HomeMy WebLinkAboutLK Holdings - Development Agmnt (Hotel) RECORDED-7/17/2017\k.
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Prepared by Christopher S. Wendland, P.O. Box 596, Waterloo, IA 50703.
Doc ID: 008242790019 Type: GEN
Recorded: 10/02/2017 at 04:19:45 PM
Fee Amt: $97.00 Page 1 of 19
Black Hawk County Iowa
SANDIE L. SMITH RECORDER
File2018-00005824
319-234-5701
DEVELOPMENT AGREEMENT
This Development Agreement (the "Agreement") is entered into as of
, 2017, by and between LK Holdings Waterloo, LLC, a Wyoming
limited liability company (the "Company"), and the City of Waterloo, Iowa (the "City").
RECITALS
A. City considers economic development within the City a benefit to the
community and is willing for the overall good and welfare of the
community to provide financial incentives so as to encourage that goal.
B. Company is willing and able to finance and undertake acquisition and
rehabilitation of an existing hotel property located in the Downtown
Waterloo Urban Renewal and Redevelopment Plan Area.
AGREEMENT
NOW, THEREFORE, in consideration of the mutual covenants set forth herein,
the parties agree as follows:
1. Development Property. Company is the owner of, or is in the process of
acquiring ownership of, a 10 -story hotel and restaurant structure located on real
property located at 205 W. 4th Street, Waterloo, described on Exhibit "A" attached
hereto (the "Property"). The Company will undertake the Project (defined below) upon
the Property.
2. Improvements by Company. Company shall upgrade and renovate the
hotel lobby, rooms, restaurant and other facilities (all of the foregoing renovations and
improvements are collectively referred to as the "Improvements") at a minimum
estimated investment cost of $14,000,000, or at minimum amount required by the
franchise to meet its property improvement requirements, a copy of which is attached
hereto. The Improvements shall be constructed in accordance with all applicable City,
state, and federal building codes and shall comply with all applicable City ordinances
and other applicable law. The Property, the Improvements, and all development -
related work to make the Property usable for Company's purposes as contemplated by
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this Agreement are collectively referred to as the "Project". Company shall commence
Improvements within six (6) months after the date of this Agreement or after taking
ownership of the Property, whichever occurs last, and shall substantially complete the
Project within eighteen (18) months thereafter.
3. City Activities in Aid of Project.
A. Rebates. City shall provide property tax rebates as further set forth
in Section 5 below.
B. Economic development grants. For a period of twenty (20) years,
City will make an annual grant to Company in an amount equal to the difference
between the hotel -motel tax revenues actually generated by the hotel during the
applicable fiscal year and the baseline tax of $125,000. Grant payments will start in
"Year One" as defined in Section 5. City will make payment of each grant to Company
within sixty (60) days after the close of City's fiscal year, provided that Company has
furnished to City copies of Company's quarterly or monthly sales tax returns, as
applicable, as filed with the State of Iowa with respect to each filing period during said
fiscal year within ten (10) days after filing same. As to any year for which Company
does not provide all returns by October 31 of the following fiscal year, City in its sole
discretion may cancel the grant for the year of the deficient reporting if Company has
not provided the returns within thirty (30) days after delivery of written notice from City.
C. Parking. The parties agree to enter into a separate agreement for
use of up to 200 non -reserved spaces in the connected parking ramps by patrons of the
hotel and Waterloo Convention Center (the "Convention Center"). Because both
facilities will be under management by Company, and or an affiliate of Company, no
particular number of spaces is allocated herein between the facilities. Company may
choose to validate parking for authorized patrons, at rates to be determined by City
policy.
4. Minimum Assessment Agreement. Company acknowledges and
agrees that it will pay when due all taxes and assessments, general or special, and all
other lawful charges whatsoever levied upon or assessed or placed against the
Property. Company further agrees that, prior to the date set forth in Section 2 of
Exhibit "13", it will not seek or cause a reduction in the taxable valuation for the Property,
which shall be fixed for assessment purposes, below the aggregate amount of
$10,000,000.00 ("Minimum Actual Value"), through:
(i)
willful destruction of the Property, Improvements, or any part of
either;
(ii) a request to the assessor of Black Hawk County; or
(iii) any proceedings, whether administrative, legal, or equitable, with
any administrative body or court within the City, Black Hawk
County, the State of Iowa, or the federal government.
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Company agrees to sign the agreement attached as Exhibit "B" at closing.
5. Property Tax Rebates. Provided that Company has completed the
Improvements as set forth herein and has executed the Minimum Assessment
Agreement as set forth in Section 4, the City agrees to rebate property taxes (with the
exceptions noted below) as follows:
85% rebate for each of Years One through Twenty, inclusive,
for any taxable value over the January 1, 2017 value of $1,617,050. Rebates are
payable in respect of a given year only to the extent that Company has actually paid
general property taxes due and owing for such year. To receive rebates for a given
year, Company must, within twelve (12) months after the tax payment due date, submit
a completed rebate request to City on the form provided by or otherwise satisfactory to
City, and if Company fails to do so within thirty (30) days following delivery of written
notice from City, Company's right to a rebate for that year will be forfeited in the City's
discretion.
The taxable value of the Property as a result of the Improvements must
be increased by a minimum of 10% and must increase the annual tax by a minimum of
$500. This rebate program is not applicable to any special assessment levy, debt
service levy, or any other levy that is exempted from treatment as tax increment
financing under the provisions of applicable law. The first year in which a rebate may
be given ("Year One") shall be the first full year for which the assessment is based upon
the completed value of the Improvements and not a prior year for which the
assessment is based solely upon the value of the land or upon the value of the land
and a partial value of the Improvements, due to partial completion of the Improvements
or a partial tax year.
6. Job Creation. Company agrees that it will hire no fewer than 100
employees to provide an adequate staffing level for operation of the hotel and
Convention Center to a standard of quality established by the franchise standard more
fully described in a separate development agreement between the parties with respect
to the Convention Center. Company shall be free to assign or allocate its personnel
between the facilities as it deems best for optimal operation of the two facilities,
consistent with the quality standards referenced above. During each year that a tax
rebate is payable hereunder, Company shall, within thirty (30) days after the close of
City's fiscal year, provide a written report to City showing the number of full-time (30 or
more hours per week) and part-time employees that Company has on its payroll as of
the last calendar day of each month during the reporting period.
