The Kissimmee City Commission will vote on the possibility of a downtown hotel development partner on May 6th after hearing four proposals at a workshop earlier this week.
“Two very different projects and four very different presentations,” Mayor Jackie Espinoza declared, “Kissimmee is open for business.”
According to a report by GrowthSpotter, options include rooms for $250 per night, ranging from a mid-price extended stay hotel to a 10-storey luxury convention center hotel on Lake Front. She asked the commissioner to weigh the differences and gather feedback from business owners and constituents over the next three weeks.
“We have a huge responsibility,” Espinoza said. “So, as we saw, every presentation, big or small, every presentation, big or small, is a very challenging and terrifying time for us, so we have to do something as a city growth because we have to make the right decisions, because we do nothing here.”
Tohong Square
City leaders have worked for years to attract quality hotels to the central business district on the Toho Square Parking Garage or Kissimmee Civic Center premises.
The Kissimmee Place Development Group’s unsolicited bid late last year moved the wheels for future deliberations.
The KPDG, led by urban planner Santiago Fernandez, proposed a public-private partnership with the city to develop the Hyatt Place hotel and conference centre. The company has already exercised its first reflection for another hotel site at Kissimmee Gateway Airport.
The downtown hotel will wrap around Toho Square Parking Garage, featuring 300 rooms and 30,000 square feet of meeting space. It will be developed in two phases at a cost of $92 million.
“It’s in the middle of your CRA, so we want to bring some kind of energy to the area,” Fernandez said.
This is a view of the hotel facing Lake Tohopekaliga. (Rendering by Woolpart)
The hotel features a full spa, a rooftop pool and 30,000 square feet of meeting space. (Rendering by Woolpart)
Developers will seek a 90-foot-high exemption to accommodate roof pavilions. (Rendering by Woolpart)
The outdoor wedding venue features views of downtown. (Rendering by Woolpart)
Prefunctional spaces are remembered due to non-functional roofs. (Rendering by Woolpart)
The lobby cafe has a train depot theme. (Rendering by Woolpart)
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This is a view of the hotel facing Lake Tohopekaliga. (Rendering by Woolpart)
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Another Toho Square proposal came from Skyview Companies. It recently won a Hallmark Award at Beaumont Redevelopment/Allen Apartments in Kissimmee. “That’s the type of project we want to do,” CEO Stephen Liberty said. “We are in Kissimmee town. It has proven value to Kissimmee town.”
Consultant Mario Farias said Skyview deliberately chose not to build a convention hotel. “We’re here to build a hotel that’s used in the community as a whole, in the community,” he said.
Skyview’s plans require an extended stay of 113 rooms, apartment-style hotel connected to both ends of the parking lot. It is divided into five-storey buildings with a pool on the west side and a three-storey building on the east side, facing E Monument Avenue. The hotel is home to the Sonesta Es Suites brand.
“We’re not here to build a budget hotel here,” Farias said. Prices range from $125 to $145 per night, with special rates for long stays.
Liberty said the hotel could open by the fourth quarter of 2026 if selected. “If you get to do this project, it’s done, done right and done very quickly.”
Redevelopment of Civic Center
Two developers proposed a hotel in a building next to the library on the grounds of what is now Kissimmee Civic Centre.
One of the proposals was a resubmission from IHRMC Hotels & Resorts, which last year proposed a limited-service hotel on the site. The revised proposal replaced the proposed Hampton Inn to replace the full-service Hilton Garden Inn with 120 rooms, a restaurant, an outdoor garden terrace and a bar. The lack of full-service hotels was one of the main reasons why the committee members refused to trade IHRMC in 2024.
They proposed a budget of $130,000 per key, or $27.6 million, and an average daily room rate between $160 and $180.
The company will renovate the Civic Center building and operate it under a profit-sharing model with the city. “We toured the building and thought it was a good foundation and a good thing to build,” CEO Jan Gautam said.
Building a hotel will take a groundbreaking 18-20 months.
Other Lake Front proposals were received from Ramon Gomez, CEO of Azure Hotel Holdings Inc. for the Civic Center property.
They were asked to destroy the civic centre and build a 10-storey luxury hotel with 300 rooms, structured parking and shuttle service. The attached 40,000-square-foot convention center will be built in the current parking lot. The estimated cost is $171 million.
Audrey Gonzalez of Priority Hotels & Resorts said the property will be added to the company’s portfolio, including notable independent hotels such as the Alfond Inn and Ette Hotel.
Gomez said Pininfarina will take the design lead for the 4½ star hotel. The team said there is a commitment from lenders to 90% of construction costs and is seeking a 10% donation from the city.
Gomez estimates the opening in 2029, and expects daily room rates to fluctuate between $180 and $250 based on the season.
Deputy Mayor Angela Eady asked all groups the same two questions. Whether to use union construction workers and hotel staff to support whether to provide benefits to employees. All four said they would not oppose union labor.
Any tips on developing Central Florida? Please contact me at lkinsler@growthspotter.com or (407) 420-6261. Follow GrowthSpotter on Facebook and LinkedIn.
