Hotel Kaskaskia auction ends without sale, new auction planned

An online auction for Hotel Kaskaskia ended Wednesday without a sale, CL Real Estate Development President Steven Hussey said in a news release.

“The highest bid did not achieve the confidential reserve price, so [CLRED] chose to terminate the auction,” Hussey said in a statement.

The three-day online auction for the downtown La Salle hotel and surrounding parcels was conducted by Ten-X, a real estate firm. Hussey previously told Shaw Local News Network that after spending more than a decade investing and trying to finance the 217 Marquette St. property, CLRED opted to auction the hotel to allow another developer an opportunity.

Hussey said another auction will be conducted in two to three weeks to achieve a bid closer to the suggested reserve price and more in line with the CLRED’s investment.

The city of La Salle declined to comment, as it was not involved in the auction.

Earlier this month, the city released its preferred redevelopment options.

La Salle Economic Development Director Curt Bedei said that the city favors a boutique or resort-style hotel, supported by a feasibility study for a 96-room concept with amenities such as a rooftop terrace, restaurant, lounge and ballroom.

Other possibilities include market-rate apartments above retail, open-air green space or repurposing the nearby historic post office into a hospitality or arts venue.

The city ranked them in order of preference.

The six-story hotel, opened in 1915, is listed on the National Register of Historic Places and is situated within La Salle’s Historic District.

For information on the property, visit loopnet.com/Listing/Historic-Strategic-Redevelopment-Block/36031642.