will want to visit and see all that downtown Kalispell and the Flathead Valley have to offer.
BRAND STATEMENT
Storytelling is a critical component of the plan for The Charles Hotel development. In every
corner, we emphasize the property's historic attributes and infuse it with contemporary
craftsmanship. By sourcing regional materials and curating collections from local artisans,
we will tell Kalispell's story while writing the pages of a new one. This highly stylized
boutique hotel is designed to be both casual and sophisticated, luxurious yet approachable.
We will maintain downtown's hallmark rustic characteristics, ensuring the space is
reminiscent of Montana and the western lifestyle. By enhancing its authentic environment
with outstanding amenities and unrivaled service, our development will elevate the modern
hospitality experience.
FOOD & BEVERAGE
Unlike other hotel groups that outsource food and beverage programs to celebrity chefs
and restaurateurs, we remain committed to developing strong community partners. By
operating a standalone, three -meal restaurant, our independent operations will attract
outstanding culinary talent inspired by local culture and products. This approach elevates
the level of hospitality service and amenities in the region, resulting in a unique and
authentic hotel brand. Our team has already secured a liquor license for use in the bar
and restaurant, lounge, and potential rooftop patio.
The Charles Hotel will be operated by an entity owned and controlled by BOND Partners.
The partners have 50-plus years managing properties with Four Seasons Hotels and Resorts,
Kimpton Hotels and Restaurants, W Hotels, and Auberge Resorts.
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CONCEPT TO DEVELOP THE SITE 9
With hotel security personnel already on staff,
we plan to assist the city of Kalispell in the effort
to monitor the parking structure's security. Using
CCTV cameras and routine patrol, we will ensure
that our guests and all parking structure users
are safe within the facilities and while traveling
between the hotel and parking structure.
PARKING
The paradox of parking is widely recognized
and debated in downtown Kalispell. Some feel
there is not enough parking available, and there
is an expectation to be able to park adjacent
to downtown destinations. The downtown plan
highlights 18 acres of parking in this core district.
The downtown TIF is starved for fund generation
through renewal and redevelopment of surface
parking to achieve greater densities, placemaking,
and good urban design.
Initially, the design team reflected on the
requirement of the RFP to provide parking for the
proposed building users per the Kalispell Zoning
Ordinance, which exempts the requirement of
providing any off-street parking in the
downtown core.
Several early parking concepts were explored
site parking strategy; one that ideally included
developing a parking structure on a nearby site
that is currently being used as surface parking.
Potential neighboring sites that met the criteria
for an off -site parking structure were both
privately and publicly owned property. Possible
locations included the private surface parking lot
south of the KM Building; the private Valley Bank
surface parking lot south of 3rd Street West; a
combination of privately held Valley Bank & Glacier
Bank surface parking lots along 1st Avenue West;
the city owned Eagles lot at 1st Street West and
1st Avenue West; and the private First Interstate
Bank surface parking lot at West Center Street
and 1st Avenue West. Assessment of these
properties concluded that few were appropriately
sized for an efficient parking structure. Some
options were complicated by their ownership.
Other sites were nicely sized and proportioned
but located outside of the downtown TIF district.
In the end, the city owned Eagles lot proved to
be the most likely candidate to support such
development.
In designing a parking solution for this proposal,
we reviewed the hotel's uses per the letter of the
Minimum Parking Standards by Use as outlined
at the surface. These options ranged from in the Kalispell Zoning Ordinance. Our design
providing no off-street parking to limiting the
size of the building. We considered a single
level of parking below grade, which amounted
to a meek, two-story building on the subject
property. That concept would be limited to
office and retail due to the parking requirements
of dining establishments and housing. Other
iterations included mixing construction types
and proportions on the subject property. We
geared the front portion toward the public and
human scale, while the rear site lent itself to
parking and navigating vehicles. These poor
and underwhelming solutions pointed to an off -
team determined that the hotel would require 171
parking stalls. We also quantified the combined
existing surface parking stalls at both the Eagles
lot and Valley Bank lot, identifying 105. We then
began determining the actual utilization of both
the required hotel parking and city owned lots.
A significant piece of the hotel requirement was
dedicated to parking employees and potential
conference -goers. Desiring not to overbuild the
parking structure, the developer has committed
to leasing local surface spaces for hotel employees
and making valet accommodations at other
existing surface parking on private lots in the
event of large conferences.
