Newspaper article Pittsburgh Post-Gazette (Pittsburgh, PA)

Developer Finalizes Deal to Build Hotel in Project at Former Downtown Macy's

Newspaper article Pittsburgh Post-Gazette (Pittsburgh, PA)

Developer Finalizes Deal to Build Hotel in Project at Former Downtown Macy's

Article excerpt

The same group that offered the high bid for the August Wilson Center for African American Culture has finalized a deal to build a hotel on two floors of the former Macy's department store Downtown.

An affiliate of Reception Hotels and Resorts paid $8 million to buy the fifth and sixth floors and parts of the first floor of the Pittsburgh landmark from Philadelphia developer Core Realty.

Matthew Shollar, a representative for Reception, said a "significant portion" of the purchase price involved pre- construction costs it is sharing with Core in the conversion of the former Kaufmann's flagship store, a project that also will include putting 311 apartments and two floors of retail into the building used to sell merchandise to Pittsburghers for more than a century.

The hotel deal represents a key step in the efforts to redevelop the building at Fifth Avenue and Smithfield Street following the closing of the Macy's - the last department store Downtown - in September.

Mr. Shollar said construction of the hotel should start this summer.

"We're certainly happy to have done this. It is a big step in the project going to fruition. We're looking forward to making a brand announcement and rolling things out in short order," he said.

Reception is planning a 155-room, full-service hotel "with upscale and unique food and beverage offerings and an expanded amenity set," he said. While Mr. Shollar declined to identify the brand, it is expected to be an Even Hotel developed by the InterContinental Hotels Group.

The Even brand is geared toward the fitness conscious crowd. It offers an "athletic studio" in the hotel with "three workout zones and best-in-class equipment," according to its website.

There are Even Hotels in New York, Connecticut and Maryland, but none in Pennsylvania.

An affiliate of Core purchased the 13-story Macy's building in July for $15 million. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.