Who got what: Center City hotels and how much public $$ each received

This is a reality when building large scale commercial projects.  While I don't doubt the figures quoted, I do see that a significant source of public funding has been left out of this article and wonder if the ratios and figures are understated.

Who got what: Center City hotels and how much public $$ each received

The controversial tax increment financing district proposed for a new W and Element hotel at 1441 Chestnut St. just cleared a hurdle.

City Council’s finance committee signed off on it and the bill’s next step is a to head to council for a final vote, which could happen in two weeks.

The developer of the hotel is seeking a $33 million so-called TIF tax break along with a slew of other public subsidies to help finance the $280.4 million project. It would add 700 new hotel rooms to the downtown market by 2017, when it is projected to be completed.

Center City hoteliers have said the market can’t handle that many new rooms until bookings and issues with the Pennsylvania Convention Center improve. The timing of the project is bad, they contend.

These hotel owners have received public subsidies for their projects. Here’s a run down on who got what based on Philadelphia Industrial Development Corp. data. It shows how dependent these hospitality projects are on public support.

• Marriott: $214 million total project cost, 28% public subsidy, $57 million grant, $2.9 million tax abatement;

• Marriott Expansion: $45 million total project cost, 39% public subsidy, $8.5 million TIF, $5.9 million historic tax credits, $1.5 million loan, $1.25 million grant;

• Loews: $115 million total project cost, 48% public subsidy, $16 million TIF , $24.0 million loan, $15.3 million historic tax credits;

• Ritz-Carlton: $80 million total project cost, 38% public subsidy, $19.1 million loan, $10.7 million historic tax credits, $900,000 tax abatement;

• Courtyard by Marriott: $77 million total project cost, 26% public subsidy, $10 million TIF, $10.3 million historic tax credits;

• Hyatt: $66 million total project cost, 17% public subsidy, $10 million loan, $900,000 tax abatement;

• Hawthorne Suites: $25 million total project cost, 18 % public subsidy, $4.5 million loan;

• Hampton Inn: $23 million total project cost, 33% public subsidy, $7 million loan, $700,000 tax abatement, $150,000 grant;

• Kimpton Palomar: $92 million total project cost, 27% public subsidy, $12.2 million historic tax credits, $6 million loan, $5 million grant, $1.9 million tax abatement;

• Kimpton Monaco: $88 million total project cost, 79% public subsidy, $50 million loan, $11.7 million historic tax credits, $5 million grant, $2.4 million tax abatement;

• Hilton Homewood Suites: $48 million total project cost, 29 % public subsidy, $8 million, grant $4.6 million loan, $1.2 million tax abatement;

• Hilton Home2 Suites: $59 million total project cost, 38 % public subsidy, $12.8 million grant, $8 million loan, $1.8 million tax abatement; and

• Courtyard Marriott-Navy Yard: $33 million total project cost, 64% public subsidy, $19.5 million loan, $1.5 million tax abatement.

Source: Philadelphia Business Journal