After cutting out one developer, Marina mulls revamped hotel project.

The city of Marina selected an eco-friendly vision for its newest planned hotel, which would be built in front of the Marina Shopping Center near Highway 1. The land is currently empty, but it was once home to rotted buildings of the former Fort Ord.

Records from the Monterey County Assessor’s Office show the current owner of those parcels remains Marina Community Partners, also known as Shea Homes. The developer has several projects in Marina including The Dunes and the Promenade mixed-use development, with phase two still under construction.

The new project would give Marina its largest hotel. But first the city has to complete a transaction with MCP in order to sell the property to Dadwal Management Group, the winning bidder for the project. The operating agreement with MCP set a deadline for work on the site. If the company could not lay out plans for a hotel by the end of 2020, the city could purchase the property – approximately 9.5 acres with a value of $3.6 million – and seek a new developer. In December of 2020, MCP informed the city it would not meet the deadline and the city started looking for alternatives.

In August of 2021, the City Council heard four different proposals, including one from Dadwal, a Seaside-based developer responsible for SpringHill Suites by Marriott in Marina.

The council favored Dadwal’s vision of an eco-friendly hotel and mixed-use complex with a unique design. Lisa Berkeley, District 4 councilmember, says they chose Dadwal because he was familiar with the area.

“He really presented a whole vision that was around sustainability and working with CSUMB,” Berkeley says.

In December negotiations, the develeoper expressed concerns over the impact of rising costs on the budget. However, Berkeley says taking a sustainable approach – recycling and reclaiming products – is feasible.

The project includes three hotels to be built in two phases. In phase one, two hotels with 200 rooms total would be developed on the parcel closest to the ocean. In phase two, the third hotel, with 100 rooms, would be completed. According to city documents, the development will use the Environmental Impact Report from 2005 because the project’s changes aren’t substantial.

Once completed, the hotels would generate $2 million per year in transient occupancy tax and create between 200 to 300 jobs.

According to Layne Long, Marina City Manager, the city and MCP are in negotiations for the sale. “We’re still working on that draft agreement.” In emails exchanged between MCP and attorneys to the city of Marina in February, Doug Yount, Shea Homes’ Project Director wrote, “The parcel map approval and recording is critical to the escrow closing.” He added MCP was waiting for the final map from the public works department.

Long initially believed they will have a final draft agreement by the end of the month. As of April 13 there was no set date when the agreement would be brought to the city.