Sale paves way for "Flagship" downtown hotel
Thursday, November 19th, 2009
By MIKE YOUDS
Daily News Staff Reporter

Northland Properties has entered a deal to purchase The Max night club on Lorne Street, completing the pieces of a parcel where the company plans to build a Sandman Signature Hotel starting next spring.

Northland president Tom Gaglardi said Wednesday he sees development of the amenity as a keystone in ensuring downtown Kamloops has a vibrant future.

“I don’t know where we’d be doing this development in any other city than Kamloops because it’s where my family sort of came from,” said Gaglardi, who purchased the Kamloops Blazers two years ago with a similar rationale. “It’s been in our interest to ensure it has a future.”

The night club, formerly known as Uncle Charlie’s, belongs to Bob and Rick O’Brien, who have co-owned several clubs in the city over the years.

“It’s a done deal but not closed,” Gaglardi explained. He expects the O’Briens will continue to operate the club in the short term. Early next year, Gaglardi expects to finalize a deal with the City for purchase of a second property where the Scoopz ice cream parlour stands.

That deal was announced several months ago.

The estimated $20-$30 million development across from Riverside Park will include two restaurants, possibly a Shark Club Bar & Grill and a Moxies Classic Grill, chains that are part of parent company Northland.

Sandman Signature hotels are distinct from the Sandman Inns, one of which already operates in Kamloops. The signature hotels are the chain’s four-star, flagship properties, located in primary markets or strong secondary markets.

As such the hotel would be not only an important component of the downtown but an enhancement of visitor accommodation in the city as a whole. Gaglardi doesn’t like the idea of new development concentrated entirely “on the hill.”

“I think that’s a dangerous thing. I think the city should be focused on promoting higher density downtown.”

Development of a four-star downtown hotel has been a City objective for years. With the collapse of a tentative deal with Royal Host and later with the waterfront hotel/arena development, emphasis shifted to the Scoopz site.

“It’s been a long process,” said Mayor Peter Milobar. “I would have hoped we’d see construction already,” although the recession was a factor in the delay, he noted. “I think we’re at the point where we can see it moving forward.”

Lorne Street offers proximity to recreational amenities such as the parks, Interior Savings Centre, pedestrian-oriented shopping and restaurants.

“I think Kamloops as a city has chosen to have a vibrant downtown for decades to come. I think this hotel is the key.…. We’d like for it to be the flagship hotel in the city.”

He expects the development will take a couple of years to complete. Northland had planned to break ground on it in 2008 but the company has been focused instead on its development at Revelstoke Mountain Resort.

Gaglardi doesn’t see economic uncertainty as an obstacle. In fact, the inflationary pressures that preceded the slump have subsided with materials and labour under control.

He drew a comparison with the Grand Hotel in downtown Kelowna.

“It’s something that’s been missing from the Kamloops landscape.”

Northland had plans to develop a Moxies in Aberdeen but they remain on hold, Gaglardi said.

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