March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

HYATT PLACE ON MAIN STREET

Newark Planning Commission

March 5, 2019 March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

OPTIONS FOR THE PROPERTY

• BB zoning permits many uses

– Hotels are permitted

– Mixed use is also permitted with typical design of retail on the first floor and residential units on the upper floors

– Height and design dictated by parking and unit type March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

ZONING CONSIDERATIONS

• Hotel use permitted by code • Maximum height / total stories • Parking requirements • Setback requirements March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

ANALYSIS OF NEED

• HVS feasibility study supports the need for a limited service hotel on Main Street

– Strong demand for rooms in the local market

– Surrounding hotels are in the 75% occupancy range

– Estimated stabilized occupancy of over 40,000 room nights per year • Growing University of Delaware and Newark business community • Anticipated demand from events in Cecil County and New Castle County March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

EXPERIENCED PARTNERS

• Lang Development Group • GG&A Construction • TKO Hospitality • Hyatt • The City of Newark • Local Business Community March 5, 2019 Planning Commission Meeting Minutes - Exhibit A WHY A HYATT? • Ranked second best brand in the world by Trip Advisor ahead of Marriott, Hilton and Intercontinental • Hyatt’s traveler profile has an average income of $106,000 and averages 9 business trips a year • A top rated employer of diversity by Forbes • International organization with a worldwide reservation system • Exclusive membership – one of only 600 hotels worldwide with quality as one of its foremost attributes March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

TKO

• Leadership team has over100 years combined hospitality industry experience • Local ownership • Brand Experience: – Hyatt, Hilton, Marriott, Holiday Inn, Hampton Inn • Select Properties under management: – Hyatt Place Hotel, Dewey Beach – Holiday Inner Harbor, Baltimore – Monte Carlo Hotel Group, Ocean City – Spring Hill Suites, Newark March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

GG&A Hotel Experience Lang/GGA Projects in Newark

– Hyatt on the Riverfront in 20 years working together

Wilmington – Center Street Lofts

– Embassy Suites in Newark – North College Crossing

– Hotel Indigo in West – North Chapel Chester – Creekview

– Comfort Inn in Rehoboth – 132 East Delaware

– Hampton Inn in Middletown – One South Main March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

PROJECT ATTRIBUTES • Ideal location for a hotel • Excellent architectural design • High quality hotel brand – Hyatt Place • Economic driver for our downtown • Parking facility for the benefit of the project and the public • Potential for collaboration with the Arts community • Environmentally sensitive design meeting LEED requirements March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

SITE PLAN APPROVAL

Minor variances for the following: • Building height of 3.2 feet to accommodate office space on the 2nd and 3rd floors • Front yard setback by 3.7 feet to match the design and architecture of the Green Mansion • Loading bays • Signage to meet Hyatt Brand Standards March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

BUILDING DESIGN

• Green Mansion Architecture – Bay Windows – Balconies – Ornamental railings – Design Materials • Wedding cake design approach • Unanimous approval by the Newark design committee at our recent meeting – met or exceeded all guidelines March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

JOB CREATION

• The Hyatt will create over 200 new construction jobs during its 15 month build period • Once open, the Hyatt will generate many full and part time employment opportunities with an estimated annual payroll of over $1 million • The Hyatt will also generate another 75 new service jobs in the local economy as well as 10 new employees in related capital investment companies March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

ECONOMIC BENEFITS TO THE COMMUNITY

• Annual room nights in excess of 40,000

• Local community impact $2.4 million

• Potential for many new retailers

• Annual city and state lodging tax $700,000

• Property tax revenue and new utility $350,000

• Office space on the 2nd and 3rd floors creates new diverse businesses for our downtown March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

ENVIRONMENTAL INITIATIVES

An ivy wall will be constructed on Electric charging stations will be the exterior walls of the parking installed in the garage to serve the garage to soften the appearance and many new electric cars on the road add substantial energy conservation

The exiting parking lot will be covered to improve storm-water runoff onto Main Street Sustainable building materials will be Rain water will be collected and used to used wherever possible to reduce irrigate the new landscaping the carbon footprint of the project Drought resistant plants will be used in difficult to irrigate areas March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

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PARKING • Private ownership of the land in which there are 73 spaces behind our buildings • New parking facility will have 244 spaces • Average daily use for hotel guests/employees will be 110 +/-spaces • Average daily use of other tenants will be 50 +/- spaces • Spaces available for public use on an average day will be a minimum of 84 +/- spaces • A net gain for the community March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

SHADOW ANALYSIS

• No impact on Main Street due to the buildings northern location on the street March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

POSITIVES FOR THE CITY

The Hyatt Hotel will This project presents the • bring many new people opportunity to bring a to our downtown new use to our • add revenue to the city downtown - producing and state over $2.4 million of new • create many new jobs • showcase Newark in revenue for our local the local region business community March 5, 2019 Planning Commission Meeting Minutes - Exhibit A

PROJECT SUMMARY • Superior hotel brand and operator • Local ownership • Economic benefits to the community • Synergistic effect for downtown – potential new retailers and visitors • New use for our Main Street • Positive impact on parking March 5, 2019 Planning Commission Meeting Minutes - Exhibit A March 5, 2019 Planning Commission Meeting Minutes - Exhibit A