7. Regulatory Approvals. Company acknowledges and agrees that the
Project will require Company to obtain various approvals from the City of Waterloo
and/or other applicable governmental authorities, including but not limited to zoning, site
plan, subdivision, building permit and other approvals required or necessary for
Company's proposed Improvements to the Property. To optimize coordination of
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Project plans and development with such approvals, Company agrees to participate
regularly and in good faith in the project management/design-build management
(PMT/DBMT) process applicable to the Property for design issues, landscape design,
parking, construction documents, and other matters.
8. Obligations Contingent and Cancellable. The following special
conditions shall govern the benefits that are made available to Company hereunder:
A. Each and every obligation of City under this Agreement is
expressly made subject to and contingent upon City's completion of all
procedures, hearings and approvals deemed necessary by City or its legal
counsel for amendment of the urban renewal plan applicable to the Property
and/or project area, all of which must be completed within 120 days from the
date this Agreement is approved by the City council. Likewise, Company's
obligations under this Agreement are subject to and contingent upon City's
completion of all such procedures, hearings and approvals.
B. During the term of this Agreement Company must maintain the
standard and corporate flag of Hotel RL by Red Lion, or a similar brand of equal
quality as judged by the Lodging Approval Requirements & Diamond Rating
Guidelines issued by the American Automobile Association ("AAA"), or similar
standards or system of AAA in effect at any given time, and if it fails to do so and
as a result the hotel flag changes to a lesser quality product, the City at its sole
option may terminate this Agreement and cancel any additional benefits that
accrue to Company under this Agreement. The parties acknowledge that the
hotel will have and maintain a 4 -diamond rating from AAA.
9. Representations and Warranties of City. City hereby represents and
warrants as follows:
A. City is not prohibited from consummating the transaction
contemplated in this Agreement by any law, regulation, agreement, instrument,
restriction, order or judgment.
B. Each person who executes and delivers this Agreement and all
documents to be delivered hereunder is and shall be authorized to do so on
behalf of City.
10. Representations and Warranties of Company. Company hereby
represents and warrants as follows:
A. Company is not prohibited from consummating the transaction
contemplated in this Agreement by any law, regulation, agreement, instrument,
restriction, order or judgment.
B. Company is duly organized, validly existing, and in good standing
under the laws of the state of its organization and is duly qualified and in good
standing under the laws of the State of Iowa.
4
C. Company has full right, title, and authority to execute and perform
this Agreement and to consummate all of the transactions contemplated herein,
and each person who executes and delivers this Agreement and all documents
to be delivered to City hereunder is and shall be authorized to do so on behalf of
Company.
D. Company may operate the hotel through a separate company
affiliated with Company by common ownership and/or control, but Company will
be responsible to ensure that Company or its operating affiliate perform all of the
terms of this Agreement that are Company's duty to perform.
11. Materiality of Company's Promises, Covenants, Representations,
and Warranties. Each and every promise, covenant, representation, and warranty set
forth in this Agreement on the part of Company to be performed is a material term of
this Agreement, and each and every such promise, covenant, representation, and
warranty constitutes a material inducement for City to enter this Agreement. Company
acknowledges that without such promises, covenants, representations, and warranties,
City would not have entered this Agreement and would not have offered the substantial
Project incentives described herein. Upon breach of any promise or covenant, or in the
event of the incorrectness or falsity of any representation or warranty, City shall deliver
written notice of such breach to Company, and if Company fails to cure such breach
within sixty (60) days thereafter, City may, at its sole option and in addition to any other
right or remedy available to it, terminate this Agreement and declare it null and void.
12. Cross -Default. City and Company are parties to a certain development
agreement with respect to the Convention Center (the "Center DA"). The parties agree
that a default by Company under the Center DA shall constitute and be treated as a
default under this Agreement. In the event of a default under either this Agreement or
the Center DA, City shall be entitled to exercise any or all remedies available to it under
either agreement or under applicable law.
13. Notices. Any notice under this Agreement shall be in writing and shall be
delivered in person, by overnight air courier service, by United States registered or
certified mail, postage prepaid, (with an additional copy delivered by one of the
foregoing means), and addressed:
(a) if to City, at 715 Mulberry Street, Waterloo, Iowa 50703, facsimile
number 319-291-4571, Attention: Mayor, with copies to the City Attorney and the
Community Planning and Development Director.
(b) if to Company, at 1402 S. 13th Street, Omaha, NE 68108, Attn:
Edwin W. Leslie. With a copy to: Matthew R. Berens, Berens Blonstein PLC,
7033 East Greenway Parkway, Suite 210, Scottsdale, AZ 85254.
Delivery of notice shall be deemed to occur (i) on the date of delivery when delivered in
person, (ii) one (1) business day following deposit for overnight delivery to an overnight
air courier service which guarantees next day delivery, or (iii) three (3) business days
5
following the date of deposit if mailed by United States registered or certified mail,
postage prepaid.
14. No Joint Venture. Nothing in this Agreement shall, or shall be deemed
or construed to, create or constitute any joint venture, partnership, agency,
employment, or any other relationship between the City and Company nor to create any
liability for one party with respect to the liabilities or obligations of the other party or any
other person.
15. Amendment, Modification, and Waiver. No amendment, modification,
or waiver of any condition, provision, or term of this Agreement shall be valid or of any
effect unless made in writing, signed by the party or parties to be bound or by the duly
authorized representative of same, and specifying with particularity the extent and
nature of the amendment, modification, or waiver. Any waiver by any party of any
default by another party shall not affect or impair any rights arising from any subsequent
default.
16. Severability. Each provision, section, sentence, clause, phrase, and
word of this Agreement is intended to be severable. If any portion of this Agreement
shall be deemed invalid or unenforceable, whether in whole or in part, the offending
provision or part thereof shall be deemed severed from this Agreement and the
remaining provisions of this Agreement shall not be affected thereby and shall continue
in full force and effect. If, for any reason, a court finds that any portion of this
Agreement is invalid or unenforceable as written, but that by limiting such provision or
portion thereof it would become valid and enforceable, then such provision or portion
thereof shall be deemed to be written, and shall be construed and enforced, as so
limited.