10 THE CHARLES HOTEL
With regard to the city owned lots, we reviewed
the 2015 parking study. Applying an average
peak utilization rate to the two public lots, we
determined that their actual use is a combined
70 stalls. Our team also considered the shared
use of parking between downtown businesspeople
and hotel guests. From 8 am-5 pm weekdays,
downtown professionals typically lease spaces
in the public lots. Since nights and weekends are
dominated by hotel guests, we desired to convey
an efficient parking scheme by sharing parking
between the symbiotic user groups. This strategy
would further reduce the total parking counts of
the targeted parking structure design. Considering
that the hotel has factored valet parking and
security monitoring into the operational pro forma,
the strategy appears achievable.
Our team engaged the city Planning Department
to comment on the logic behind this parking
scheme. We received feedback that while the
utilization approach is actually a preferred
method of determining an entity's parking needs,
the shared use approach in our scheme is not
without some flaw. Overlapping evening hours
between hotel check -in and end -of -business as
well as morning hours between beginning of the
business day and hotel check-out were potentially
problematic. In the end, the 165-stall count that is
achieved on this lot by developing a three -level
parking structure strikes the right balance for the
project. The parking breakdown of the projected
165 stalls includes: 95 dedicated hotel stalls, 58
public stalls for either leasing or hourly parking,
and 12 spaces shared between both
user groups.
At the time of submission of this RFP response,
we see the pro forma and construction cost of
the hotel at the 3rd and Main site improving the
taxable value of the property within the downtown
TIF. Our projections show that bonding against
the future TIF funds offsets the construction costs
of the parking structure in approximately nine
years of increased taxable value. Additionally, the
development team has engaged Glacier Bank
and First Interstate Bank as parties that could
potentially commit to additional parking spaces
within the structure. We have conducted some
informal parking utilization studies of their lots
in addition to engaging in initial conversations
with their corporate leadership. If either or both
banks commit, it would effectively increase the
size of the parking structure. Further, those parties
would be responsible for their portion of the
total construction costs. The prospect of their
inclusion in the parking structure is exciting for the
community as it begins to paint the future vision of
redeveloping their current surface parking, which
will only further increase the downtown TIF and
the vitality of Kalispell's core district.
CONCEPT TO DEVELOP THE SITE 11
BUILDING
SITE / ROOF PLAN
■
LANDSCAPE DESIGN
Our project team feels strongly about the benefits
While our proposed concept is early in design,
of trees and landscaping design on a project site.
we plan to present to Architectural Review
Vegetation helps reduce noise, soften edges, filter
Committee, Site Review, and Urban Forestry for
light, introduce color, indicate seasonal changes,
their comment and feedback. Well before that
tie the architecture to its place, and influences
the natural ecosystem by introducing small
wildlife. Although landscaping provides many
benefits, an urban site with zero lot lines provides
limited options for introducing vegetation. This
makes any opportunity for street trees and other
plants that much more important in downtown.
time, we will work through the design to ensure
we have the appropriate species selection,
infrastructure, and other relevant details. We
plan to develop those items with the city urban
forester or arborist, parks and recreation, street
tree commission, public works, and Montana
Department of Transportation. We will engage a
12 THE CHARLES HOTEL
licensed landscape architect for the development
and completion of a landscape design and plan for
bid as well as to lead these design conversations.
The success of this landscaping project is rooted
in details and thoughtful planning. Design must
consider maintenance of plant material and the
surrounding surfaces; irrigation; size of planters;
plant species' resistance to de-icer; and the
ability for both street sweeping and leaf and snow
removal to commence regularly and easily. Our
renderings currently reflect a non -city standard
tree well and planter with an integrated bench.
These are preliminary design ideas as are the
locations shown in the site plan. We will work
through maintaining a sight triangle at the
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intersection in the final design. Further, continuing
traffic light and crossing operations as well as
coordinating with city street standard lighting
and planting patterns are primary considerations.
There is tremendous potential for Main Street in
the context of the Kalispell Bypass completion,
work on the Parkline Trail, and the various
opportunities and ideas shared in the Downtown
Plan, Urban Renewal Plan, and recent traffic
studies. A more walkable downtown with wider
sidewalks allowing dining to spill out of the
building will activate the street and extend
downtown activity. This plan benefits businesses
and the public as Kalispell becomes an even
greater destination.
