AC Hotel planned for downtown Madison, Wisc.

Wisconsin could soon have an AC Hotel. As The Capital Times reports, while negotiations over a possible $50-million city subsidy for a new downtown Madison luxury hotel to serve Monona Terrace continue, public attention is turning to a separate proposal for a boutique 10-story hotel just off the Capitol Square.

The North Central Group of Middleton has updated its plans for a new hotel at the corner of East Washington Avenue and Webster Street. The block includes the Frank Lloyd Wright-designed "Lamp House," a historic landmark that preservationists have fought to protect from development.

Initially proposed in February as a Courtyard by Marriott, the North Central Group is now looking to develop an AC Hotel, Marriott International's European-rooted lifestyle brand.

More than 70 AC Hotels are operating in Italy, Portugal, France and Spain with the first U.S. version scheduled to open in New Orleans. in September. and another planned for Kansas City.

With a target opening date of 2016, the North Central Group is pursuing a 165-room hotel. The proposal includes a 9th floor outdoor courtyard and a 10th floor bar/restaurant serving craft beers, specialty cocktails and shareable plates.