Irish Inn Owners Set to Retire

Today's Daily Register includes my story on the upcoming closing of the Irish Inn near Ozark in Pope County. Owners Brian and Lynne McCreery say it's time to retire after 12 years in the innkeeping business.

As I note in the story just in the last few years the inn has not only been named the "Small Business of the Year locally by the SIC Small Business Development Center in Harrisburg, but has received national recognition as among the Top 14 'Most Romantic,' the Top 10 'Fido Friendly,' and the 'Most International B&B in North America' to just name a few."

Lynne remains a strong supporter of tourism in the region and had good recommendations for those who want to go into the lodging business.

Check out the story for more.

Investors Target Area for Tourism Projects

Hardin County
Two cabins at Timber Ridge Outpost and Cabins opened Memorial Day weekend just off of Karbers Ridge Road a couple of miles away from Garden of the Gods.

Timber Ridge also opened one of their tree houses last week and a larger one now under construction should be finished by Sept. 1.

Elizabeth Canfarelli, one of the owners tells more about the idea for the tree houses.



Harrisburg
A video gaming parlor is being planned for the former Fox Cleaners location at the north end of Parker Plaza, according to shopping center's property manager. No application with the state has been filed yet. At least four other establishments have applied for video gaming licenses with the Illinois Gaming Board.

Marion
Logan's Roadhouse is wrapping up construction on Halfway Road around the road from a new Panera Bread and another restaurant is looking at the land immediately north of them. The Marion location will be the fourth in Illinois for Logan's.

Mr. Koolz Frozen Yogurt is coming to the former Stevens building on Williamson County Parkway across from Walmart and next door to Black Diamond Harley-Davidson. Rent One has purchased the building and is in the process of remodeling it.

Williamson County Commissioner Brent Gentry is opening the new establishment. According to the store's Facebook page, construction is under way and plans are to open next month in August.

Murphysboro
The Southern Illinoisan reported Monday that Martin Schaldemose, owner of the Old Train Depot is planning a major renovation of the historic structure in the 1700 block of West Walnut Street.

The owner said he hoped to begin major reconstruction in two months. He plans to knock out a southwest wall to make space for a larger kitchen. He also said he’s going to build an addition on the west side of the building to increase seating.

He would like to have a café with pastry and fine coffees during the day and transform the space into a “classy and cozy” restaurant with hints of French decorating at night.

A separate building south of the depot would be converted into an ice cream stand and bakery.

Oil Leasing Boom Boosting Mount Vernon Occupancy

According to oil and gas officials by way of a Southern Illinois lawmaker the flurry of oil and gas leasing in the east half of the region in preparation for a potentially massive oil boom has already boosted occupancy rates in Mount Vernon. Neighboring Wayne County and Hamilton County are the current hot spots for leasing after three companies started in Saline County last year.

State Rep. Brandon Phelps, D-Harrisburg, passed along the tidbit Thursday during the last day of the spring session in what was either the second or third interview of the day. A surprise move by a liberal college-town representative change an all-parties agreed upon fracking bill into one that would cause a two-year moratorium on the use of hydraulic fracturing, a technique that's been used for more than 60 years in Illinois.

Phelps and region's other lawmakers of both political persuasions blocked consideration of the bill and possibly saved hundreds if not thousands of potential jobs coming to the region. Fracking and horizontal drilling is expected to begin this summer. If they find oil in the New Albany Shale formation about a mile under the surface like they have in the Bakken formation up in North Dakota all bets are off for the region.

My story quotes Phelps as describing it as a potential $100 billion industry. I'm pretty sure that was with a "b" and not an "m" in the figures. Already oil and gas officials briefed lawmakers Thursday about the current impact of the potential boom.

Phelps noted that right now he was told, "(We) have 200 land men in Southern Illinois representing 10 companies. Hotel occupancies are up 20 percent in Mount Vernon alone."

My story from April talks more about the history of fracking in the region.

Southern Illinois lawmakers aren't the only ones who have been briefed about the potential for the region.

Even U.S. Senator Dick Durbin of Illinois who has been vocal in his support of new federal regulations targeting the use of coal expressed support for fracking during his visit to Harrisburg earlier [in April].

"You know we're going to ask all the right questions because there are legitimate concerns, but we've found it can be done safely if it is carefully regulated. We don't want in any way to contaminate water supplies in the process. We don't want to put anyone's public health in danger. We just want it done in a thoughtful careful manner that will call for some government oversight and regulation to make it work," Durbin explained.

...the Democratic senator would rather see the regulations take place at the federal level...