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II 11 11 II II 11 1 II 1
II Il 11 II 11 II 1 11 1 II
11�11 111/111/ 1111 II
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NI
HOTEL FLOOR PLANS
■ LIVING ROOM
■ RESTAURANT & BAR I GAMING
■ RETAIL
■ EVENT SPACE
HOTEL ROOMS
3
a
a
0
■ FITNESS & MASSAGE
■ BACK OF HOUSE
CIRCULATION
■ OFF -SITE BACK OF HOUSE
EXISTING BUILDING
3RD STREET
MAIN FLOOR
EXISTING BUILDING
11IIIIIIIIII ROOM
I ROOM ol
OPEN TO
BELOW
- SECOND FLOOR -
u
EXISTING BUILDING
THIRD FLOOR
EXISTING BUILDING
-FOURTH FLOOR - N
O
CONCEPT TO DEVELOP THE SITE 15
HOTEL FLOOR PLANS
EXISTING BUILDING
- FIFTH FLOOR -
_ BASEMENT _ _ OFF -SITE
PROGRAM PROGRAM -
16 THE CHARLES HOTEL
PARKING STRUCTURE CONCEPT
LEVEL 1
1STST WEST
r STAIR
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----------------------- —
ADJACENT
BUILDING
----------------------------
SURFACE PARKING
2ND ST WEST
UPPER LEVELS
IA.
n
1; ADJACENT
BUILDING
-----------------------------
SURFACE PARKING
L
±257 1
ZONING FORMULA
FOR RE(ZD PARKING
MIN SIMPLE
142
QUANTITY OF
EXISTING CITY
STALLS
115
GUEST ROOMS 79
EAGLE LOT 69
O 1 1 CONFERENCE 25
F' 4
OF
C
of
RESTAURANT 20 VALLEY BANK LOT 46
W
o a
O BAR & CASINO 10
u7
RETAIL 3
u
REQUIRED STALLS ±177
3RD & MAIN ± 107
PUBLIC ± 70
PARKING STRUCTURE RETAIL 0
PROVIDED STALLS
BASEMENT, LEVEL 1, LEVEL 1.5
±54 STALLS
6800 SF RETAIL
EACH ADDITIONAL LEVEL
±74 STALLS
2.5 LEVELS
± 128 STALLS
3 LEVELS
± 165 STALLS
3.5 LEVELS
± 202 STALLS
4 LEVELS:
± 239 STALLS
4.5 LEVELS:
± 276 STALLS
5 LEVELS:
± 313 STALLS
�
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ADJACENT
BUILDING
±202�
AVG DAILY USE
GARAGE
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* reduction up to 5 % of total stall count permit-
ted in exchange for bike parking
AUGUST 19 2021 17
MATERIALS & COLOR SAMPLES
Historic photos of the original Buffalo Block were
consulted for simplified, historically accurate
details, such as corbeling, archways, and prismatic
glass. The building massing and structural rhythm
draws inspiration from the historic structure,
while subtle details imply that its architecture
is of a current era. The massing has two major
divisions: a lower base that pays homage to
historic structures, and a modern element
stepped back above the datum established by
the adjacent historic buildings. The lower element
uses historically appropriate brick masonry, while
the upper form uses contemporary metal panel.
Blackened steel and wood detailing tie the two
forms together. This division in massing honors
the height of the existing main street buildings
while allowing for increased density in a growing
urban environment.
of the two forms, the lower breaks down into
tripartite building form with an open ground floor
with large glazed windows, punched openings
on the middle floors, and a unique top cornice
that creates a simplified interpretation of historic
brick details common on Main Street. The fagade
creates a historically sensitive rhythm with multiple
openings to Main Street and 3rd Street West. These
encourage pedestrian interactions with shops, a
restaurant and bar, and The Charles Hotel lobby.
Multiple canopies also help create a human scale
experience from the sidewalk, further contributing
to rhythm and building breakdown. The upper
mass has recessed balconies and touches the sky
with a graceful cap with wood soffits.
18 THE CHARLES HOTEL
LOCAL ARTISTS
Local artists have a certain bent to the history and culture of a place. Their work
reimagines or retells an otherwise lost story about how this place came to be
and why it is still cherished.
1
hK
CONTEXT
The project site sits at the west edge of the Main Street Historic District, which gained most of its
architectural and historical importance during a period of significance between 1891 and 1960. The entire
block across Main Street consists of buildings contributing to the Main Street Historic District, as do the
two directly north of the project site, and the Whipps Block diagonally across the intersection. The Knight
& Twining Block, directly to the north of the site, is on the National Historic Registry. We see that paying
respect to this building's scale and stature at Main Street is vital even as buildings downtown are designed
with more than two stories in mind.
