Developer proposes hotel for Huntley business park
Huntley village officials are considering a proposal to build a 90-room hotel on nearly seven acres within the Regency Square development south of Kreutzer Road.
The village board recently reviewed a concept plan for the proposed Hampton Inn & Suites hotel by Hilton, calling for 27 suites among its 90 rooms, a large conference room, and indoor pool and a fitness center. The proposal does not include a bar or restaurant on-site.
The property's contract purchaser, Pramit Patel of NewGen Assets LLC, is an owner, operator and developer of Hilton brand hotels and has been in the hotel business for about 35 years.
Patel told the village board his family previously owned 12 hotels, which were sold off. He is looking to rebuild a portfolio of hotels in Illinois and Indiana, and is building a Hampton Inn & Suites hotel in DeKalb.
The Huntley project is estimated to cost $13 million. It is expected to create between 25 and 30 jobs and could generate roughly $457,500 in yearly tax revenues for the village.
Patel said a feasibility study determined the location is favorable for a hotel, which could attract corporate clients who typically stay in Elgin or Schaumburg hotels.
Village trustees were receptive of the concept because it also could accommodate residents' visiting family members.
To go forward, Patel needs a special-use permit from the village to build a hotel on the site currently zoned as a business park. He also is seeking financial assistance from the village.
Village officials authorized staff to negotiate a business development agreement with the developer that could provide 100% property tax abatement and 100% rebate of the village's hotel/motel tax for 10 years.
If the market can support it, Patel also is proposing a future addition of an extended-stay hotel with roughly 90 rooms.
If approved by the village board, construction on the first hotel could begin next spring, with opening slated for the summer of 2021.