St. Louis Wraps Up Deal For Convention Hotel Complex

<B> St. Louis Wraps Up Deal For Convention Hotel Complex</B>

By Robert Selwitz

When St. Louis welcomes the millennium, it also will greet a 1,000-room convention hotel complex across the street from America's Center.

The $172.5 million lodging deal involves three structures. The once-stately Statler--now the vacant 20-story Gateway--will become part of a two building, 900-room Marriott Renaissance.

The property will include 350 rooms in the renovated Gateway, and 550 in an adjoining 38-story tower. At the same time, the chain will convert the nearby Lennox Hotel into a Residence Inn with 115 rooms.

Marriott plans to use the Renaissance property primarily for convention attendees, with the Residence Inn catering to meeting planners and other organizational professionals who stay on site for longer periods.

While proposals to build a large room base for meetings and conventions in the past moved slowly, the convention hotel project shifted into the fast lane in December when Historic Restorations Inc., New Orleans, won the development contract to build a hotel.

Another catalyst for the hotel project is Missouri's unique program of tax credits, which, in conjunction with Federal restoration tax credits, will offset significant portions of construction costs. The development firm can take advantage of the credits because the Gateway is in the national register of historic structures.

"We should be able to annually attract some 20 additional major conventions," said Greg Deininger, St. Louis Convention & Visitors Commission vice president of sales and marketing.

Further, Deininger noted that having a brand new major property steps from the heart of St. Louis' convention scene truly will add to the city's appeal.

"Right now," he said, "the nearest large hotel is the 900-room Adam's Mark, which is six blocks away."

Smaller hotels located near America's Center include a 295-room Holiday Inn Select and the 178-room Drury Inn Convention Center.