CONCEPT TO DEVELOP THE SITE 19
SIGNAGE
I i'E FLAN
OCHARLES HOTEL BLADE SIGN
OCHARLES HOTEL AWNING SIGN
OBUFFALO BLOCK WALL SIGN
TBUILDING RELIEF DETAILS
3 0 "
BUILDING RELIEF DETAILS T
4 TOTAL LOCATIONS
0" 0"
1/4„ 1/4„
+ 3/4" 1/4"
+ 1 /2"
1/4"
+1/2"
+3/4"
0"
1/4"
CROSS CROSS
SECTION SECTION
DETAIL
20 THE CHARLES HOTEL
DRAWING OF SIGNS
ALL SIGNAGE DESIGN IS PRELIMINARY AND SUBJECT TO CITY
REVIEW FOR CONFORMANCE WITH THE SIGN ORDINANCE
BLADE SIGN O
TOTAL SQUARE FOOTAGE PER SIDE: 14.5
PLAN ELEVATION ELEVATION ELEVATION
VIEW VIEW LEFT VIEW VIEW RIGHT
(Yj
7"r19" I
THE
HOTEL
AWNING SIGN O
TOTAL SQUARE FOOTAGE: 28.8
21'7"
WALL SIGN O
TOTAL SQUARE FOOTAGE PER SIDE: 7.7 (2 TOTAL SIGNS)
BUFFALO BL
110"
u
OPAQUE ACRYLIC
INTERIOR LED ILLUMINATED ACRYLIC FACES
POWDERCOATED BLACK STEEL INSET
1/2" STAND OFFS
WHITE POWDERCOATED 2" METAL RETURN
INTERIOR LED ILLUMINATED ACRYLIC FACE
STEEL MOUNTS
O 6.
BRUSHED ALUMINUM
DIRECT LAG BOLT MOUNTING TO BRICK
1" STAND OFF FROM WALL
,1
CONCEPT TO DEVELOP THE SITE 21
SIGNAGE MATERIALS & COLOR SAMPLES
Signage materials are intended to be complimentary to the architecture
and fabric of historic downtown Kalispell. We intend them to be thoughtful
with refinement and subtlety, yet effective for wayfinding and user interface,
through appropriate detailing, material, mounting, lighting, and scale.
CA41DICK. BLOCK
22 THE CHARLES HOTEL
TIMELINE
202j 2023
CONCEPT TO DEVELOP THE SITE 23
CONSTRUCTION
MITIGATION PLAN
SITE PLAN
4
S
SIDEWALK NOTIFICATION SIGN
VEHICULAR NOTIFICATION SIGN
POTENTIAL STAGING AREA
& CONTRACTOR PARKING
CONSTRUCTION FENCING / GATE
LBASEMENT EVACUATION
"//// LOADING ZONE
/X MAINTAIN PEDESTRIAN CROSSING
MMAINTAIN TRAFFIC SIGNAL
TEMPORARY LOSS OF
PARALLEL PARKING
MAINTAIN SERVICE ACCESS
,IR 01►r1.1r
—
Building in urban areas often involves construction
challenges impacting city infrastructure and
patterns of the public. Compass Construction
understands potential pitfalls and is experienced
with addressing them in sites like the 3rd Street
West and Main Street lot. We have a long success
record working in urban environments like this in
and around Flathead Valley.
Communication and planning is key to overcoming
construction obstacles. Planning for construction
methods and mitigating impact on city
infrastructure and public traffic patterns starts
during building design. We will communicate
often with necessary parties at the city of
Kalispell Public Works Department and Montana
Department of Transportation. Proactive and
consistent communication will help us implement
24 THE CHARLES HOTEL
a game plan well in advance of construction
commencing. Only with early engagement can
we properly execute the plan while combating
expected logistics during construction. Compass
and the City of Kalispell can communicate the
adopted plan to stakeholders through flyers, social
media, and email. Additionally, we suggest that
Compass creates a website, maintained by our
public relations staff, to share project updates.
This PR person will also serve as the point of
contact for citizens and businesses to direct
questions and concerns.
Navigating a site with essentially no yard limits
the laydown and working space adjacent to
the new building. Considering pedestrian
diversion and protection at adjacent sidewalks
and nearby laydown space elsewhere in the city
will be crucial. Consequently, we preliminarily
contacted several downtown -area landowners
and considered our KM Building parking lot
for temporary material laydown and staging.
Even with additional space, it will be necessary
to strategically order and sequence material
deliveries to the construction site. This approach
will lessen the disruption on the 3rd & Main
intersection, but not entirely eliminate it.
There is still a need to create an effective, efficient
delivery zone at the project site. Closing a lane
of Highway 93 is an unlikely consideration, as this
solution would be the most disruptive to traffic.
