Oconto Falls is a prime location for a new hotel, according to an Oconto County market study completed earlier this year.
The study was commissioned by the Oconto County Economic Development Corporation to determine if the economy and lodging demand in the county could support a new hotel. It also analyzed the county to determine an area with the greatest potential for a successful hotel operation that could promote future economic growth countywide.
City Administrator Vicki Roberts said a hotel, like any new business, would be create taxable property and generate jobs.
“This is a big deal for the Falls,” said Paul Ehrfurth, OCEDC director, “but it won’t be something that happens without some work.”
The work he referred to is finding investors.
“I need you to help me identify people who can invest 50 to 100 grand or more in a hotel,” he told members of the Oconto Falls Area Chamber of Commerce at their August meeting.
Based on the findings of the Hospitality Marketers International Inc., a limited-service, mid-priced hotel located in central Oconto County would have a potential for success.
“The existing lodging supply in this market was identified as being older, so a new, quality, mid-priced hotel would stand out in this area,” the study states.
Operating with a regional or national brand was recommended, and local investors would be asked to fund approximately half the cost, which Ehrfurth said could total $2.5 million.
“They’re not going to come in and pop for 100 percent of the project,” he said, referring to hotel chains.
A packet of information prepared for investors includes architectural drawings of a potential hotel building, which shows the exterior of the building and inside views of the lobby, a meeting room, swimming pool and individual rooms.
Cobblestone Hotels brochures are part of the packet and list hotel facilities in 10 states, including Wisconsin. Cobblestone’s headquarters are in Neenah.
The recommended size for hotel development is a 32-room unit, according to the study. Additional amenities might include a fitness center, indoor pool, parking for recreational vehicles and trailers, and a meeting room for business and social events, such as wedding receptions.
An opening date of early spring is preferred, just before the busy summer vacation season.
The city has a site selected for the hotel, but Roberts said she was not ready to go public with the information.
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