17. Captions. All captions, headings, or titles in the paragraphs or sections
of this Agreement are inserted only as a matter of convenience and/or reference, and
they shall in no way be construed as limiting, extending, or describing either the scope
or intent of this Agreement or of any provisions hereof.
18. Binding Effect. This Agreement shall be binding and shall inure to the
benefit of the parties and their respective successors, assigns, and legal
representatives.
19. Counterparts. This Agreement may be executed in one or more
counterparts, each of which shall be deemed an original and all of which, taken
together, shall constitute one and the same instrument.
20. Entire Agreement. This Agreement, together with the Minimum
Assessment Agreement attached hereto as Exhibit "B", constitutes the entire
agreement of the parties and supersedes all prior or contemporaneous negotiations,
discussions, understandings, or agreements, whether oral or written, with respect to the
subject matter hereof.
6
21. Time of Essence. Time is of the essence of this Agreement.
IN WITNESS WHEREOF, the parties have executed this Development
Agreement by their duly authorized representatives as of the date first set forth above.
CITY OF WATERLOO, IOWA
By:
Quentin M. Hart, Mayor
Attest:
Kelley F c e, City Clerk
7
KHe'
By: ,
ATERLOO, LLC
Leslie
Managing Member of Leslie
Hospitality Consulting, LLC, its
Managing Member
EXHIBIT "A'
Legal Description of Property
THE NORTHWESTERLY 13 FEET OF LOT 2 AND ALL OF LOTS 3, 4 AND 5, BLOCK 8, ORIGINAL
PLAT ON THE WEST SIDE OF THE CEDAR RIVER, CITY OF WATERLOO, BLACK HAWK COUNTY,
IOWA, EXCEPTING THAT PART OF SAID LOT 2 DESCRIBED AS FOLLOWS:
COMMENCING FROM A POINT ON THE NORTHEASTERLY LINE OF SAID BLOCK 8 THAT IS 86.50
FEET NORTHWESTERLY FROM THE POINT OF INTERSECTION OF SAID NORTHEASTERLY LINE
OF BLOCK 8 WITH THE NORTHWESTERLY LINE OF WEST 571 STREET IN SAID CITY AND
RUNNING FROM POINT OF BEGINNING NORTHWESTERLY ALONG THE NORTHEASTERLY LINE
OF SAID BLOCK 8, 22.125 FEET; THENCE SOUTHWESTERLY ALONG A STRAIGHT LINE TO A
POINT ON THE SOUTHWESTERLY LINE OF SAID LOT 2 WHICH IS 108,60 FEET NORTHWESTERLY
FROM THE NORTHWESTERLY LINE OF SAID WEST 5TH STREET; THENCE SOUTHEASTERLY
ALONG THE SOUTHWESTERLY LINE OF SAID LOT 2, A DISTANCE OF 22.10 FEET; THENCE
NORTHEASTERLY ALONG A STRAIGHT LINE TO THE POINT OF BEGINNING.
ALL THAT PART OF THE RIGHT-OF-WAY OF WEST 4TH STREET LYING ADJACENT TO LOT 5,
BLOCK 8, ORIGINAL PLAT ON THE WEST SIDE OF THE CEDAR RIVER, CITY OF WATERLOO,
BLACK HAWK COUNTY, IOWA LYING WITHIN THE FOLLOWING DESCRIBED BOUNDARY:
BEGINNING AT THE NORTH CORNER OF SAID LOT 5, THENCE SOUTHWESTERLY ALONG THE
NORTHWESTERLY LINE OF SAID LOT 5 TO THE WEST CORNER OF SAID LOT 5, THENCE
NORTHWESTERLY ALONG AN EXTENSION OF THE SOUTHWESTERLY LINE OF SAID LOT 5, 34.13
FEET TO A POINT WHICH IS 40 FEET NORMALLY DISTANT SOUTHEASTERLY FROM THE
CENTERLINE OF THE EXISTING WEST 4TH STREET PAVING; THENCE DEFLECTING TO THE
RIGHT IN A NORTHEASTERLY DIRECTION AT AN ANGLE OF 75 DEGREES, 13 MINUTES, 30
SECONDS ALONG A LINE WHICH IS PARALLEL WITH THE CENTERLINE OF THE WEST 4TH
STREET PAVING 47.54 FEET; THENCE NORTHWESTERLY NORMAL TO THE NORTHWESTERLY
LINE OF SAID LOT 5, 11.11 FEET; THENCE NORTHEASTERLY PARALLEL WITH THE
NORTHWESTERLY LINE OF SAID LOT 5,18 FEET; THENCE SOUTHEASTERLY NORMAL TO THE
NORTHWESTERLY LINE OF SAID LOT 5, 6.38 FEET TO A POINT WHICH IS 40 FEET NORMALLY
DISTANT SOUTHEASTERLY FROM THE CENTERLINE OF THE WEST 4TH STREET PAVING;
THENCE DEFLECTING TO THE LEFT IN A NORTHEASTERLY DIRECTION AT AN ANGLE OF 104
DEGREES, 43 MINUTES, 50 SECONDS ALONG A LINE WHICH IS PARALLEL WITH SAID WEST 4TH
STREET CENTERLINE, 6.18 FEET; THENCE NORTHEASTERLY ALONG A CURVE, CONCAVE
SOUTHEASTERLY, TANGENT TO THE LAST DESCRIBED LINE AND HAVING A RADIUS OF 876.73
FEET, 73.34 FEET (ARC LENGTH) TO A POINT ON THE NORTHWESTERLY EXTENSION OF THE
NORTHEASTERLY LINE OF SAID LOT 5; THENCE SOUTHEASTERLY 68.17 FEET TO THE POINT OF
BEGINNING.
EXHIBIT "B"
MINIMUM ASSESSMENT AGREEMENT
This Minimum Assessment Agreement (the "Agreement") is entered into as of
1 , 2017, by and among the CITY OF WATERLOO, IOWA ("City"),
LK HOLDINGS WATERLOO, LLC ("Company"), and the COUNTY ASSESSOR of the
City of Waterloo, Iowa ("Assessor").