Our best delivery opportunity is the westbound
lane of 3rd Street West. While it is possible this
delivery area will not entirely close a lane, it will
temporarily displace adjacent on -street parking.
Compass plans to coordinate closely with public
works for traffic control and proper signage to
clearly mark diverted lanes or parking. Signs
placed ahead of the nearby intersection will
prepare drivers for road modifications and alert
pedestrians on the sidewalks. However, we will
u
maintain pedestrian crossings and access to
neighboring businesses. Similarly, we need to
ensure the continuation of city services, deliveries,
and garbage pickup through the alleys.
Jobsite safety is one of the pillars of our company,
and Compass takes particular care when it comes
to pedestrian safety. We suggest small diversions
of pedestrian pattens in order to allow for working
space adjacent to the building construction.
In some cases, we strongly suggest providing
covered walkways built by Compass; they
may or may not temporarily impact some on -
street parking.
Compass influenced the building design by
limiting basement sizes at both 3rd & Main and
the parking structure site. This strategy alleviates
concerns about undermining existing neighboring
building foundations and eliminating sheet
piling at the back of sidewalk for more extensive
excavation. Completing basements quickly affords
workspace around the building perimeter and
material storage below the first elevated deck of
the building.
Construction sites frequently evolve to support
the trades and equipment necessary for each
phase. Tasks that deviate most from normal
day-to-day activity will be most disruptive to
traffic and existing patterns of behavior due to
the extra precautions during these instances.
However, with sewer in the alley, we anticipate
a common connection with limited disruption.
Storm also appears relatively straight -forward
with infrastructure in both the alley and 3rd
Street West. Dry utilities, such as power, gas, and
telecommunication, are all currently buried and
located in the alley as well. This condition makes
for easy service connections and more easily
hiding unsightly meters and services.
CONCEPT TO DEVELOP THE SITE 25
The domestic water and fire connections will prove to be the most challenging and
expensive. However, we may either tie into the water line in the northbound lanes of Main
Street or defer to extending the main from 1st Avenue West down 3rd Street West to the
project site. These are solutions we will need to discuss with public works and allow all
parties to weigh the options accordingly.
26 THE CHARLES HOTEL
PROPOSER'S QUALIFICATIONS, EXPERIENCE, & FINANCIAL CAPACITY
p�
KEY INDIVIDUALS
MONTANA HOTEL DEV PARTNERS
COMPASS - LEAD LOCAL CONTACT; WILL OVERSEE PROJECT MANAGEMENT & CONSTRUCTION
At Compass Construction, we are transforming
the Flathead Valley one construction project
at a time. Located in scenic Kalispell, Montana,
Compass has been a premier construction and
development firm since 2004. We specialize
in residential, multi -family, and commercial
construction.
Owner Bill Goldberg founded Compass after
years of experience in residential construction.
He consistently chased a vision for smart
development, growth, and the revitalization
of area communities. Over the past 17 years,
Bill's dream has expanded, and so has our team.
Collectively, we have extensive construction
experience and project management skills,
united under our purpose to grow, reach,
and be bold together.
Client satisfaction is paramount at Compass.
Values of integrity and professionalism are
fundamental to our work, and we strive
to embody them in every interaction and
project. We are attentive to detail, never take
shortcuts, and are committed to superior
quality and craftsmanship.
The outstanding service we provide is
evidenced by a multitude of projects
throughout the Flathead Valley. We work
within all types of construction projects and
have been instrumental in the rehabilitation of
multiple businesses, mixed -use projects, and
multi -family developments. Vibrant downtown
areas, including those in Kalispell, Whitefish,
and Columbia Falls, reflect the value our
service brings to local communities.
BILL GOLDBERG SETH SIMONSON AMY McGEHEE
Owner Project Manager Project Manager
BOND PARTNERS - HOTEL CONCEPT, DEVELOPMENT, AND OPERATIONS
BOND Partners is a San Diego -based, BOND Partners was created to exceed the
diversified hospitality and real estate
development company. We specialize in
developing, opening, and operating highly
serviced, uniquely stylized, architecturally
significant lifestyle hotels and residences,
destination restaurants and lounges, and
other mixed -use retail offerings.
BOND Partners is a lifestyle company with a
deliberate growth strategy, backed by a sound
business model and solid financial support.
