Chicago developer plans boutique hotel for 2015 construction

A Chicago developer is planning to put a new hotel, data center and retail outlet in the South Loop.

Originally, the city and the Metropolitan Pier and Exposition Authority, a state-city agency known as McPier, wanted to build a 1,200-room hotel on the property as part of a proposed $600 million redevelopment of the surrounding Motor Row district into an entertainment destination. But when the contested land became tangled in litigation, McPier opted to build a Marriott Marquis a few blocks east at Cermak and Prairie Avenue. Agency officials said they hoped to find a private developer for a boutique hotel on the contested land once the lawsuit was resolved.

The caveat was that the boutique hotel would have to be privately developed for the McCormick Place redevelopment project to stay on budget.

Virtual Event

HOTEL OPTIMIZATION PART 2 | SEPTEMBER 10 & 24, 2020

Survival in these times is highly dependent on a hotel's ability to quickly adapt and pivot their business to meet the current needs of travelers and the surrounding community. Join us for Optimization Part 2 – a FREE virtual event – as we bring together top players in the industry to discuss alternative uses when occupancy is down, ways to boost F&B revenue, how to help your staff adjust to new challenges and more, in a series of panels focused on how you can regain profitability during this crisis.


James McHugh Construction's new offer to add a 28-story, 500-room hotel on the disputed land at Cermak and Indiana, in addition to a long-planned data center, could satisfy the city's goals, while still securing the data center McHugh has been planning.

The hotel will offer extended stay options and will be similar to a Hilton Garden Inn. Construction will begin mid-2015.

Suggested Articles

The company's main markets are still substantially affected by the measures rolled out to combat the COVID-19 health crisis.

Revenue per available room and occupancy increased over Q2, but uncertainty around the industry’s recovery remains.

The integration aims to provide hoteliers with seamless and complete visibility over group, catering and event sales performance activity.