Hyatt Place Planned for Chesterfield

Hyatt Place hotel to be built in Chesterfield

Friday, September 2, 2011

St. Louis Business Journal

By: Matthew Hibbard

Drury received approval Aug. 15 from the Chesterfield City Council to build a second hotel tower near its Drury Plaza Hotel at the mall.

The 1.05 acre site, which is appraised for $1 million, is owned by Drury and was part of the initial plan when the 274-room Drury Plaza Hotel was constructed. The cost to build the proposed tower is estimated at about $14.4 million dollars, said Gary Andreas, a hospitality consultant. Drury officials declined to comment, citing the early stage of the project.

Drury will franchise the building under the Hyatt Place flag, and guests will share the existing parking structure. Drury has a similar arrangement at its Valley Park location in Fenton where it franchises with the neighboring Hampton Inn.

Libby Tucker, Chesterfield's assistant city manager, expects the new Hyatt Place hotel to have 145 rooms. Site plans for the new hotel as well as a contractor and architect have yet to be announced for the project, she said. Construction is expected to begin sometime this fall.

Andreas said Drury could be going after the extended-stay market. The 104-room Residence Inn and the 145-room Hilton Homewood Suites are the two extended-stay hotels in the area. But Andreas doesn't see the need for another hotel.

"There really isn't demand in Chesterfield for additional hotel rooms," he said. "They are adding more fingers to divide a shrinking pie."

Elliott Rhoad, general manager for Homewood Suites in Chesterfield, said occupancy rates have increased over last year. He said this year's rates have returned to levels comparable to those set between 2007 and 2008.