"If it can be done in that way it's a source of energy that we never dreamed of that's just sitting there waiting to be tapped," said Durbin who remained coy at giving an exact value to its potential, only pointing to the oil boom taking place in the Bakkan shale formation in North Dakota...

So how big is the Bakken boom? Well, first, Mount Vernon's higher occupancy rates may only be the beginning.

Williston, N.D., is the center of the new oil boom. KPAX-TV reported May 8 that Williston saw 10 hotels open last year with six or seven ready to open later his summer. At one point the Holiday Inn was charging $250 a night.

When I wrote my story quoting Durbin, North Dakota was the nation's third-largest oil-producing state. Since then on May 15, the Wall Street Journal reported North Dakota has now surpassed Alaska as the nation's second largest oil-producing state. Only Texas produces more oil.

Belleville Pursues Hotel on Illinois Route 15

The Belleville News-Democrat has a story this afternoon about their mayor's desire for a new hotel on the city's west side at Belleville Crossing.

BELLEVILLE -- Mayor Mark Eckert has said for the past several years that the sour economy has kept development at bay, but he thinks the time may be right to tackle new ventures again.

He and The DESCO Group, the developer of Belleville Crossing on Illinois 15, are talking about the possibility of a hotel in that area. He said the two parties agree that, with the economy bouncing back, the area is ripe for opportunity.

"I'm asked all the time: Why aren't we going after a hotel?" Eckert said. "It is time to start to pursue this again."

The story notes a developer backed out after the recession started in 2007 who wanted to build a Hampton Inn.

There's hope yet for Belleville. Marion's two newest hotels, the new Holiday Inn Express & Suites and the Comfort Inn now under construction were both 2007 projects that were sidelined by the recession but have since made a comeback.

The challenge for Belleville is that the location is in the opposite direction of the interstate highways.

Holiday Inn Express Opens in Marion

The new Holiday Inn Express & Suites opened on The Hill in Marion May 6 just in time for the busy SIU-C graduation weekend. Stephen Rickerl has the story in the Southern which focuses on more about the The Hill's growth itself.

The opening of the new hotel adds 101 rooms for Marion. The former Holiday Inn Express off of Exit 53 is now Best Western Plus Marion Hotel. Meanwhile progress continues on a new Comfort Inn which will add 64 rooms.

The new room count should be around 1273 for Marion and 1411 overall for Williamson County, however it's possible another 50 or so rooms will disappear in the next year as developers eye America's Best Inns for new restaurants. Additional rooms may be lost at another older hotel if the owners go through with a renovation to combine rooms and create new suites.

In another name change, the original Ramada Inn and most recently a Days Inn, switched flags and is now an American's Best Value Inn.

Harrisburg Targets TIFs for Growth

View Proposed Harrisburg TIF Districts in a larger map

The City of Harrisburg is looking to aggressively use tax increment financing districts (TIFs) to not rebuild following the devastating Feb. 29 tornado but also growth their economy with new developments along Illinois Route 13 Bypass which recently opened up completely.

I've got a story in today Daily Register about the background on the plans. Mayor Eric Gregg indicated following their city council meeting tonight that council will take up the TIFs at a special meeting on Monday, April 30.

They already set a continued meeting for that morning at 8 a.m. to pass a budget before the beginning of the city's new fiscal year in May. The special meeting will likely immediately follow.

The city's already working with lawmakers to get their 22-year-old TIF I an extension for another 12 years. A proposed TIF II would run along the new bypass, named the Bill Franks Way. TIF III would cover the area on the south side of the city hit by the tornado.

There's no specific tourism component in these TIF plans, but the city's two modern hotels, the Super 8 and Comfort Inn were both built within TIF I during its early years. The Saline County Tourism Board and some of those interested in TIF II have long sought a new higher end lodging establishment.

Most of the commercial development, both retail and hospitality are mostly located along U.S. Route 45 on the city's east side. The new bypass offers potential of a new east-west business corridor creating a 7-shaped business district.

Saline County Commissioners apparently endorsed the extension of TIF I Tuesday night at a special meeting where they approved an option to purchase nine acres of county property along the north side of the bypass for a major new residential project. It lays in both TIF I as well as the portion of the first TIF that is being added to the new TIF II.

The city needs the written support of the major taxing bodies by the end of next week so state Sen. Gary Forby, D-Benton, and state Rep. Brandon Phelps, D-Harrisburg, and attached language to an existing TIF bill to extend the life of TIF I. The end of the spring legislation session is quickly approaching in May.

The next step for TIF II is a city council vote approving the feasibility study. For TIF III they need to officially hire the TIF consultant and begin the work on third TIF.

