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Developer receives $3.25M loan from state for downtown Rockford hotel

rockford hotel .jpg
Posted at 5:07 PM, Mar 28, 2024
and last updated 2024-03-29 10:12:19-04

ROCKFORD, Mich. — The city of Rockford has been trying for more than 16 years to get a hotel built in its downtown area.

The project came a step closer to reality this week when developers secured a $3.25 million loan from the state.

Developer planning to build hotel in downtown Rockford

"It's got a unique character to it, but it also shows the architecture of the city as it has been," Ryan Wheeler said.

Wheeler's company, Wheeler Development Group, plans to build "Hotel Rose" in downtown Rockford.

"It's a huge expansion to the downtown footprint, bringing it another block south," Wheeler added. "And the ability to retain people from outside of the community coming in, rather than going to hotels off on the highway, can stay right in downtown Rockford."

The hotel, when finished, will have three floors and 54 guest rooms, and would create about 40 jobs.

"We do believe that Rockford is a point of destination. It is a tourism community," Rockford City Manager Thad Beard said.

Beard explained that the city is doing what it can to help fund this $14 million project, and one of the final pieces came earlier this week with a low-interest loan from the state.

"Tuesday was a really big deal," Wheeler said. "The state support definitely made this project happen."

The hotel will eliminate 50 parking spaces in downtown Rockford.

rockford hotel  site.jpg

"There is plenty of parking in Rockford. Sometimes it might not be exactly where you want to park, so you may have to go a little further and come back," Mayor Terry Konkle said.

The city conducted a parking study in 2019 to not only look at existing parking, but also to project how a future development could impact downtown parking.

Results of that study showed that a few parking lots reach capacity during peak times, but the majority of downtown parking lots do not.

The city says the parking lots that do not reach capacity typically are within a city block of the center of Rockford's downtown shopping district.

This study prompted the city to add more way finding signs directing people to the 800+ free parking spaces, added more 15-minute parking spaces for quick trips into local businesses and added more parking spaces throughout the downtown area.

Plus, the city says it plans to add additional parking spaces with future projects, such as reconfiguring the existing Towers parking lot and the Krause Memorial Library expansion.

"I am confident that we have the parking capacity to meet the needs. I am just as confident that there will be a high level of perception that we do not because I know that it will change our parking habits," Beard added.

Right now, the closest hotels are several miles away, which is Wheeler believes plenty of people will choose to stay in downtown Rockford.

"Getting those people to stay in Rockford — I think it's the experience and the people that want to be in a downtown environment, like Rockford, that's, that's fun and walkable rather than just out on the highway," Wheeler said.

"We expect people that visit and use the hotel will explore Rockford, looking at the different places for the boutique shops, as well as the restaurants, the ice cream shops," Beard added.

This development will also bring two new restaurant options to the downtown area, as well as two new retail spaces.

Construction on this mixed use development is set to begin late this spring Main Street between Maple and Bridge. It's expected to be open for guests by June 2025.

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