Joliet approves Marriott incentives

A $5 million incentive package was approved this week for the future Marriott SpringHill Suites in downtown Joliet.

Posh Hospitality plans to open the 82-room hotel in March 2021.

The Joliet City Council on Tuesday voted 8-0 for incentives comprised primarily of tax breaks.

The city expects a big boost in tax revenue even with the incentives as the vacant Barrett's Hardware store is converted into a six-story hotel.

The $18.7 million project has been described as the biggest private investment downtown in 25 years.

Posh Hospitality will add two stories to the 65 N. Ottawa St. building, which is more than 100 years old and has been vacant for two decades. The added floors were needed to get 82 rooms in the hotel.

"This is the most difficult part of the project – adding two floors to the building," Posh Hospitality Regional Manager Dan Scott told the City Council at a Monday meeting. "To be a Marriott we had to be 80 rooms or larger."

The council approved the incentives without comment.

City officials have said the property now generates $375 a year in property tax. It is expected to generate an average of $375,000 a year for a total of $6.7 million in tax revenue for Joliet during the 20 years that the tax breaks could be in effect.

Hotel taxes will be waived for the first five years of business, an incentive valued at $1.3 million, and property tax abatements are valued at $3.1 million. The city and City Center Partnership are providing $450,000 in grant money, and all building permits fees will be waived.