[BoulderCouncilHotline] Questions on hill hotel for tonight

[Morzel, Lisa]

I have a few additional questions regarding our memo on the hill hotel for our study session tonight:

1. Regarding the PIF, planned investment fees, please explain in more detail how this would apply to the entire Hill retail or would this only apply to the 10,000+ square feet of retail proposed for the hotel

2.  How was the feasibility gap of $6 million determined?  Was this determined by the developer or was there an independent third-party financial analyses completed?  How is the funding gap being defined?

3. What are the metrics determined in the return on investment for the hotel? How does this relate to the funding gap? Were different metrics used with regard to a funding gap number that has determined the return on investment?

4. How does the project perform separate from the estimated return on investment or subsidy from the city or UHGID?

5. What is the unleveraged ( no city subsidy) internal rate of return on this project?

6. What discount rate applies here and how will this change over time?

7. What is the estimated total project cost and how does that compare to the stabilized net operating income or NOI?  What is the estimated % yield on cost?

8. How long once a hotel potentially is approved, when will the hotel be fully operational ?

9.  What methodology was used to estimate that the completed project will generate $1.7 million more tax revenue annually to the city of bolder then is generated by current uses on the site?

10. Regarding payment to UHGID in event of an early sale, why did we start the 5-year timeline with a certificate of occupancy rather than from the point in time when a potential partnership is finalized? How was the five-year timeline determined?

11.  What type of financial and planning analysis has been done for the highest and best use of this site?  Could council have access to a quick high-level pro forma on the rates one would get from a hotel use vs multi family housing ?

12. Has there been an analysis on the residual land value of our parking lots both on Pleasant and on 14th?  Has there been such an analysis done on this site planned for the hotel?

Thanks. 

Lisa

Lisa Morzel
Boulder City Council Member

303-815-6723 c
303-938-8520 h

"The ultimate measure of a woman is not where she stands in moments of comfort and convenience, but where she stands at times of challenge and controversy."
Martin Luther King, Jr.