WITNESSETH:
WHEREAS, on or before the date hereof the City and Company have entered
into a development agreement (the "Development Agreement") regarding certain real
property, described in Exhibit "A" thereto, located in the City; and
WHEREAS, it is contemplated that pursuant to the Development Agreement, the
Company will undertake the development of an area ("Project") within the City and
within the Downtown Waterloo Urban Renewal and Redevelopment Plan Area; and
WHEREAS, pursuant to Iowa Code § 403.6, as amended, the City and the
Company desire to establish a minimum actual value for the land and the building(s)
pursuant to this Agreement and applicable only to the Project, which shall be effective
upon substantial completion of the Project and from then until this Agreement is
terminated pursuant to the terms herein and which is intended to reflect the minimum
actual value of the land and buildings as to the Project only; and
WHEREAS, the City and the Assessor have reviewed the preliminary plans and
specifications for the improvements (the "Improvements") which the parties contemplate
will be erected as a part of the Project.
NOW, THEREFORE, the parties hereto, in consideration of the promises,
covenants, and agreements made by each other, do hereby agree as follows:
1. Upon substantial completion of construction of the Improvements by the
Developer, the minimum actual taxable value which shall be fixed for assessment
purposes for the land and Improvements to be constructed thereon by the Company as
a part of the Project shall not be Tess than $10,000,000.00 ("Minimum Actual Value")
until termination of this Agreement. The parties agree for purposes of this Agreement
that construction of the Improvements will be substantially completed on or before July
1, 2019.
2. The Minimum Actual Value herein established shall be of no further force
and effect, and this Minimum Assessment Agreement shall terminate, on December 31,
2058. Nothing herein shall be deemed to waive the Company's rights under Iowa Code
§ 403.6, as amended, to contest that portion of any actual value assignment made by
the Assessor in excess of the Minimum Actual Value established herein. In no event,
however, shall the Company seek or cause the reduction of the actual value assigned
below the Minimum Actual Value established herein during the term of this Agreement.
3. This Agreement shall be promptly recorded by the City with the Recorder
of Black Hawk County, Iowa. The City shall pay all costs of recording.
4. Neither the preambles nor provisions of this Agreement are intended to, or
shall be construed as, modifying the terms of the Development Agreement.
5. This Agreement shall inure to the benefit of and be binding upon the
successors and assigns of the parties.
CITY OF WATERLOO, IOWA
By:
Quentin M. Hart, Mayor
Attest:
Kelley Fel y Ie, City Clerk
STATE OF IOWA
) ss.
COUNTY OF BLACK HAWK )
On this i day of �� / , 2017, before me, a Notary Public in
and for the State of Iowa, personally appeared Quentin M. Hart and Kelley Felchle, to
me personally known, who being duly sworn, did say that they are the Mayor and City
Clerk, respectively, of the City of Waterloo, Iowa, a municipal corporation, created and
existing under the laws of the State of Iowa, and that the seal affixed to the foregoing
instrument is the seal of said municipal corporation, and that said instrument was
signed and sealed on behalf of said municipal corporation by authority and resolution of
its City Council, and said Mayor and City Clerk acknowledged said instrument to be the
free act and deed of said municipal corporation by it and by them voluntarily executed.
WATERLOO, LLC
Leslie
Managing Member of Leslie
Hospitality Consulting, LLC, its
Managing Member
.-"'"` •
NANCY HIGBY
r ';,
COMMISSION NO.788229
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MY COMMISSION EXPIRES
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,,,ve__„,
Notary' Public
STATE OF 441)1.,(1C
COUNTY OF &i C1[ `aarb
) ss.
Acknowledged before me on 4-€44 a , 2017 by Edwin W. Leslie as
Managing Member of Leslie Hospitality °onsulting, LLC, Managing Member of LK
Holdings Waterloo, LLC.
if.,A.T.:
SHEWE L CRISMAN
COMMISSION NO.7713700
Commtstcyrs
Notary Public
aPaf <s TARA JOHNSON
z° .,••• Commission Expission Number ires
• 467 I
♦rr
'twp. April 5, 2020
CERTIFICATION OF ASSESSOR
The undersigned, having reviewed the plans and specifications for the improvements to
be constructed and the market value assigned to the land upon which the
improvements are to be constructed for the development, and being of the opinion that
the minimum market value contained in the foregoing Minimum Assessment Agreement
appears reasonable, hereby certifies as follows: The undersigned Assessor, being
legally responsible for the assessment of the property subject to the development, upon
completion of improvements to be made on it and in accordance with the Minimum
Assessment Agreement, certifies that the actual value assigned to such land and
building upon completion of the development shall not be less than Ten Million Dollars
($10,000,000.00).
STATE OF IOWA
COUNTY OF BLACK HAWK
)
) ss.
Ass
or for Black Hawk County, Iowa
Date
Subscribed and sworn to before me on l (9 - 2- - I ") , 2017, by T.J.
Koenigsfeld, Assessor for Black Hawk County, Iowa.
RL
HC
RED LION
HOTELS
CORPORATION
Transition Date:
00/00/0000
PROPERTY IMPROVEMENT PLAN
Prepared By Susan Rady Date
PIP Type
Physical
HOTEL INFORMATION
Applicant Edwin W. Leslie, CHA Applicant Phone
Applicant Email
Property Name
Address
City, State, Zip
Phone Number
Fax Number
Corridor Type
Pool / Spa
Action
Comments
1eleslie@leslie-hospitality.com
Ramada Inn -Convention Ctr.
1205 W 4th St.
Waterloo, IA 50701
208-343-1871
Interior
'Both
# of Buildings
# of Floors
44 of Rooms
# of Bars
# of Restaurants
Meeting Space (Sq Ft)
Fitness Center
ADDITIONAL INFORMATION
Brand
'Conversion
12/27/2016
281-468-4230
1
10
227
1
1
2,000
Yes
RL
Hotel was constructed in early 1980's and is reflective of architecture of that
time. It was originally built as a Holiday Inn and re -flagged as Ramada about 10
years ago, at which time it underwent a renovation. The room mix consists of
suites, jacuzzi rooms, kings and double/double units. Generally, the hotel is very
tired and this fact is reflected in third party sites such as Trip Advisor. The
property rates near the bottom of its competitive set and guest online
comments reflect cleanliness, age and conditional issues.
