TRC CAPITAL PARTNERS, LLC
The hotel portion of a two-in-one hotel and apartment development in the Texas Medical Center will be an Intercontinental-branded hotel, which speaks to the ethnic and geographic diversity of the medical center's clientele, the hotel's developers told the Houston Business Journal.
U.K.-based InterContinental Hotels Group PLC (NYSE: IHG) will open its 21-story, 353
room Intercontinental Houston Medical Center in late 2018. The hotel, which will share a lobby with a Greystar apartment development dubbed Latitude Med Center, will include 11,800 square feet of meeting space, a 7,800-square-foot ballroom and more. The joint apartment and hotel project, located at 6750 Main St., is being developed by Houston-based Medistar Corp. and TRC Capital
Partners. Click through the slideshow for a first look inside the hotel and apartment development.
"It's a great project for Houston in general," said Joel Eisemann, chief development officer of The Americas for Intercontinental Hotels Group. "Having a hotel like this will attract more demand into Houston." Plans for the development first emerged in 2014, when TRC Capital Partners announced that it would develop and own a 250-room hotel with 40 to 60 apartment units alongside Medistar. Plans for the number of apartment units have since changed, Medistar's Paul McCleary told the Houston Business Journal in January. It's unclear how many units there will be, but units at Greystar's complex will range from 349 square feet to 3,767 square feet. The apartment will also open in 2018, a Medistar representative said. Developers hope the apartment captures the business of nearly every kind of patient, practitioner and student in the medical center.
The hotel will also capture the business of family members visiting patients with long stays in the medical center, a Medistar spokesperson said. The Texas Medical Center can be viewed as a separate economic ecosystem from the broader Houston economy, Eisemann said. The International Hotels brand is viewing this as a multidecade investment in Houston's growing international community, rather than being deterred by the state of Houston's oil markets.
"I think the first time I visited the (medical center) site was probably three-and-a- half or four years ago, and I know my team has been working on this even prior to that," Eisemann said. "So, when a project is of this size and magnitude in terms of investment, and is a bit complicated … sometimes it takes a while to put it together."
California-based PCCP LLC issued a $73.1 million senior construction loan to Medistar for the construction of the hotel, the real estate finance firm announced in a release. Other costs associated with the project weren't disclosed.
The project broke ground earlier in the spring and should deliver near the end of 2018. Regarding the apartment, Greystar is the general partner and the developer, while Medistar is the limited partner. Atlanta-based The Preston Partnership is the architect; Hoar Construction was tapped as the general contractor. On the hotel side, St. Louis-based HOK designed the hotel’s exterior; HOK’s New York office designed the interior. GHJ Construction is the general contractor.
Cara Smith Reporter
Houston Business Journal