A proposed hotel development in downtown Tucson is one step closer to being underway.
Oregon-based Obie Properties has worked with Pima County and the Rio Nuevo district for two years on a plan to build a hotel with ground-floor retail and an event alley on the vacant lot at 75 E. Broadway.
During presentations to both Supervisors and to the Rio Nuevo board, officials with Obie described the project as something that would draw both visitors to Tucson and locals to its downtown for events.
The company plans to design an alley, adjacent to the hotel, with retail shops, restaurants, bars, a bandstand and events coordinated with the University of Arizona a βrally in the alleyβ that coincides with Wildcat games.
The retail spaces will be between 200 and 500 square feet, with the majority being local vendors of food and beverage, candy, baked goods, jewelry and plants, among others.
The futureΒ Tucson Inn and Marketplace at 75 E. Broadway will feature an event alley, where local retail shops and outdoor music and movie events will be held.
Developers also envision outdoor movie nights in the alley, as well as farmer's markets.
There will be a rooftop βcocktail poolβ intended to create ambience for both hotel guests and local visitors.
Plans to build a boutique hotel and retail center on the vacant lot at 75 E. Broadway are moving forward.
The parcel, directly across the street from TEP and owned by Pima County, was designed (pre-Covid) to attract a primary employer and a Class A office. When the pandemic wiped out the office market and the developer exited, the county and Rio Nuevo solicited proposals for the parcel from any willing developer, not suggesting a type of use.
The award went to Obie Properties, an owner/operator of several boutique hotels and retail markets, that has similar projects underway in Eugene and Corvallis, Ore.
The futureΒ Tucson Inn and Marketplace at 75 E. Broadway will be similar to the boutique hotel and event alley under construction in Eugene, Ore.
Earlier this week, the Pima County Board of Supervisors approved the option to rent the land to Rio Nuevo, which can then complete an incentive deal with Obie Companies for the project.
Supervisors voted to set Rio Nuevoβs rent at $204,820 per year.
Now called The Tucson Inn and Marketplace, the details of a sub-lease agreement for the $50 million project will be voted on by the Rio Nuevo board at an upcoming meeting.
Visit rionuevo.org for meeting dates and agendas that are posted 24 hours prior to the meeting.
The futureΒ Tucson Inn and Marketplace will be developed at 75 E. Broadway, on a currently vacant lot across the street from TEP.
Rio Nuevo has been directed by the state to prioritize bringing more hotel rooms downtown.
There are currently two other hotels in the pipeline, construction of The Moxy, on Fifth Avenue, is expected to begin this year and Hotel Arizona on Broadway will reopen as a Hyatt brand.