Marion Doubles Hotel Bed Tax

The Marion City Council approved a measure Monday night that would double the city's bed tax adding a 5 percent hotel "use" tax to the existing 5 percent hotel "occupation" tax.

The new 10 percent local tax compares with Carbondale's 8 percent rate and Mount Vernon's 5 percent plus $2/night rates. Adding the state's 6 percent rate, tourists in Marion would pay an overall rate of 16 percent.

The Southern reports that the funds would help the city pay for a new community center and other projects.

Chester Gives New Motel OK For TIF

The proposed Microtel motel project in Chester will move forward with the city's help following a 5-4 vote last night by the city council.

The Southern Illinoisan has the story.

Mayor Joe Eggemeyer cast the deciding vote after the council split 4-4. The vote was just to start negotiations with the developers over the use of TIF funds. If an agreement is reached the council will hold another vote.

Project partners James Best of Chester, John Bergfeld of Sparta and John Pawloski of Godfrey are proposing to build a $6.5 million, 60- to 85-room hotel development at the site of the old Hi-3 motel, which has been closed for about 20 years.

Chester currently has one hotel, Reid's Best Western Inn, owned by Brad Reid, also the owner of Reid's Harvest House.

If an agreement is reached, the paper noted that the developers are eligible to be reimbursed for up to 75 percent of the new property taxes generated from their improvements.

Illinois law doesn't allow TIF funds to be used for new construction, but costs associated with the property acquisition, demolition of the old motel, site preparations and dirt work would be eligible expenses.

Chester Struggles With New Hotel Decision

View Larger Map
To build or to block — that's the question for the Chester City Council.

Developers James Best of Chester, John Bergfeld of Sparta and John Pawloski of Godfrey have proposed a project to build a $6.7 million 65 to 80-unit Microtel hotel on the highway above the Chester Mental Health Center and the Menard Correctional Center. The project would replace the shuttered post-World War II motel, the Hi-3, that's now closed.

To cover part of the redevelopment costs they want to use funds from future property tax payments to the city's existing TIF district.

The problem rests with the owner of the one remaining hotel, the Reid's Inn Best Western, who says there's no room for two in town, and that the city shouldn't be financing his competition.

The city went as far as hiring an expert to conduct a study. The expert though was a property appraiser out of the St. Louis market. That's a problem, the developers imply - he's not really an expert in their field.

The Randolph County Herald-Tribune has his complete report online.

As the council debates the issue they should consider two items not in the report.

First, do they really want to protect what appears to a 40-year-old ex-Ramada Inn now affiliated with Best Western over a brand new property?

In Mount Vernon, the former Ramada became a Best Western and is now shuttered. There's a reason for that, modern travelers not driven by the price will avoid those properties like the plague.

The report states that most of the furnishings in the existing Best Western are less than two years old. That may be true, but it still looks like an old Ramada Inn on the front.

That's not to say it isn't well run. Reviews at TripAdvisor.com are generally positive and complimentary.

Second, if the Chester city fathers would look to Marion they would see that the last seven hotels (and the two now under construction) have all benefited either directly or indirectly from tax increment financing.

Up the interstate, Mount Vernon has created a new TIF district alongside it's new interchange. Presumably any future hotels that locate there will benefit to some extent from those efforts.

City leaders create TIF districts when they determine that blighted conditions are hurting their communities. Lines are drawn, then any development that takes place within those lines become eligible for tax increment financing.

A TIF agreement has to be reached between the developers and the city, but unless the proposed development is a public nuisance or will hurt the community in the long run, it's really not the city's business to start making value judgments.

To me, the difference between venture socialism (like Solyndra and GM) and the use of general tax incentives is the amount of government interference and political posturing that takes place.

Incentive programs like TIFs possess a clear-cut set of rules. If the developer meets the objectives, then they qualify for the incentives. The decision to offer the incentives has already been made when the city established the TIF district in the first place.

The local owner of the Best Western argues that it's not the city's role to pick winners and losers. He's right. It's not the city's role to block competition in the marketplace.

Another thing. The study rightly points out that both Chester and Randolph County lost population during the first decade of the 21st Century. The Southern Illinoisan pointed out that the site in question has been a closed motel for 20 years.

The Chester city council was right in taking steps to revitalize their community by creating a TIF district, but if they balk at local investors wanting to redevelop blighted eyesores, I'm not sure where they're going to grow.

Herrin Innkeeper Ann Hindman Dies

A former co-worker at the Williamson County Tourism Bureau just contacted me that Ann Hindman, proprietor of the Park Avenue Motel in Herrin died this morning.

Hindman and her late husband and Herrin contractor Paul Hindman had opened the motel back in the early 1960s. I served with her on the Williamson County Tourism Bureau board of directors twice, and then later as executive director of the bureau. I could always count on her to speak her mind if she felt the need, which I appreciated.

