Peru will get a hotel designed for extended stays.

Monday, the Peru City Council unanimously approved a pair of Tax Increment Financing agreements with Pojo Limited Partnership and an Ohio corporation called Sunrise Hospitality, Inc.

With those agreements in place, contractors are expected to break ground on an extended-stay hotel on May Road, west of Route 251. The property in question is on the site of the old Howard Johnson’s, located west of Arby’s and across from Popeye’s.

Corporate Counsel Scott Schweickert said the developer had demolished the remains of the Howard Johnson’s, reimbursed through TIF funds, and will break ground in the spring.

“We’re expecting the hotel to commence construction this May,” Schweickert said, “and substantially complete construction by October 2027.”

Schweickert said the developer plans a minimum of 90 suites in a four-story structure.

City Engineer Eric Carls said a formal press release from the developer is forthcoming.

“It’s great to create some activity there,” Carls said.