Hotel Conference Center Project


Background

Beginning in the 1990s, the City Council recognized the need for additional meeting space in Roseville due to strong economic growth, community and business requests, and the general lack of high-end meeting and full-service lodging facilities.  Completion of a full-service hotel and conference center would satisfy an unmet community and business need, and would introduce another important amenity capable of generating significant economic benefit.

 
On April 18, 2012, the City Council was presented with the findings of a preliminary feasibility and market study for a full-service hotel and conference center in Roseville. The results of the analysis indicated that such a project was potentially feasible under a private/public partnership financing structure and that more detailed study was warranted. In response to these findings, Council directed staff to issue a Request for Proposals (RFP) to identify a development team competent in financing, designing, constructing, and operating hotel and conference centers, particularly those with private/public financing experience.  On December 5, 2012, following an extensive recruitment and interview process, the City Council selected P3 International, LLC. as the Hotel & Conference Center RFP finalist and approved an initial pre-project agreement and exclusive right to negotiate with P3 International for potential development and operation of the project.

The project would be located on vacant City-owned property adjacent to the Westfield Galleria Mall and Highway 65, and envisions a 203-room full-service hotel with approximately 15,000 to 20,000 square feet of meeting space comprised of breakout meeting rooms, executive boardrooms, and a ballroom large enough to accommodate approximately 600 seats in a banquet setting. 


Public Opinion Survey Results

To understand and quantify the level of community support for the hotel & conference center project, the City retained the services of Fairbank, Maslin, Metz & Associates (FM3) to conduct public opinion research during the week(s) of November 5th and 12th. FM3 conducted random sampling of businesses and residents, and also directly contacted specific businesses based on total employment and type of services provided. Interviews were conducted via telephone and lasted 10 to 12 minutes. The survey results demonstrated strong support, with over 62% of voters and 79% of businesses in support of the project and the City’s pursuit of it.  Click here for a complete breakdown of the survey results. 

Status

On September 11, 2013, the City Council authorized the City Manager to execute a Phase One Agreement with P3 International, LLC to perform specific exploratory pre-development studies concerning the Hotel & Conference Center project. Among other things, the Phase One Agreement provided for: enhanced schematic design drawings; development of a preliminary guaranteed maximum price (GMP); conference center market study, including a detailed local and regional economic impact analysis; an updated hotel market study; brand and 3rd party operator recruitment; development of an in-depth operating pro forma; and, investigation and development of specific financing vehicles. Completion of an Environmental Impact Report is also underway.

Deliverables required by the Phase One Agreement have been completed or are nearing completion as follows:

• The architect has finalized the enhanced schematic design drawings and continues to consult with the selected general contractor for value engineering opportunities;
• The general contractor was selected and GMP proposal received, subject to brand standards and further value engineering;
• The conference center market study has been completed;
• An updated hotel market study was completed by PKF, with rate and occupancy projections more favorable than the previous 2011 study;
• An operator has been tentatively selected, and brand recruitment is currently underway,
• Discussions are continuing in earnest to determine the most suitable ownership/legal structure and tax status;
• Pro-forma development is underway and will be finalized following validation by the selected brand and 3rd party operator; and,
• The Environmental Impact Report was released for public review and comment from May 12 through June 26, 2014.

Project Documents & Reports

Preliminary Feasibility Analysis - 4/18/12 City Council Staff Report 
Request for Proposals - 4/19/12
Initial Pre-Project Agreement and Exclusive Right to Negotiate - 12/5/12 City Council Staff Report
Public Opinion Survey Results
Phase One Agreement and Environmental Impact Report Contract - 09/11/13 City Council Staff Report
Hotel & Conference Center EIR - Notice of Preparation (Comment period: 11/21/13 - 12/23/13)
Hotel & Conference Center Conceptual Design Plans (revised 5/2/14)
Council Design Update Presentation - 02/19/14
EIR Contract Amendment & Environmental Studies Augmentation - 02/19/14 City Council Staff Report
1st Amendment to Phase One Agreement - 04/2/14 City Council Staff Report
Major Project Permit and DEIR - 06/26/14 Planning Commission Staff Report

Draft Environmental Impact Report (Comment Period: 5/12/14 - 6/26/14)


Public Hearing Notice and Draft EIR Notice of Availability

HCC DEIR - Cover Page HCC DEIR 4.6 - Transportation & Circulation
HCC DEIR - Table of Contents HCC DEIR 5.0 - CEQA Considerations
HCC DEIR - Title Page HCC DEIR 6.0 - Project Alternatives
HCC DEIR 1.0 - Introduction HCC DEIR 7.0 - List of Preparers
HCC DEIR 2.0 - Project Description HCC DEIR Appendix A - NOP & NOP Comments
HCC DEIR 3.0 - Executive Summary HCC DEIR Appendix B - Initial Study
HCC DEIR 4.0 - Environmental Analysis HCC DEIR Appendix C - Air Quality & Greenhouse Gas Report
HCC DEIR 4.1 - Aesthetics HCC DEIR Appendix D - Biological Assessment
HCC DEIR 4.2 - Air Quality & Greenhouse Gases HCC DEIR Appendix E - Cultural Resources Report
HCC DEIR 4.3 - Biological Resources HCC DEIR Appendix F - Sewer & Water Design Analysis
HCC DEIR 4.4 - Cultural Resources HCC DEIR Appendix G - Transportation Study
HCC DEIR 4.5 - Public Utilities HCC DEIR Appendix H - Urban Decay Analysis

Final Environmental Impact Report

HCC - FEIR

Anticipated Schedule


The Planning Commission reviewed and recommended certification of the Environmental Impact Report and approval of the Major Project Permit at its June 26, 2014 meeting.  City Council action on the Final EIR and Major Project Permit is scheduled for its regular August 6, 2014 meeting.  Final feasibility studies will be presented to the Council in late summer/early fall, at which time the Council will provide direction to proceed or not proceed with the project.

Contact

Questions regarding the project can be directed to Mike Isom, Deputy City Manager, at (916) 774-5527 or via email at misom@roseville.ca.us.