She and her husband broke ground for the Park Avenue at the beginning of August 1960.

"Construction will be concrete and fireproof throughout," [Paul] Hindman [told the Southern Illinoisan at the time].

Concrete slabs will form the room and Anna stone and aluminum decorative screens will be used on the walls. Each room will be 12 by 20 feet. The portion near the entrance will house a coffee bar, office, lounge and meeting room.

Rainy weather delayed construction as her husband worked to fit it into his schedule of other work. Finally, after months of delays, the Hindmans opened the motel on April 15, 1962.

A full-page ad from July 17 that year told tourists what they could expect.

The PARK AVENUE MOTEL is a new concept in downtown motel convenience. Mr. and Mrs. Paul Hindman, owners, believe in making every guest as comfortable as possible. In each of the 20 units are automatic telephones, electric heating and air conditioning, television, wall-to-wall carpeting, tile bath and showers. And something special ... courtesy coffee located in each unit! Truly, this is comfortable living.

Stop by the PARK AVENUE MOTEL the next time you’re in Herrin. Paul and Anna Hindman will be glad to show you how staying at the PARK AVENUE MOTEL will leave you rested and refreshed.

Located at 912 North Park Avenue, Phone WIlson 2-3159.

Mrs. Hindman was pretty particular who she let stay at her place. If you looked rough or ratty, she wouldn't hestitate to send you packing.

At least up to the last few years she cleaned the rooms herself. To make a telephone call, she would have to personally make the connection on the old-fashioned telephone operating board in the office.

Over the last few years I would get updates every once in a while about her condition as she struggled with some ailments. She will be missed. She was a Herrin institution.

Her husband Paul died Nov. 2, 2000, at the age of 77.

Funeral arragements are pending at Johnson-Hughes Funeral Home in Herrin.

Hotel Receipts Up in Region for FY11

The good news is hotel bed tax receipts were up for the 12 months ending in June 2011. The bad news, it's extremely difficult to match the state figures with local bed tax receipts. That shouldn't be the case (more on that later), but now the numbers.

After many areas took a battering last year in lodging revenues, most counties in Southern Illinois saw an increase in FY 2011.

Overall, the Illinois Department of Revenue reported that the state saw a 3.3 percent overall increase in bed tax collections throughout the 17-county region from Mount Vernon south (at least in the 11 counties where they broke out figures; data wasn't available for the other six). Area lodging operators collected more than $3.1 million for the state's 6 percent bed tax from travelers in the region.

For the last couple of decades Mount Vernon and Marion have boasted the most hotel rooms along with interstate interchanges, but for the last two years Williamson County has surprassed Jefferson County in taxable hotel revenues.

Jefferson County lodging operators brought in more than $13.5 million during the 12 month period compared to Williamson County's $13.9 million. Both counties saw revenues just 7.3 to 7.4 percent.

Jackson County saw revenues go up 1.6 percent to $8.7 million. Massac County also saw a small increase of just 1.2 percent to $4.35 million, but river flooding is also partly to blame with two of Metropolis' major properties closed at times this spring due to the high water, (one of which was still closed for remodeling as of a few weeks ago).

Franklin County comes in fifth with $2.9 million in hotel revenues, down 10.6 percent during the year, and down 16.9 percent compared with two years earlier.

Randolph County with hotels in Chester and Sparta saw a 10.5 percent drop in revenues last year, down to $2.5 million, but they're still up 7.8 percent over the last two years.

Union County rounds out the top seven counties with its establishments reporting just under $1.6 million in revenue. They were down three-tenths of a percent compared with the year before. Unlike its larger competitors, Union County sees most of its revenues come from smaller specialty properties of cabin rentals and B&Bs rather than hotels and motels.

In reality, Union County's lodging operators actually played a bigger role, as the state counts establishments by their zip codes rather than their actual location. Thus all of the places with Makanda zip codes including Giant City Lodge, are included in Jackson County's totals.

Likewise Williamson County loses three cabins with a Carbondale zip code to Jackson County, but picks up two at the Lake of Egypt with a Creal Springs zip code that are actually in Johnson County.

Elsehwere Saline County experienced a 13.1 percent increase with hotel revenue up to nearly $1.3 million. Perry County hotels followed with nearly $1.2 million, pretty much the same as the year before.

White County with most of its lodging on its north side at Grayville and Interstate 64 reported $1.1 million in hotel revenue.

Hardin County lodging operators reported $356,000 in revenue down 2.1 percent from the year before while Pope County saw a 35.9 percent increase in revenues reported though from a smaller base. Their operators reported $262,000 in room rentals.

