Niagara Falls Reporter
Home | Archive / Search
MAY 19 - MAY 26, 2015

Hamister Hotel Still In Process At City Hall

May 19, 2015

According to industry leader HVS, the very consulting company USA Niagara used to study hotel needs in downtown Niagara Falls, "Select service and extended-stay brands, including such property types as Courtyard by Marriott, Staybridge Suites, Hampton Inns, and Hyatt Place... are characterized by lower construction costs," According to HVS it will only cost about half of what Hamister is claiming the hotel will cost - a hotel that taxpayers will pay subsidies to him based on what he spends.

The Niagara Falls Reporter has confirmed that the Hamister Group has, contrary to what has been reported elsewhere, not filed for a building permit for their planned 128 room Hyatt Place Hotel at the downtown location of the city-owned lot at 310 Rainbow Blvd.

The Hamister Group presented architectural drawings to the code enforcement department, Acting Code Enforcement Director Lou Fontana told the Reporter.

According to Fontana, his department will review the drawings over the next week and it will either be approved as drawn or if there are required changes to meet code his department will recommend those changes and send it back to Hamister.

After Hamister gets the plans back, his architect will make the required changes and send it back to the city which will again review it.

With the back and forth and expected changes it will take another month or so. It is already nearly June and soon will come the summer and that too will pass and Hamister should be able to forestall building his hotel again this year.

However, Mayor Paul Dyster is running for reelection this year and criticism is already starting to mount concerning the Hamister hotel that Dyster said was the game changer in Niagara Falls.

The perfect strategy that the Reporter predicts the public will soon see is a late August or early September - just prior to the Democratic primary - staged ground breaking with the press and politicians coming to hear the glad tidings of the new hotel being built.

Except it won't be built.

It won't be built because it is a taxpayer subsidized hotel that requires a 9-1 private to taxpayer investment ratio. And Hamister has inflated the price beyond reasonable credulity. He has doubled the true price.

So sometime after the primary, Hamister will announce that due to the late start this season construction will actually not start until next season.

There is a provision in the contract, a little known one, snuck in there by Hamister and the city and USA Niagara that says if Hamister cannot build his hotel and he loses his financing because of reasons that can be declared to be the city's fault in connection with the lot now being used as a paid parking lot, and its tenant, Hamister can be "reimbursed" by the city and state, for his time and trouble, the sum $780,000 and he can walk away from the deal.

We see this as more likely than Hamister actually building a hotel at the price he claims he will build it at - $36 million for a 128 room Hyatt Place.

Hotel developers know that it costs only half that much to build a Hyatt Place hotel that size.

Hotel developers normally build Hyatt Place hotels for around $135,000 per room key. Hamister claims his Hyatt Place hotel will cost $275,000 per room key to build.

This is not possible unless Hamister is the builder and will charge himself double. Hamister says he is now seeking contractor bids on the hotel project.

The Reporter knows that true arms-length bids to build a Hyatt Place will result in a construction price of about $17 million.

Absent a fiscal watchdog within the Dyster administration the Reporter will take the role and offer to review Hamister's bids and show the public and Hamister how the hotel can be built for $17 million.





Will Dyster Move to Cut Baseball Diamonds To Make Room for Cricket at Hyde Park?
Niagara Falls and India
The President of the WNY Cricket League Comments On Bringing Cricket to Niagara Falls
As Evidence Shows Dyster Knew Real Cause of 72nd Street Water Freeze All Along But Denied It
Time Line Proves 72nd St. Residents Needlessly Suffered with Frozen Pipes in 2015
Motorola Transmits Phony Message to Niagara County
But radio goes bonk when dumb luck (and Harris Corp) step in
Hamister Hotel Still In Process At City Hall
Dyster Decision on Anello Verdict Isn't Very Appealing for the Taxpayer
Engineering Department Overtime Blues Sound Off Key to Trained Ears
NTCC Funded by Locals, Works to Enrich State, Delaware North, Glynn
Dyster Promises More Asphalt in Jayne Park "Unveiling" Ceremony
Dyster's Parking Meter Plan Another Example of Government by Wishing
Tell Mayor to Park his Plan Somewhere Else, a Warning to the City Council
Only in NT - Time for Some Answers at Buffalo Bolt
Riverdale Cemetery to Hold Annual Memorial Day Observance Saturday
A New Niagara Putting the People of Niagara Falls First
Issues, Yes I Have Issues!
Let's Talk About Baltimore
City Hall Jokes
Letchworth gets New Nature Center

Contact Info

©2014 The Niagara Falls Reporter Inc.
POB 3083, Niagara Falls, N.Y. 14304
Phone: (716) 284-5595

Publisher and Editor in Chief: Frank Parlato
Managing Editor: Dr. Chitra Selvaraj
Senior Editor: Tony Farina