and Investment Firm Partner to Build $53 million
Marriott Residence Inn in Sacramento
|SACRAMENTO, Calif - Dec. 9, 2004 -- Three Fires, LLC, comprising three
American Indian tribal governments, and 15th and L Street Investors, LLC,
today announced construction began on a $53 million Marriott Residence
Inn at 15th and L Streets on Capitol Park, site of the California Capitol.
At a ceremony today, Three Fires, LLC, an economic coalition of the San Manuel Band of Mission Indians of San Bernardino, Calif., and Viejas Band of Kumeyaay Indians of San Diego, Calif., and Oneida Tribe of Indians of Oneida, Wis., participated in a ceremonial ground blessing of the hotel site. Investment partners and Sacramento developer, Anthony Giannoni, managing partner of the 15th and L Street Investors, joined the tribes in celebrating the historic significance of Indian Nations, once again, having an economic presence in the state's Capitol.
The tribal blessing of the ground marks the start of construction for the 15-story hotel, which will be built on the last remaining undeveloped piece of private land on Capitol Park. The new Marriott Residence Inn will feature 239 suites and 30 residential units on the top three floors and will offer amenities including meeting space, parking, business center, breakfast and evening reception area, fitness center, pool and gift shop.
According to Giannoni, an extended stay hotel, such as the Residence Inn by Marriott, has a decided market advantage given its proximity to the capitol and Sacramento Convention Center.
"This particular site is in the middle of a tremendous business district expansion which includes restaurants, cultural amenities and business office buildings. All of this adds up to a new vibrant synergy in the immediate area, combined with the easy access to the capital offices and conventions," he added.
"We are continually exploring sound investment opportunities to expand our government's diverse economic portfolio," said Deron Marquez, chairman of the San Manuel Band of Mission Indians. "Given the success of our Four Fires endeavors, we felt this partnership represented an ideal opportunity to work with fellow tribes to develop new ventures and make our presence known in Sacramento."
Three Fires, LLC investors, the Oneida, the San Manuel Band of Mission Indians and Viejas tribes, are also partners in another Marriott Residence Inn, opening in the nation's Capitol, March 2005. That group, Four Fires, also a limited liability corp., includes the Forest County Potawatomi Community of Wisconsin. Four Fires, founded in 2002, was historic from an economic standpoint as the first formal coalition of tribal governments formed for purposes of participating in quality, high return, low risk investment opportunities and economic diversification.
Following the success of the model of the previous hotel development partnership, three of the original Four Fires' tribes began talks on the Sacramento hotel in March 2003. This ultimately led to the formation of the 15th and L Street Investors, LLC, and another relationship with Marriott Hotels.
"Three Fires is a continuum of the vision developed with Four Fires, an investment coalition of like-minded tribes to develop and construct, hospitality, tourism and other business ventures. Four Fires was the first successful joint venture of tribal governments to provide economic diversification through investment partnerships. Combining financial interests and expertise with other tribes is another vehicle to ensure financial stability and security for future generations of our tribal communities," said Viejas Chairman Anthony R. Pico.
The tribes have a combined 62 percent tribal ownership of 15th and L Street Investors.
Kathy Hughes, Oneida vice chairwoman, noted, "This is another economic diversification project which has been funded by the revenues generated by our gaming operation. We have one of the most successful hotel and conference centers in northeast Wisconsin and we find the hotel industry to be highly successful for us, it creates jobs and fuels tourism which in turn fuels the economy."
Johnson Braund Design Group, Inc. of Seattle, Wash, is the architectural
firm for the project. Cornice Development of Sacramento is handling construction
management, and Lodgeworks, headquartered in Wichita, Kan., has been selected
as the hotel's management company. A summer 2006 opening is planned.
|Also See:||$43 million Wahington D.C. Hotel Is Planned by Four-Tribe Coalition; Goal to Generate Revenues Outside of Gaming / Oct 2002|
|LodgeWorks Enters Hospitality Third Party Management Contract Business With Management Agreements for Six Hawthorn Suites® Hotels / Nov 2001|
|Southern California Tribal Resort Casinos Will Likely Tap into Nevada Gaming Revenues / August 2003|