No figures were made available for the industry in Alexander, Gallatin, Hamilton, Johnson and Pulaski counties (as well as White County for previous years). The state doesn't release county level information if there are fewer than four lodging establishments paying state taxes.

Another problem is that even when the zip code issue is taken into account, the state's still four or five establishments short in Williamson County alone. Either some folks aren't paying the state taxes, but should, or there's yet another issue with the Department of Revenue's procedures.

The difference between the state and county's figures in Williamson County is more than a vacation rental, or an outdated motel or two that's more residential than tourist any more. It's the equivalent of one or two of the largest hotels not paying.

I'm beginning to wonder if the state is counting the location of the hotel management company and where they write the monthly check rather than the actual location of the hotel. All the Department of Revenue is concerned about is, well, the revenue.

The problem is that the Williamson County Tourism Bureau may be getting shortchanged in state funding, just as Carbondale benefits and Southernmost Illinois Tourism loses when Giant City Lodge and all the other Makanda-addressed facilities on the Union side of the county line get counted in Jackson. Except in Williamson County's case the figures may be more significant.

Local certified convention and tourism bureaus are funded by local bed tax collections as well as a state Local Convention and Tourism Bureau (LCTB) grant. The General Assembly appropriates the overall amount for the LCTB grants and the Illinois Bureau of Tourism uses a formula to distribute the funds proportionally among the various bureaus. The formula is based on three components; the state's bed tax collections from the bureau's service area being the biggest component, with restaurant sales tax collections being the second biggest factor.

The problem? IBOT gets the figures for their formulas from the Illinois Department of Revenue.

That's a mystery I don't have time to unravel right now, but at least we can focus on the positive: More people are spending more money in Southern Illinois than they did the year before.

New Hotels to Add 165 Rooms in Marion

The addition of a new Holiday Inn Express with 101 rooms and a new Comfort Inn with 64 rooms will take Marion's room count from 1108 to 1273, when both projects are open by early 2012. Williamson County's count will grow from 1246 to 1411.

The top seven hotels in Marion have averaged around 78 percent of the motel tax receipts over the past five years. The seven are Comfort Suites, Country Inn & Suites, Drury Inn, Fairfield Inn, Hampton Inn, Holiday Inn Express (soon to change to another flag when the new hotel opens), and Quality Inn. When they open the Big 7 will become the Big 9.

The other motels in the city generate about 6 percent of the overall bed taxes. That leaves the remaining lodging establishments outside the city limits making up about 15 percent.

To put it in perspective, all the lodging establishments in the county generated roughly $700,000 in the 5 percent bed tax levied in calendar year 2010. Forty percent, or about $280,000 went to the Williamson County Tourism Bureau and 60 percent, or about $420,000 went to the Williamson County Events Commission to pay debt service and mandatory reserves on the Williamson County Pavilion.

Since then the city has taken over the Pavilion and levied a 3 percent bed tax on city hotels that preempts the county's 3 percent bed tax for the Pavilion within the city limits. The city issued new bonds to take the place of the outstanding debt. The biggest difference in terms of operational benefit is that any excess bed tax collected by the 3 percent city tax can be used by the city for operations. Under the original bonds, the excess funds went into a separate Bed Tax Savings Account that couldn't be touched short of a major disaster.

The Big 7 hotels have 640 rooms. Adding another 165 is a 25 percent increase. If the new hotels can add to the market rather than just eating into the existing hotels' market share (and that's what their competitors are hoping), then that could be a big kick of revenue for the tourism bureau and the Pavilion.

A 25 percent increase of the Big 7's 85 percent of the market using 2010 figures comes to just under another $60,000 for the bureau and almost another $90,000 for the Pavilion.

Being realistic the figures might be half that amount with the shaky economy. However historically bed tax revenues were up nearly 50 percent between 2010 and 2000 in Williamson County.

Even better, the larger hotels in Marion often employ far more employees than most people realize as they have to remain open 24 hours a day, seven days a week. Other than the management positions, it's not the highest paying jobs in town, but in this economy, every job counts! 
 
Looking Back — 2000 to 2010

The county started the 21st Century with 1303 rooms. The county lost 200 when the old Holiday Inn/Travelodge/Executive Inn finally shut its doors in 2004, and another 53 rooms or so when Jim Zeller bought the back wing of America's Best Inns and tore it down for the new Country Inn and Suites in 2008. Another 20 rooms at SIU Touch of Nature aren't counted any more when the university decided it was no longer going to collect bed tax back in 2007.