PIP Agreement
NOTE: Alt items noted below are in addition to compliance with Licensors standards and specifications set forth in the
Manual. All items require submittal to Licensor for approval prior to implementation
Task
* Licensee shall engage a professional design firm and/or architectural firm to:
a.) Prepare and present any and all improvements as outlined in the PIP. Design firm and architectural firm must be approved by Licensor
b.) Hotel shall work diligently towards a timely completion of all PIP items within the dates set forth in the PIP and Hotel shall engage a professional
contractor to ensure quality workmanship and materials that will meet specifications set forth in the Manual.
c.) All improvements to the hotel will be in accordance with local, state and federal laws, regulations, ordinances, codes and regulations including but no
limited to the Americans with Disabilities Act.
To assist in the selection, location and purchasing of the required items found in this document please contact Brand Services.
Submit plans/elevations/material samples as required to:
Red Lion Hotels Corporation / Design & Construction Dept.
1550 Market Street • Denver, CO 80202
anna.bogler@rlhco.ccom
Property Improvement Plan_
Licensee agrees to implemert
the following programs and operational standards to meet the Licensor's standards as of Opening Date and Subsequen
Dates herein noted.
ID
Area
Task
Catego
2.01
Corridors & Stairwells
Remove room number graphics from door and repair all scars from their removal. Provide new room number graphics located or
the wall adjacent to the latch side of the door. (Refer to standards for brand specific criteria
Opening
2.10
Corridors& Stairwells
Clean windows and elevator glass
Opening
2.12
Corridors & Stairwells
Lock doors to storage/loading areas (as noted at pool level) so that guests cannot accidentally (or purposely) access these areas.
Opening
2.15
Corridors & Stairwells
Repair or replace any ill -functioning or visibly damaged ice dispensers or vending equipment.
Opening
2.17
Corridors & Stairwells
Provide electronic locks at entrances leading from parking garage and convention center.
Opening
2.19
Elevators
Install required life safety signage outside elevator entrance (do not use in case of fire - use stairs)
Opening
2.22
Elevators
Clean light diffusers.
Opening
3.01
Exterior
Power wash exterior including walls, windows, walkways and drive surfaces to remove all dust accumulation, bird/insect debris
and/or stains
Opening
3.04
Exterior
Following pressure washings, point/tuck grout as needed and seal brick to eliminate any further fluorescence.
Opening
3.05
Exterior
Repair/replace any damaged or cloudy windows.
Opening
3.07
Exterior
Exterior
Front Desk
Provide designated guest smoking area away from front entrance.
Opening
3.08
5.04
Replace burned/out or ill -functioning bulbs in exterior lighting.
Opening
Remove any certificates, unframed posters or paper work from walls in front desk area and perform general clean up and
reorganization of area in order to present a professional, clutter -free area
Opening
.y
Opening
Opening
Opening
5.10
Front Desk
Install brand logo/signage in lobby per brand design direction.
5.01
Front Desk
Replace registration desk to include open -style moveable registration station and self check-in kiosks per brand design standards.
5.07
Front Desk
Provide new pendants, down lights or other approved lighting at registration.
5.10
Front Desk
Provide RLHC approved InfoGlass at or near the frontdesk/reception area.
Opening
6.04
Guestroom
Replace emergency evacuation plan to brand standards on back of guestroom door.
Opening
6.07
Guestroom
Upgrade Wi-Fi as/where needed in order to deliver at least minimum acceptable signal and speed to all rooms
Opening
6.08
Guestroom
Implement brand specified Guestroom OS&E and collateral including replacing existing telephone faceplate.
Opening
6.09
Guestroom
Replace clock radios with brand compliant specification - CubieTime.
Opening
6.10
Guestroom
Provide additional outlets or GFI power strips in order to ensure wires and cords are concealed from guest view.
Opening
6.14
Guestroom
Repair or replace any Ill -functioning PTACs induding mechanics, casings, grilles and/or control panels.
Opening
6.27
Guestroom
Replace any noticeably sagging or damaged mattress/box spring sets with new (must meet RLHC requirements).
Opening
6.29
Guestroom
Provide new Top of Bed package to include triple sheeting, duvet, bed skirt, pillows, etc. per brand standards,
Opening
6.30
Guestroom
100% of guestroom Inventory designated as non-smoking.
Opening
6.31
Guestroom
Repalr/refinish case goods, exposed wood on seating and occasional furnishings to remove any visible scuffs, wear or damage.
Opening
6.34
Guestroom
Provide at least two guest rooms as "pet friendly" that allow for guests pets
Opening
6.36
Guestroom
Provide brand -approved hanger/gear walls per Hotel RL requirements. (Closets may be eliminated.)
Opening
6.50
Guestroom
Provide sculptural clock per Hotel RL requirements.
Opening
7.17
Guestroom Baths
Install night light in bathroom (may be part of hairdryer mount or wall switch)
Opening
7.00
Guestroom Baths
Provide Cascadia soapery amenities collection and bath sheet per standards.
Opening
7.20
Guestroom Baths
Replace shower curtain with brand approved specification (with light view window).
Opening
7.21
Guestroom Baths Repair/replace any damaged toilets, tanks, seats or lids.
Opening
7.22
Guestroom Baths
Replace missing toilet base caps.
Opening
7.18
Guestroom Baths
Replace showerhead with Speakman AnyStream showerhead per brand specifications.
Opening
10.01
Lobby / Public Areas
Install brand compliant lobby coffee station and wine bar. Victrola coffee service required.
Opening
10.11
10.04
10.05
Lobby / Public Areas
Replace damaged/discolored ceiling tile (noted at upper floor area and at corridors leading to meeting rooms).
Opening
Lobby / Public Areas
Provide new lobby soft seating and furniture package to include to occasional pieces as well as table and floor lamps.
Opening
Lobby/ Public Areas
Provide new artwork/decor.