ROBERT WATSON PAUL GUCCINI
CEO & President CFO
expectations of a highly sophisticated clientele
and to develop, own, operate, and asset
manage lifestyle hospitality assets. We prefer
to see the world for what it can be, rather than
for what it is. We admire trends but possess a
style of our own. We are always after that thing
that waits to be discovered, just beyond the
obvious and the well-known. We take pride
in our honesty, wit and more importantly, our
approachability.
u
QUALIFICATIONS, EXPERIENCE, & FINANCIAL 27
ALCHEMY DEVELOPMENT
Alchemy Development was founded under the precept of taking something ordinary and making it
extraordinary. This development will reflect Montana's culture and lifestyle in a community hub for libations
and conversations. The establishment and its owner, John Costa, embodies his motto: "Leave it better."
JOHN COSTA
Owner & CEO
DESIGN TEAM
A&E DESIGN
A&E Design is a multidisciplinary design firm with four offices in Montana (Billings, Bozeman,
Missoula, and Kalispell), as well as Seattle, Washington.
As a collection of innovators, we are united for a single purpose: to create impactful experiences
for our clients. We offer architecture, interior design, historic preservation, graphic design, and
construction administration in one comprehensive package. Together, we are a team of over 80
diversely talented professionals with a strong commitment to client satisfaction, quality design,
and improving the world around us.
CHRIS MARTISON SHANE JACOBS
Principal Project Manager
ABIGAIL KNAB
Environmental
Graphics
OTHER CONSULTANTS
KEN STONE
Procurement
Manager
LINCOLN MURPHY ELIZABETH LOCKWOOD
Project Architect Interior Designer
JON SEARS
Construction
Manager
Pending selection from the city of Kalispell, we have kept our design team limited to the
architectural, interior design, graphic design, and creative writing staff ofA&E Design for the
development of the concept design and content within this submittal. If selected, we will continue
to work with A&E Design through the remaining design phases, and they will solicit proposals from
local, qualified, licensed engineers and design consultants for a complete scope of design and permit
documents for both the hotel and the parking structure. They will intentionally team with consulting
firms with experience in these projects types, Kalispell, and sites in a downtown setting.
28 THE CHARLES HOTEL
EXPERIENCE
COMPASS CONSTRUCTION
u
Our design and construction teams have a proven track record and local knowledge to deliver a project
of this magnitude. A list of recent and local mixed -use commercial and multi -family residential projects
completed by Compass Construction include: 334, 317, and 309 Central Ave. in Whitefish, 223, 225, and 237
Baker Ave. in Whitefish, 20 Spokane Ave. in Whitefish, and 527, 519, and 638 Nucleus Avenue in Columbia
Falls, as well as The Highline Apartments, 519 Skyles Apartments, and the Glacier Courtyard Apartments.
These projects have provided experience of working on tight sites, amongst operating businesses, near
U.S. highways and city thoroughfares, as well as amongst customers and visitors to our community.
Compass has a dedicated commitment to the revitalization of the downtown area of Kalispell and it is
personal. Bill Goldberg, owner of Compass Construction, at the helm of his other entities, has recently
purchased the KM and Montgomery Ward Buildings, in addition to developing several other renewal
projects in the works at this time. Compass has recently shown their commitment to Kalispell by moving
their business from Whitefish to downtown Kalispell. Compass maintains a solid subcontractor base in
which they have developed a long-standing relationship they will utilize to drive quality, schedule, and
coordination throughout construction.
REFERENCE CONTACT INFORMATION AVAILABLE THROUGH:
Bill Goldberg
406.253.0544
bill@compassmt.net
BOND PARTNERS
BOND Partners executives have over 30 years of hotel and resort conception, branding, project finance,
development, and operations. We specialize in creating lifestyle hotel projects that are architecturally
significant, highly curated, and fully serviced. Led by founder and CEO Robert Watson, some of the
projects BOND Partners has been responsible for are: Tower 23 Hotel in San Diego, 21c Museum Hotel
in Louisville, The Modern Hotel in Honolulu, Northblock Hotel in Napa Valley, and the Chileno Bay Resort
in Cabo San Lucas. A sampling of other projects BOND Partners has been responsible for include: Hotel
Monaco, San Francisco, Hotel Monaco, Seattle, Hotel Monaco, Chicago, W San Francisco, W Seattle, W
New York, Union Square, and WTimes Square. BOND Partners is establishing an office in Western Montana
to create a portfolio of upscale boutique hotels in the state. We are committed to Kalispell and making this
hotel the flagship for our company's growth direction.
REFERENCE CONTACT INFORMATION AVAILABLE THROUGH:
Robert Watson
310.795.2993
rwatson@bondpartners.us
ALCHEMY DEVELOPMENT
Alchemy Development Group was founded under the precept of taking something ordinary and making
it extraordinary. Owner and CEO John Costa has 32 years of entrepreneurial experience in business
QUALIFICATIONS, EXPERIENCE, & FINANCIAL 29
development and operations. Through his ownership of Hi Tech Honeycomb, a leading honeycomb
manufacturer in the aerospace industry, John successfully developed international business relations.