Meanwhile Lake Tree Inn & Suites opened in 2000 with 20 rooms, Fairfield Inn opened in 2004 with 89 rooms, Hampton Inn expanded mid decade with another 20 rooms, and Country Inn & Suites opened in December 2008 with 69 rooms.

The decade also saw the expansion of the specialty lodging market. Olde Squat Inn already had 5 cabins and added two more. Devil's Kitchen Cabins opened with two cabins in 2006 and are now up to three. The Four Seasons Campground in Herrin added two cabins in 2006, though in recent years they've been turned into apartments.

The first traditional bed and breakfast inn, Oakridge Manor B & B opened in 2004 with four rooms and they've since added a fifth. Mary's Bed and Breakfast in Herrin opened in 2008 with two rooms and Jasones Bed and Breakfast in Marion opened with five rooms in 2010.

The county also saw its first legal vacation rental, the Carriage House open down at the Lake of Egypt in 2008. Regrettably, there are at least two more on the north side of the county line down at the lake that aren't legal having failed to pay the county any bed tax.

Overall specialty lodging has gone from 1/10th of one percent to about 1.3 percent of the market in the last decade.

A Missed Opportunity

Regrettably in August the county board voted to eliminate the county's 3 percent bed tax after the city took over the Pavilion. Far from being next to nothing, the county threw away about $63,000 in economic development funds that could have been spent on brick and mortar tourism development projects in the county. The tax affected 10 properties, including two modern motels, four older motels, two properties with 10 cabins, two bed and breakfast inns and one vacation rental.

Potential development projects could have included a system of tourism highway signage on county highways and roads to compliment what's already on the state highway system, interpretive signage at county historic sites, capital funding for repairs to public and non-profit tourism sites, capital funding for the proposed tourist information center next to the chamber office, engineering costs for development of bike trails connecting to the Tunnel Hill State Trail, or proposed bike trails in Crab Orchard National Wildlife Refuge, and matching funds for larger state and federal development grants.

The 3 percent county bed tax had been added to pay for the Pavilion, a big capital project that was originally proposed to help tourism development. When the city took that over, the money should have been moved to something similar. Although the bed tax is collected by local lodging operators it's paid by out-of-town visitors. Lowering the bed tax rate doesn't attract any more visitors to the area, it just throws away thousands of dollars that would have been coming to the county but now won't.

Construction Updates in Marion

A few pictures from earlier today.

The new Holiday Inn Express on The Hill is up to three stories now. The goal is four stories and 101 rooms.

Progress continues on the former Marion Truck Plaza, purchased last month by Pilot Travel Center.

Last picture is the Comtech building on DeYoung St., a few blocks west of Court Street (Illinois Rt. 37).

With the expansion of Route 13 to six lanes from the interstate east to Route 37, all the buildings on the north side of the street from E. N. Baker Cash Chevrolet will be moved or demolished.

It looks like a little recycling work has begun as workers dismantled the metal roof of the building this afternoon.

This used to be a restaurant in the 1960s when originally built. I think it lasted until the early 70s, but I'm not sure.

New Comfort Inn underway in Marion

It's not been announced, no story in the paper, not even a building permit on file yet with the city, but there's a second new hotel coming to Marion, and this time it's a Comfort Inn.

The proof is in the mail, or at least on the outside of the mailbox at 2403 Black Diamond Drive, between Sao's Asian Bistro and Black Diamond Harley-Davidson's warehouse as seen in the background of the photo.

A number of people have known about this for sometime as it's been in the works now for four years. It was one of three new lodging establishments under development when I was at Williamson County Tourism, but after Country Inn & Suites opened and the recession hit, everyone went quiet for a while.

Now that we have a Holiday Inn Express under construction and currently up to its second floor, it's apparently time for the new Comfort Inn to make the big leap from simply being proposed, to actually becoming a reality.

From the way it looked Friday before the rain site prep must have just started this past week. No building permit was on file as of Thursday or so at City Hall, which isn't that much out of the ordinary. The big apartment complex underway on Russell Street south of St. Joseph's Catholic Church didn't have a permit either even though they've cut down the trees and are getting ready to lay waterlines this week.

The 2.36 acre lot for the hotel sold four years ago on Dec. 14, 2007, for $346,250, or $3.37 a square foot (down from the $8.45/sq.ft. asking price). It includes 286 feet of road frontage and runs 359 feet deep. On the east side a lake divides this property from the Fairfield Inn on top of The Hill.

The Comfort Inn brand is part of Choice Hotels International which franchises more than 6,100 hotels around the world. At the end of June they had 450 hotels under construction, awaiting conversion or approved for development in the United States. Other brands include Comfort Suites, Quality Inn and Econo Lodge which are already represented in Marion. The original Comfort Inn in Marion is now the Quality Inn.