Opening
10.07
Lobby /Public Areas
Reconfigure all lobby space / to enable a new open style approachable front desk, market/sundries retail, stepped seating, living
stage, lobby business station and public restrooms. Ideally reconfigure entrance doors to be located at center of overhead
canopy (which would require removal of visible stone faux fireplace). Recommend exposing and featuring existing brick fireplace
that is hidden within the current back office. Refinish all oak woodwork and replace brass ceiling fixtures and brass fireplace
surround to attain an updated appearance. Remove "night service security window and staff sleeping accommodation.
Consolidate office/administrative space.
Opening
10.10
Lobby / Public Areas
Provide a Business Center convenient to the lobby area that features work stations/equipment/seating/lighting and supplies as
required by standards. NOTE: out of use public telephone niche would work for this application
Opening
Property Improvement Plan
Licensee agrees to implement
the following programs and operational standards to meet the Licensor's standards as of Opening Date and Subsequen
Dates herein noted.
ID
Area
Task
Category
10.12
Lobby/ Public Areas
Provide new ceiling tiles system that meets standards (minimum ACT w/reveal edge)
Opening
10.13
Lobby / Public Areas
Replace lobby carpet with brand-prescribed flooring.
Opening
10.15
Lobby / Public Areas
Replace decorative lighting.
Opening
10.20
Lobby / Public Areas
Provide new automatic entrance doors in conjunction with new or modified porte cochere/arrival area.
Opening
10.21
Lobby / Public Areas
Provide scent in lobby/arrival area.
Opening
10.23
Lobby / Public Areas
Provide chalk wall per standards.
Opening
10.24
Lobby / Public Areas
Incorporate 'stepped seating' as part of expanded lobby/public area per brand design direction.
Opening
10.25
Lobby / Public Areas
Provide 'living stage' in immediate lobby or open public area per brand design direction and technology requirements.
Opening
10.26
Lobby/ Public Areas
Provide bicycles, helmets and stand per RLHC requirements.
Opening
10.27
Lobby / Public Areas
Provide communal table within the expanded/renovated lobby/public space (Le., for gaming).
Opening
11.02
Meeting Rooms
Replace damaged/discolored ceiling tile.
Opening
11.10
Meeting Rooms
Provide meeting station per RLHC requirements.
Opening
16.01
General
As needed, professionally clean and restore the following: 1) Clean windows throughout the property; 2) Professionally clean and
re-stretch commercial carpeting (lobby, pre-function, restaurant/lounge, etc.); 3) Clean vents/grilles throughout the property
(e.g., bath/restroom exhausts, PTACs, housekeeping vents, HVAC intake/output, etc.); 4) Perform general clean up in
restaurant/lounge area (soft seating, counters, etc.); 5) Clean banquet seating where stained; 6) Deep clean public restrooms
(tile/grout, partitions, fixtures, etc.); 7) Professionally clean corridor carpeting; 8) Professionally clean guestroom carpeting; 9)
Deep clean guestroom soft seating; 10) Clean in-room appliances; 11) Deep clean guestroom baths (tile/grout, tubs/surrounds,
etc.); 11) Clean vending and guest laundry including beneath and behind equipment
Opening
16.02
General
Provide uniforms and name tags as required by the brand.
Opening
16.03
General
100% of guestroom inventory must be designated as non-smoking. Prior to opening, rooms and area formerly designated for
smoking must be professionally cleaned and all damage, stains or odors from smoke removed
Opening
16.04
General
The RLHC reservation system and equipment must be purchased and Installed (Opera/Cloud).
Opening
16.05
General
Property must be In compliance with Life Safety Standards and Americans with Disabilities as set forth in standards and code
requirements.
Opening
16.07
General
All signage, brochures, logo's and iconic elements from former branding must be removed and all scars repaired from their
removal.
Opening
16.08
General
Provide RLHC approved Wi FI system for Hotel RL brand meeting the required speed in Mbps, with brand landing page. Refer to
detail brand specifications.
Opening
16.09
General
Provide RLHC 05&E items including in-room amenities, brochures and instructions throughout the hotel.
Opening
13.03
Public Restrooms
Provide sleeves for plumbing lines beneath the sink in the lobby men's and women's restrooms.
Opening
14.02
Restaurant/Lounge
Provide RLHC required 'Grab N Go' and espresso-based Victrola Coffee Bar
Opening
14.03
Restaurant/Lounge
Provide RLHC approved menu graphics.
Opening
14.04
Restaurant/Lounge
Replace damaged/discolored ceiling tile.
Opening
14.05
Restaurant/Lounge
Repair/refinish tables, chairs and barstools to remove visible scuffs, wear and damage. Implement Communal dining table in the
restaurant.
Opening
15.01
Signage
Install required exterior signage with brand identification in all current signage locations. Add brand-specified signage wraps to
hotel vehicles per brand specifications.
Opening
15.02
Signage
Provide new directional signage and room numbers that are consistent with brand requirements.
Opening
15.03
Signage
Remove all paper signage. Replace with new permanent signage where warranted.
Opening
2.05
Corridors &Stairwells
Replace carpet and padding in all corridors (extending carpet into stairwell landings to cover bare concrete at landings that have
vestibule areas).
6 Months
2.11
Corridors &Stairwells
Repair/refinish corridor area doors (e.g., storage, staff access, stairwell, exit, guestroom entrance, etc.) removing all scars and
visible wear and replacing any damaged/corroded door hardware.
6 Months
3.02
Exterior
Provide facade enhancements along the first floor facade of the building (where visible from street) to provide a heightened
sense of arrival to arriving guests (e.g., new grid work at commercial storefronts, decorative awnings at auxiliary entrance(s),
new/decorative window tinting, updated exterior lighting package, arbor work at green space, etc.). Submit all plans for review
and approval.
6 Months
3.03
Exterior
Replace the existing glass portico with a new Porte Cochere to accommodate two-lanes of traffic at main entrance to hotel.
6 Months
3.06
Exterior
Replace any damaged window tinting - a new window tinting package (In an updated color) is recommended for the hotel.
6 Months
3.09
Exterior
Repair/paint exterior doors where faded or peeling. Coordinate with new overall improvements.
6 Months
3.10
Exterior
Incorporate Hotel RL signatures into the renovated exterior to include decorative/colored up lighting, parklets and outdoor dining
area, colorful graphics in designated parking areas, etc. Refer to standards for full requirements.