His product now services all engine manufactured for General Electric, Raytheon Technologies'
subsidiary Pratt & Whitney, Rolls-Royce plc, and major airlines worldwide. He excels at program
development and implementation, with strategic skills in team building and process management.
John and his wife moved to Montana in 2016 and recently purchased First Avenue Taphouse and
Casino in Kalispell. They are passionately committed to being productive members of the Flathead
Valley community.
REFERENCE CONTACT INFORMATION AVAILABLE THROUGH:
John Costa
858.395.4645
john@costa.net
3C
FINANCIAL
Bond, Compass, and Alchemy have a proven track record of successfully developing, financing, and
completing projects similar to the proposed Charles Hotel at the Buffalo Block. Our substantial combined
development success is demonstrated by the cumulative body of work represented in the previous
section. We have clearly identified funding sources, equity, and debt, and retrieved letters of interest
from multiple lenders. These letters are provided for your reference in the enclosed confidential envelope.
LITIGATION
BOND PARTNERS
BOND Partners holds a strong reputation for ethical business practices and serving our partners fairly
and respectfully to achieve long-term relationships and successful projects. However, in the last 15
years, BOND has experienced a single litigation issue:
In 2019, BOND brought action against a landowner who hired the firm as developer of the land.
Agreement between plaintiff (BOND) and Defendant was unlawfully terminated and parties went
to Arbitration. Plaintiff was awarded a payment as settlement.
COMPASS, ALCHEMY, AND A&E DESIGN:
There have not been any litigation/arbitration/claims filed
against the firm in the past three years.
30 THE CHARLES HOTEL
z
a
a
BUSINESS PLAN
�Rk �r
fl
DOCUMENTATION �
PROPERTY OPPORTUNITY
The city of Kalispell is undergoing a 25-year urban renewal plan to revitalize its downtown historic
and entertainment districts. A downtown Tax Increment Financing (TIF) district was established to
oversee the plan's implementation and see it to completion. Robust with attractions, like museums,
restaurants, and boutique shops, this area infuses 1900s Western charm with vibrant, modern
entertainment and surrounding beauty. As Flathead Valley tourism and housing industries continue
to rise, The Charles Hotel will be a catalyst for the city's resurgence. Offering unparalleled luxury
amenities amid expansive views of the Swan Mountain Range, this hotel will be a destination in itself.
With extensive exploration and vetting processes, Bond is adept at identifying areas with
significant potential to advance the hospitality industry. We realized that such an opportunity
is present in Montana where travel and tourism is a leading industry. Several Montana cities,
such as Bozeman, Missoula, and Helena, have experienced notable success with similar hotel
developments. However, the City of Kalispell does not yet offer boutique hotel accommodations,
despite its many visitors to the area each year. We see a tremendous need yet unmet, and believe
we can elevate hospitality amenities and experiences for locals and tourists alike. By mirroring
other successful hotel development strategies in Montana's travel destinations, we believe The
Charles Hotel's unique accommodations and aesthetic will translate to success for the city and
hospitality industry.
4B
BUDGET
The contents of this section are provided for your reference in the enclosed confidential envelope.
Lis]
OPERATING PRO FORMA
The contents of this section are provided for your reference in the enclosed confidential envelope.
BUSINESS PLAN 31
COMPLETION ABILITY
The partnership between Montana Dev Partners, LLC, and A&E Design pairs local knowledge and
talent with national expertise. Together, we are committed to enhancing efforts at a local level in
Kalispell using our collective specialized skills and knowledge. Our extensive references and proven
track record exemplify not only our quality work, but also our ability to complete projects within
any constraints. Our team has thoughtfully curated the proposed project schedule and pro forma to
adhere to the city of Kalispell's two-year timeline. We are dedicated to delivering this project within
the city's expectations and will modify our strategy to align with the city's needs, even as
they potentially evolve.
�
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ON."
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f "i:r-. �y5 s:.'� -1 ..l�' :•1,1�ri:�'!"::. f._ J. r •.r:r:• ` y.
LEVEL OF RETURN & BENEFIT TO THE CITY
W0.1
k;% 4
PAR'
5A
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PUBLIC BENEFITS
Construction of The Charles Hotel and a and parking demand in the downtown core,
parking structure has tremendous short- and we thoroughly explored opportunities to
long-term benefits for Kalispell residents and increase available options. Our exhaustive
visitors. From enhancing the sense of place in
the downtown core to improving parking and
city circulation, propelling the local economy
and creating jobs, these benefits are tangible
and positively impact the city's future while
respecting its rich history.