Choice Hotels hold the second largest market share of all chains, behind only Wyndham.

Updates on new Holiday Inn Express, One-Stop

Reed Station Hotels LLC out of Carbondale took out a Marion building permit last week on the 11th for their new Holiday Inn Express on The Hill in Marion.

Located at 2609 Blue Heron Dr, the inn will be located immediately to the east of MidCountry Bank and across the road in front of Rent One Park. Charlie Brown of Carbondale is the principal driver behind the hotel. His group also owns the Holiday Inn in Carbondale and has built others as well.

The building permit, the 22nd of the year so far, is the largest project to date at $4.7 million. Speakeasy Liquors is the second biggest.

Clearwave Communication took out building permit March 31 for a $560,000 office and mechanical building at 1100 Golf Drive immediately west of Marion Suburu. In other construction matters the city has issued  permits this year for four new homes and three triplex apartments.

There's no official word yet on the new Ron's One-Stop slated for the southwest corner of Route 13 and Halfway Road. In the last few weeks crews took out the gas tanks and torn down the old station. No building permit has been filed yet. It's supposed to be similar to the Ron's One-Stop on the east side of the interstate, except there won't be gas. Instead it will be a combination convenience store, focusing on tobacco products and liquor. An application for a liquor license supposedly has already been submitted.

Meanwhile, up Halfway Road, Speakeasy Liquor announced a few hours ago that they're now taking applications for employment on their Facebook page.

Signs That the Recovery Is Here (or at least near)

Not only did the Great Recession (extended needlessly by Washington politicians clueless to past history) kill off Marion's Circuit City distribution facility and the all-but-announced Target distribution center on the east side, but it also put a stop to some smaller projects near the Interstate.

For the last couple of weeks though signs, like the spring flowers, are popping up that these long-delayed, or at least long-contemplated projects are about to bloom.

To be honest, both of these as of yesterday still haven't taken out building permits with the city, but site work is progressing.

At the corner of Route 13 and Halfway Road, owners of the old Amoco station across the street from the truck stop, had all but the north end of the building down yesterday. This was the first gas station west of the interstate built in the mid 1960s.

Originally built as a service station with a garage, over the years different owners have redesigned it as a convenience store, but it's just been too small and too inefficient a design. Between the truck stop on one side and the FiveStar Food Mart across the highway that opened in 2007, it was only a matter of time. Now the word in some of the neighboring businesses is that it's a new station.

Ron Kruep of Mount Vernon owns the Ron's One-Stop chain of stations in the region. He's never hesitated to close down, sell off, or just completely rebuild from scratch when needed. He already has the One-Stop on the east side of the interstate at Route 13 and Carbon.

Up Halfway Road will be an even bigger development just east of MidCountry Bank on Blue Heron Drive. They cut an entrance in the retaining wall on Morgan a few months ago, and for the last couple of weeks there's been a new sign. Marion, it appears, will be getting a new Holiday Inn Express.

Based on past interviews with the owner Charlie Brown who also has the new award-winning Holiday Inn at Carbondale, the Marion facility will be 101 rooms. (At least that's what I remember though to be honest I can't find my notes right now).

Unlike the Carbondale facility it will not have a restaurant attached to the property. However, if you check out the map for The Hill, there is an outlot between the new hotel and Stadium Drive that could become home to (say, ahem, an Olive Gardens possibly?) That's just speculation based on a long-running rumor. I've also heard of another location for the long-sought eatery on the west side, though with the Millennium Development all bets are off as to where such a restaurant might locate. Over the years Olive Gardens rumors have popped up almost as much as the Busch Gardens one.

Right now Williamson County has about 1245 rooms available with 1108 inside the Marion city limits. The new hotel would place Marion about at the same level as Mount Vernon in terms of rooms along the interstate. Even with 1209 rooms, it would still be less than half of what Paducah supports.

The proposed destination hotel in the Millennium Development project would bring another 300 to 450 rooms based on what the smaller Great Wolf Lodge inns offer. (A GWL hasn't been confirmed, but just given as an example by the developers of what they would like to attract.)

Brown's company has owned the land for the new Holiday Inn since at least 2007, but has not moved forward due to the credit crunch caused by the recession. Though it's never been formally announced, the project was one of three hotels looking at building in Marion around 2006-2007.

Jim Zeller went ahead and got the Country Inn and Suites up and running before the recession hit. A third developer bought the land behind Sao's Asian Bistro but has never developed it.

Meanwhile the new Speakeasy Liquors now under construction on Halfway Road has the roof. According to their Facebook page they will be holding a job fair later this month, but as of tonight have not set a date.

