A developer has submitted plans to demolish the Anaheim Plaza Hotel & Suites and build a luxury hotel on the site – the first to take advantage of a citywide subsidy that would help pay for the project.
Good Hope International, an affiliate of the Wincome Group, could start construction next year on a 580-room hotel standing more than 78 feet tall, with 25,600 square feet of retail and 50,000 square feet of meeting space.
While the luxury brand has not been announced, the proposed hotel would be built on 8.8 acres of land near Harbor Boulevard and Disney Way and open sometime in 2018, according to a development plan delivered Tuesday to Anaheim’s Planning Department.
It would cost more than $160 million to build the hotel, financed in large part by a 70 percent return on bed taxes collected there over 20 years under a relatively new economic incentive aimed at encouraging developers to build hotels that meet AAA’s guidelines for four-diamond ratings.
At the end of the agreement, the city would collect 100 percent of the bed taxes generated by the hotel.
“We believe the market is ready for another four-diamond hotel in Anaheim,” said Paul Sanford, asset manager for the Wincome Group, which also owns the Anabella Hotel in Anaheim and the Avenue of the Arts Hotel in Costa Mesa.
“We’re seeing higher-end conventioneers and higher-end leisure tourists with the expansions going on at the Convention Center and at Disneyland,” Sanford said. “We think it will contribute to the higher-spending demographics of people wanting to stay and spend in the area.”
Anaheim’s Planning Commission could consider approving the project as soon as spring; the City Council must give final approval.