Our design thoughtfully conveys the historical
architecture and heritage ingrained in the
downtown Kalispell community. With careful
attention to design integration within the
surrounding context, we celebrate the area's
historical significance. However, we build
efforts identified the city owned Eagles lot
as the most viable location for a new parking
structure. Here, we plan to provide ample
spaces to accommodate demand without
compromising safety or security.
Our plan alleviates the strain of the downtown
parking situation by replacing the parking
we are displacing with the hotel. We are
also working with other financial parties that
own a substantial amount of surface parking
downtown for a stake in the parking structure.
This strategy moves those cars to the
upon that history to improve the experience structure and creates more on -street parking
for current and future visitors. They receive opportunities for others that do business and
luxury amenities, scratch -made food and play in our city center.
craft cocktails, and superior service all in
a casual, sophisticated, and approachable
hospitality environment. This effective mix of
contemporary and traditional will appeal to
locals and travelers of all demographics.
Adding parking and increasing property
value is paralleled by a revenue inflow to
the downtown TIF district that is critically
needed. We anticipate the annual tax revenue
generated by our project will amount to over
We will improve walkability and the visual $516K allocated to the TIF. Additionally, if our
impact on the sidewalk surrounding this
building, too. By adding trees and vegetation,
we will expertly infuse nature into the urban
setting. Despite allowing dining to transcend
the building facade, we are able to do so
without impeding on foot traffic. Our design
expands sidewalks and creates a vibrant feel
in downtown, sparking engagement between
the building, its users, and passersby.
Parking has been a longtime point of
contention for visitors to downtown Kalispell
Knowing that our hotel will increase traffic
community banks can commit to the parking
structure and allow their surface parking lots
to be redeveloped as other tax -generating
properties, we'll see the catalyst that is the
city's creation of the 3rd and Main RFP really
gain momentum.
The financial implications of this project go
beyond tax revenue. As travel and tourism
increases in Kalispell due to the added
attractions at The Charles Hotel, the local
economy can only benefit. Hotel guests,
tourists, and regional residents will be
LEVEL OF RETURN & BENEFIT TO THE CITY 33
attracted to the new downtown amenities our underutilized space in the west elevation of Main
Buffalo Block project creates. They will reserve
rooms, shop in retail spaces, and dine in our bar
and restaurant. While they visit, these benefits
will inevitably translate to other downtown and
Flathead Valley businesses. Our guests will likely
desire expanded business hours and community
activities, and they will seek outdoor recreation,
shopping, dining, and other opportunities to
influence the Kalispell economy.
The spaces we plan to shape in this historic
district will also create jobs for local residents.
Hotel support staff and service industry
professionals will be critical to the continued
operation of the hotel, retail stores, and the bar
and restaurant we envision for this property. We
have listed the short-term and long-term jobs
created in attachment B. Additionally, we feel
that a building and business like this in Kalispell
helps other businesses thrive. It supports local
restaurants and retail and begins to address
key factors needed to bring more vibrancy to
downtown Kalispell.
This development will not only impact the
downtown core district, it will transform
the Kalispell community. Our hope is to
add a relevant building and businesses to
the downtown skyline that is otherwise an
Street. By investing in infrastructure, hospitality,
and retail, we create a catalyst for future growth
and improvement. Our project begins to reshape
the downtown area, making it an even more
attractive destination for tourists and business
travelers who are already captivated by the allure
of Northwest Montana scenery and activities.
34 THE CHARLES HOTEL
CITY ASSISTANCE �
A project of this magnitude is a significant investment and we have worked in advance of team selection
for this public RFP to secure financing from private investors. It would be appreciated if the city would
consider possibly offsetting impact fees for the hotel development by utilizing TIF funds. When we study
the desire to address parking for this project, it initially appears to be financially unviable. However,
when considering how the hotel improvement at 3rd and Main and transfer of the land to private hands
augments the downtown TIF district, the potential to bond against future TIF monies to offset the cost
impact of the parking structure resolves a significant component of the financial puzzle. Hopefully, the
City of Kalispell agrees that there is a benefit to the public by expanding public parking infrastructure
in addition to what impact fees accomplish for our police, fire, water, storm, and sewer services.
r
3. l
LEVEL OF RETURN & BENEFIT TO THE CITY 35
THANK YOU
bond partners
cco�
COMPASS