Kokopelli Details to be Unveiled Tuesday

Now that Kokopelli has new local owners, area residents await details of their plans which will be announced Tuesday at a news conference in Marion.

The premier golf club has suffered from non-local ownership over the last few years and a year-long process to sell the course and restaurant held up by the federal government.

David Hays and Michael Koller, principal owners of Green Grass Group LLC, will let everyone know more in three days.

Already previous hints indicate more residential development. Other ideas over the years have included condos and some short-term tourism rentals on the golf course.

In April the owners let some of the details slip to the Southern.

Green Grass has big plans for the club's future, which include the development of a planned community, "The Club at Kokopelli," Green Grass Vice President Mike Koller said.

The community is planned for the area around what will be a new entrance to the club on Halfway Road. The road will tie the club from its current parking lot to Halfway Road near Rent One Park.

"This is going to be a long-term project. Our goal is to have up to 90 units," said Koller, who will be heading up the company's development plans.

The extension of Halfway Road north of Rent One Park up to the clubhouse. That was part of the original Hill development plan.

From a tourism standpoint, it would make the clubhouse and course much more accessible to travelers wanting to golf or sample the fine dining.

Hays also owns Mary's Restaurant and Bed and Breakfast in Herrin.

Green Grass Group LLC purchasd the course from Kokopelli Master Partners, a Florida consortium based in Gainesville. They had acquired it from Dutch native and Zimbabwe-national John Bredenkamp. The Times of Johannesburg, South Africa, has more on him.

Two Loft Rentals Under Construction in Alto Pass

A northern Illinois teacher is investing time and capital on a new lodging opportunity along the Shawnee Hills Wine Trail.

Brian Stone is converting the old Alto Pass General Store into two two-bedroom loft rentals for tourists. He told the Southern Illinoisan he hopes to be ready for tourists late this summer.

"It's just been my dream to have a business like this on the wine trail. I just always believed in Southern Illinois," said Stone, a teacher in northern Illinois. "People have always been doing cabins down there. I thought to do something out of the box and com-pletely different to give an alternative."

The Alto Wine Trail Loft will be located at 5 Elm Street in downtown Alto Pass.

Stone joins about 50 other independent lodging operators in the western Shawnee Hills.

Hundley House reopens as Carbondale bed and breakfast

The Southern Illinoisan featured Carbondale's historic and possibly haunted Hundley House in the paper this weekend.

The home's original owners' former Carbondale Mayor John Charles Hundley and his wife Luella were murdered there in 1928. Ghosts sightings and strange noises has long been part of the two-story brick home's mystique.

Dan Jones bought the property last year and converted it from the more recent uses as offices and retail to the bed and breakfast.

The inn offers three suites. Guests can check availability and make reservations online.

For more information check out the inn's website at www.HundleyHouse.net.

Marion's Hotel Industry Surges in 2009

Some thoughts on 2009 lodging in Marion

Despite the bad economy last year, tourism grew in Marion and Williamson County at least in terms of hotel taxable receipts.

Bed tax collections for the 25 active lodging establishments in the county grew by 15.5 percent last year over 2008 to $791,741.06. That was the best since 11.3 percent growth in 2005.

The bed tax receipts show tourists and travelers spent more than $15.8 million directly on lodging last year in the county with all but about 15 percent of that spent directly with establishments inside the Marion city limits.

In both 2005 and 2009, much of the growth could be attributed to a major new hotel being added to the mix. Country Inn & Suites opened in December 2008. Previously, Fairfield Inn had been the last player added.

With Country Inn, the Big 6 hotels in Marion became the Big 7 and collectively increased their market share from 78.2 percent to 79.1 percent, but the new hotel didn't cannibalize its competitors as some had feared. The other six major hotels collectively saw their taxable receipts grow by 6.6 percent in 2009 versus just a 1 percent jump in 2008.

All sectors but the oldest motels in the county saw growth last year.

Overall the Big 7 were up 16.8 percent, the mid-level motels (both the small chains and independents) were up 19.1 percent, and the specialty lodging category of bed and breakfast inns, cabins and vacation rentals grew by 41 percent thanks to new units being added.

The lodging operators inside the Marion city limits attributed for 84.8 percent of the market share.

All lodging operators in the county from the smallest vacation house rental up to the largest hotels pay a bed tax equal to 5 percent of their receipts to the county which is split 40/60 between the Williamson County Tourism Bureau and the Williamson County Events Commission (the funds to the latter group goes to pay the financing costs for the Williamson County Pavilion). The actual receipts taken in by the hotels are actually greater than the taxable receipts as rentals for more than 30 days are not covered by the bed tax.