6 Months
6.02
Guestroom
Modify or replace existing electronic locks with new'show/flash' lock technology. Replace any corroded or damaged door
hardware (e.g., locks, plates, etc.).
6 Months
6.05
Guestroom
Repair/refinish guestroom entrance, bath and connecting doors and hardware.
6 Months
Property Improvement Plan
Licensee agrees to implement
the following programs and operational standards to meet the Licensor's-standards as of Opening Date and Subsequen
Dates herein noted.
ID
Area
Task
Category
6Months
6.11
Guestroom
Remove wall vinyl and provide new wall finish and approved graphics per standards and design requirements. Exposed brick may
remain provided it coordinates/compliments new Improvements and wires/cord and conduit can be concealed from guest view.
6.15
Guestroom
-
Install remote wall-mounted digital thermostat 6 Months
6.18
Guestroom
Replace artwork with new contemporary framed artwork and dressing mirror(s).
6 Months
6 Months
6.19
Guestroom
Provide decorative framing for existing full length mirror.
6.20
Guestroom
Repair/paint ceilings where scuffed/patched or damaged.
6 Months
6.21
6.22
Guestroom
Guestroom
Guestroom
Replace all hardwired lighting (ceiling factures, wall lighting, etc. with new fixtures in an updated style.
6 Months
Provide new guestroom lighting package to Include electrical outlets at desk and nightstand lighting.
6 Months
6.23
Provide enclosure for microwave/refrigerator where missing - either recessed niche or furniture piece to match case goods
package.
6 Months
6.24
Guestroom Replace all mix-matched or ill-functioning microwave refrigerators and microwave units
6 Months
6.25
Guestroom Replace plastic laminate counters at wet bars and dry counters with new engineered or natural stone.
6 Months
6,26
Guestroom
Repair/reflnish or replace cabinetry at wet bars In suites and rooms - coordinate with overall improvements.
6 Months
6.32
6.33
Guestroom
Provide a new soft seating package to Include new sofas/sleeper sofas, lounge chairs, desk chairs, activity chairs, etc., per room
type. NOTE: A minimum of two chairs is required per room. All furnishings to be approved by brand design
6 Months
Guestroom
Provide new case goods and occasional fumishings. NOTE: Two nightstands are required in single bed rooms - adjust room
layout as needed in conjunction with new case goods. All furnishings to be approved by brand design
In rooms with whirlpool tubs: 1) Provide an engineered or natural stone or large scale tile base for the hot-tub deck and mount;
2) Provide new faucets, controls and rings - coordinate with bath package bright work.
6Months
6 Months
6.38
Guestroom
6.51
Guestroom
Provide new brand-approved window treatments.
6 Months
7.02
Guestroom Baths
Replace any noisy or damaged bath exhausts.
6 Months
7.03
Guestroom Baths
Provide assist grab bars in every tub/shower.
6 Months
7.04
Guestroom Baths
Replace tub / shower tile surround with brand approved tile or surround panels; or, provide new walk-in showers.
6 Months
7.05
Guestroom Baths
Replace any damaged tubs and/or surrounds with new.
6 Months
7.06
Guestroom Baths
Re-caulk tub surrounds and tile.
6 Months
7.07
7.07
Guestroom Baths
Provide new plumbing fixtures or bright work (e.g., faucets, controls, shower bar, escutcheon plates, towel rods, tub/sink rings
and stops).
7.08
Guestroom Baths
Replace any damaged or cracked floor tile (must match existing); or, provide new large-scale floor tile.
6 Months
7.09
Guestroom Baths
Repair and paint bathroom walls.
6 Months
7.10
Guestroom Baths
Install new stone or quartz vanity with under-mount sink and contemporary chrome hardware
6 Months
7.11
7.14
Guestroom Baths
Guestroom Baths
Replace single towel bars and stack racks with new towel bar/shelf unit.
6 Months
Remount sagging curved rods per manufacturer's directions.
6 Months
7.16
Guestroom Baths
Replace decorative vanity mirror with new electric mirror per standards - eliminating vanity lighting.
6 Months
7.23
Guestroom Baths
Provide RLHC approved terry program for all baths.
6 Months
8.05
Hardscape
Repair any damaged, cracked or lifting curbs or walkways.
6 Months
8.06
Hardscape
Provide new decorative surface beneath porte cochere.
6 Months
10.08
Lobby / Public Areas
Install music system and speakers in lobby and porte cochere.
6 Months
10.14
Lobby / Public Areas
Provide new window treatments that compliment the renovated lobby (first floor level only).
6 Months
10.22
13.05
Lobby / Public Areas
Provide water station/canteen refill per standards in or near lobby area or lobby corridor.
6 Months
Public Restrooms
Provide a partition in the men's restroom to separate the urinals from the sink/vanity area.
6 Months
13.06
Public Restrooms
Replace damaged/discolored ceiling tile and paint grid to match tile.
6 Months
13.07
Public Restrooms
Provide a 4" skirt or millwork base for the vanity in the women's restroom.
6 Months
14.02
Restaurant/Lounge
Provide new floor finishes (commercial quality carpet and base; tile and base or a combination of the two).
6 Months
14.03
Restaurant/lounge
Repair/paint walls as needed.
6 Months
Restaurant/Lounge
Provide new ceiling tile per brand standards.
6 Months
14.07
Restaurant/Lounge
Replace dining chairs and bar stools in front area of hotel (bar area).
6 Months
14.08
Restaurant/Lounge
Replace bar top with new engineered or natural stone.
6 Months
14.09
Restaurant/Lounge
Replace red sofas located in TV area at front of lounge area.
6 Months
14.10
Restaurant/Lounge
Provide new artwork/decor.
6 Months
14.11
Restaurant/Lounge
Repair/refinish hostess station to coordinate with new overall improvements.
6 Months
14.12
Restaurant/Lounge
Provide new window treatments.
6 Months
14.13
Restaurant/Lounge
Repair/paint service doors.
6 Months
ti
l•. .1 r
Property Improvement Plan
Licensee agrees to implement the following programs and operational standards to meet the Licensor's standards as of Opening Date and Subsequen
Dates herein noted.
