Conroe - Montgomery Edition | May 2023

HYATT at a glance

The Hyatt has been a project of the city since 2015 and has sustained multiple contract revisions ahead of the opening.

dining room, a lobby bar and lounge, and a breakfast buffet. Boothe said other amenities include a business center, high-speed internet, an outdoor pool terrace with an amen- ity deck and a hotel shop. In addition, Boothe said the hotel includes about 30,000 square feet of meeting space open to the public, including two ball- rooms and eight meeting rooms. “Previously, when our local busi- nesses host out-of-town guests for meetings, there was no full-service hotel in Conroe for them to utilize,” Danielle Scheiner, director of the Con- roe Economic Development Council, said in a May 2 emailed statement. “We are excited to have a local facility to accommodate those business needs.” During hotel construction, the cost has changed multiple times. Yousse said the cost is being funded through hotel revenue bonds, certif- icates of obligation, a loan from the Conroe Industrial Development Corp., hotel occupancy tax revenue and interest earnings. He said the increases in the hotel’s cost will not increase the tax burden on residents. Before the hotel was determined to be a Hyatt, its budget was $92 million in 2021, according to previous Com- munity Impact reporting. Once the city contracted with Hyatt and Gar- field Construction, a new guaranteed maximum price was set at $98 mil- lion in 2021. Since then, the price has increased by $10.57 million. Despite the changes in cost, council members said they believe the Hyatt will benefit the community. Council Member Todd Yancey said the Hyatt is going to benefit Conroe and open up future opportunities. “So many conferences can come [to the hotel] instead of being in The Woodlands, and hopefully it will fol- low suit to bring some more things to our area,” Yancey said. “I’m proud of it.”

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$108.57 million, according to city information—a cost that will be paid by bonds. Council Member Howard Wood said the contract between the city and Garfield Construction—the group building the hotel—has been revised seven times, which has received push- back from council. “The contract …. I inherited it. I want nothing but Hyatt to be success- ful, but the seventh final guaranteed maximum price is [kind of] an oxymo- ron to me. … I can’t support it,” said Wood, who voted against the seventh price change April 13. Garfield Construction officials said at an April 12 council workshop that the increased cost is tied to infla- tion and material shortages. The firm would not provide further comment. As the city prepares for the open- ing of its first convention center, its four-person Convention & Visitors Bureau—also known as Visit Conroe—is vacant. In April, the city fired the for- mer CVB manager, Shannon Overby, and a staff member; the remaining two staff members resigned, Overby said. The CVB helps promote tourism in the city of Conroe. With the depart- ment vacant, Yousse said the com- munications team is maintaining the CVB’s marketing efforts in the interim. He said in an April 18 email the city intends on filling the vacant role left by Overby. “We have already posted this open position and are actively seeking quali- fied individuals,” Yousse said. Building the convention center Collin Boothe, director of finance and assistant city administrator, said the Hyatt Regency includes 250 guest rooms and suites, food and beverage facilities, a fitness center, and a pool. There will also be a full-service restau- rant open to the public with a private

TOWN PARK DR.

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D CENTRAL PKWY.

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2021

MAY

Conroe announces the hotel will be a Hyatt.

SEPTEMBER

The Hyatt Regency Hotel and Convention Center breaks ground in Conroe with a budget of $98 million.

2022

COMMUNITY IMPACT STAFF

JUNE

City staff report the hotel's budget exceeds $100 million.

The city of Conroe announces May as the opening date for the hotel.

JANUARY

2023

PEYTON MACKENZIE/COMMUNITY IMPACT

APRIL

Council approves seventh price increase for the hotel’s construction in split vote, totaling $108.57 million.

MAY 25

The city fires its visitors bureau manager before the hotel opens.

The Hyatt Regency Conroe and Convention Center opens. 7 stories

Budget increase:

+10.78%

2024

30,000 square feet of meeting space 1 on-site

250 guest rooms and suites

restaurant

SOURCES: CITY OF CONROE, COLLIN BOOTHE/COMMUNITY IMPACT

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