RSA extends hotel control on both sides of Mobile Bay
http://www.miami.com/mld/miamiherald/busin.../9153687.htm?1c
By GARRY MITCHELL
Associated Press Writer
July 14, 2004
With the purchase of the Adam's Mark Hotel in downtown Mobile on Wednesday, the Retirement Systems of Alabama has tightened its grip on the hospitality industry on both sides of Mobile Bay as the port city prepares for the arrival of a cruise ship.
The 377-room Adams Mark, the distinctive glass tower across from the city's convention center, will undergo a $15.7 million renovation, RSA CEO David Bronner said in a statement announcing the purchase of the hotel from the Presidio Hotel Group of Fairfield, Calif. The price was not disclosed.
"We are planning to make this hotel a world-class property," added Ed Kulik, president of Alabama Real Estate Holdings, an arm of RSA, which already owns the Marriott Grand Hotel across the bay at Point Clear.
Win Hallett, president of the Mobile Area Chamber of Commerce, said RSA's investments, including the Grand Hotel, have totaled about a quarter-billion dollars in this part of Alabama.
"Do you take that as a plus or a negative?" Hallett asked, dismissing complaints he has heard that "Dr. Bronner bought Mobile."
"I just think he sees some really significant economic development opportunities here. He's not known for making bad investments," Hallett said. "He's confident where the city's trying to go."
Adams Mark general manager Mark Kaiser said about 100 new jobs could be created over the next nine months as the hotel undergoes renovations. The hotel, which is called home by the Senior Bowl and GMAC Bowl, as well as Mardi Gras guests, will remain open during the renovations, he said.
"It's going to be a pretty extensive remodel," Hallett said.
RSA also is renovating the 240-room Battle House Hotel while constructing the state's tallest office building - a $162 million, 35-story office tower that will adjoin the historic Battle House downtown in the block next to the Adam's Mark.
RSA's strategy is to operate four-star hotels on both sides of the convention center while preparing to create a home port for a Carnival Cruise Lines vessel here in October.
The Adam's Mark will become the Riverview Plaza Hotel until a franchise is signed by new operators. Discussions are under way with Marriott, Starwood, Hilton, Intercontinental Hotels and Crowne Plaza, said Knud Svendsen, the vice president of sales for PCH Hotels and Resorts, Inc., the management company for Alabama Real Estate Holdings.
Before the RSA purchase, the previous owner, Presidio, had named Crowne Plaza as the new operator.
"We're evaluating all the options," Svendsen said.
Svendsen said the hotel developments will "change the way people perceive downtown Mobile. This is going to help secure our investment in downtown."
RSA also provided financing for the cruise ship terminal to accommodate Carnival's passengers.
Other Alabama hotels managed by PCH include: The Legends at Capitol Hill in Prattville; The Lodge and Conference Center at Grand National in Opelika; Ross Bridge Golf Resort & Conference Center in Hoover, opening next May; The Shoals Golf Resort, Spa & Conference Center in Florence, opening in April.
http://www.miami.com/mld/miamiherald/busin.../9153687.htm?1c
By GARRY MITCHELL
Associated Press Writer
July 14, 2004
With the purchase of the Adam's Mark Hotel in downtown Mobile on Wednesday, the Retirement Systems of Alabama has tightened its grip on the hospitality industry on both sides of Mobile Bay as the port city prepares for the arrival of a cruise ship.
The 377-room Adams Mark, the distinctive glass tower across from the city's convention center, will undergo a $15.7 million renovation, RSA CEO David Bronner said in a statement announcing the purchase of the hotel from the Presidio Hotel Group of Fairfield, Calif. The price was not disclosed.
"We are planning to make this hotel a world-class property," added Ed Kulik, president of Alabama Real Estate Holdings, an arm of RSA, which already owns the Marriott Grand Hotel across the bay at Point Clear.
Win Hallett, president of the Mobile Area Chamber of Commerce, said RSA's investments, including the Grand Hotel, have totaled about a quarter-billion dollars in this part of Alabama.
"Do you take that as a plus or a negative?" Hallett asked, dismissing complaints he has heard that "Dr. Bronner bought Mobile."
"I just think he sees some really significant economic development opportunities here. He's not known for making bad investments," Hallett said. "He's confident where the city's trying to go."
Adams Mark general manager Mark Kaiser said about 100 new jobs could be created over the next nine months as the hotel undergoes renovations. The hotel, which is called home by the Senior Bowl and GMAC Bowl, as well as Mardi Gras guests, will remain open during the renovations, he said.
"It's going to be a pretty extensive remodel," Hallett said.
RSA also is renovating the 240-room Battle House Hotel while constructing the state's tallest office building - a $162 million, 35-story office tower that will adjoin the historic Battle House downtown in the block next to the Adam's Mark.
RSA's strategy is to operate four-star hotels on both sides of the convention center while preparing to create a home port for a Carnival Cruise Lines vessel here in October.
The Adam's Mark will become the Riverview Plaza Hotel until a franchise is signed by new operators. Discussions are under way with Marriott, Starwood, Hilton, Intercontinental Hotels and Crowne Plaza, said Knud Svendsen, the vice president of sales for PCH Hotels and Resorts, Inc., the management company for Alabama Real Estate Holdings.
Before the RSA purchase, the previous owner, Presidio, had named Crowne Plaza as the new operator.
"We're evaluating all the options," Svendsen said.
Svendsen said the hotel developments will "change the way people perceive downtown Mobile. This is going to help secure our investment in downtown."
RSA also provided financing for the cruise ship terminal to accommodate Carnival's passengers.
Other Alabama hotels managed by PCH include: The Legends at Capitol Hill in Prattville; The Lodge and Conference Center at Grand National in Opelika; Ross Bridge Golf Resort & Conference Center in Hoover, opening next May; The Shoals Golf Resort, Spa & Conference Center in Florence, opening in April.