ID
14.14
2.03
2.04
2.06
2.07
Area
Restaurant/Lounge
Corridors & Stairwells
Corridors & Stairwells
Corridors & Stairwells
Corridors & Stairwells
2.08
!Task
Provide a partial wall or screen at service area to conceal this space from view.
Provide new wall vinyl along corridors. Recommend painting brick elements to contrast or complement new design package.
Provider new ceiling tile in lower level corridors (i.e., pool level, conference level) with new ceiling tile that meets standards. ACT
w/reveal edge (consistent in style and finish) with matching grid.
Repair and paint stairwell railings where peeling or rusted.
Paint stairwells in a lighter color to help brighten these areas and/or provide additional lighting in stairwells.
Category
6 Months
12 Months
12 Months
12 Months
Corridors & Stairwells
2.13
2.14
12 Months
Provide a new guestroom lighting package along corridors to update the overall appearance and increase overall illumination.
12 Months
Corridors & Stairwells
Provide new finishes for the landing leading to the exercise room/guest laundry and game room. New floor, wall and ceiling
finishes are required.
12 Months
Corridors & Stairwells
2.16
2.18
2.20
Renovate vending alcoves to include coordinating new wall finishes, replacing damaged or cracked tile flooring (or providing new
tile) and replacing and upgrading lighting.
Corridors & Stairwells Replace carpet tiles at walkways and landings leading to parking garage and convention center.
Corridors & Stairwells Repair/paint corridor ceilings to eliminate patched/damaged areas.
Elevators Provide new laminate for cab walls (or, provide new panels).
2.21
12 Months
12 Months
12 Months
12 Months
Elevators Replace elevators floor finish with new. (Refer to manufacturer's required finishes.)
2.23
Elevators Repair/refinish wood railing at elevator landings and coordinate finish with new design direction,
2.24
4.01
4.02
4.03
12 Months
12 Months
Elevators Provide new panel walls, flooring and ceiling finishes in the "pool" elevator so that this feature is more presentable to guests.
12 Months
Fitness Room Expand size of fitness room to a 300 sf minimum. (Recommend trading places with the guest laundry area.)
Fitness Room Electronic lock required (noted to be in place at existing location).
Fitness Room Provide HVAC with thermostat control.
4.04
4.05
4.06
Fitness Room
Fitness Room
Fitness Room
4.07
Fitness Room
4.09
Fitness Room
4.10
Fitness Room
4.11
Fitness Room
4.12
Fitness Room
Repair/paint walls or provide new wall finish.
Provide new reveal edge ceiling tile system per standards.
Provide new rubber flooring per standards.
Install floor to ceiling mirror wall or large framed mirror per standards.
12 Months
12 Months
12 Months
12 Months
12 Months
12 Months
12 Months
Provide new upgraded lighting.
Provide new disclaimer signage, hours of operation, etc., per standards.
12 Months
12 Months
Update aerobic exercise equipment to system standards. Minimum requirements Include club quality pieces with built-in TV
monitors: 1) Treadmill(s); 2) Stationary bicycle(s) - Recumbent or upright; 3) Stair stepper or elliptical trainer (s)
Provide resistance equipment to include: 1) Stretching or Exercise Mats; 2) Medicine Ball Set (4 lbs. -12 lbs.) w/tiered rack; 3)
Exercise Ball(s)- 65 cm.
4.13
Fitness Room
12 Months
12 Months
Provide minimum 55" LCD HDTV for weight area (all cords and wires must be concealed).
4.15
Fitness Room
Provide new towel / trash cabinet.
5.09
2.24
Front Desk
Guest Laundry
6.28
Guestroom
12 Months
12 Months
Install market / sundries retail display next to the front desk. (Inventory to include Hotel RL branded blanket)
As noted in Fitness Room requirements of this document, it is recommended that the Guest Laundry/Game Room enhance place
in order to provide a larger area for the fitness equipment. Minimum improvements in the Guest Laundry include: 1) Replace
ceiling tile with new ACT w/reveal edge; 2) Provide tile floor and base; 3) Remove computer table and older seating grouping
(these items may be replaced with new but are not required); 4) Replace any III -functioning games; 5) Patch/repair walls and/or
provide new finish.
Replace mattress and box spring to Hotel RL specification in rooms that did not receive new sleep sets at brand conversion.
6.35
Guestroom
9.02
12 Months
12 Months
12 Months
Replace television with 55" flat screen Smart HDTVs with HD programming (including required standard and premium channels).
Landscaping
Update / replace landscaping to meet current standard and ensure building has superior curb appeal. Include features such as
new plantings in flower beds and planters at signage base. Incorporate new features such as window boxes and planters that
flank the entrance. Provide new mulch or rock for any bare areas.
10.02
Lobby / Public Areas
Refinish luggage carts and provide new carpet at bases.
11.01
Meeting Rooms
11.03
Meeting Rooms
11.06
Meeting Rooms
11.07
Meeting Rooms
11.08
Meeting Rooms
11.09
Meeting Rooms
13.02
Public Restrooms
Repair/refinish meeting room doors and frames. Ensure all doors have a viewer into room.
Provide new ceiling tiles system that meets standards (minimum ACT w/reveal edge)
Replace carpet, padding and base.
Replace wall vinyl.
nstall new contemporary artwork.
12 Months
12 Months
12 Months
12 Months
12 Months
12 Months
12 Months
12 Months
Replace any damaged/permanently stained meeting room seating.
Pool Restroom: Renovate the men's and women's pool restrooms to include: 1) New floor tile; 2) New wall tile (or other finish);
3) New granite vanity with under mount sink and single lever faucets; 4) New decoratively framed mirror; 5) New vanity lighting;
6) New accessories and hardware; 6) Refinish doors and replace corroded door hardware (e.g., kick plates).
12 Months
12 Months
Property Improvement Plan
Licensee agrees to implement the following programs and operationai'standards titirneet the Licensor's standards as of Opening Date and Subsequen
Dates herein noted.
ID Area
Task
14.15 1Restaurant/Lounge
Category
If buffet is to remain an offering in the restaurant, replace the draped tables with a permanent buffet (including an engineered o
natural stone counter and cabinetry base that coordinates with the area furnishings.
12 Months