Hotel a possibility for U.S. 131, 10 junction

REED CITY — A local family is hoping to gain verbal and financial support from Reed City and Richmond Township in their consideration of constructing a hotel at the junction of U.S. 10 and U.S. 131.

Jay Zolman presented his ideas to the Reed City Council members at a May 19 meeting, saying his family has the desire to build a hotel on their 40-acre property, located on 220th Avenue just north of U.S. 10 and east of U.S. 131. They have been in contact with Intercontinental Hotels Group and the company believes a Holiday Inn Express or Marriott may fit the location, which is visible from both highways, he added. Zolman and his family are Reed City residents and have owned Logic Plus in the city for 30 years. The only other major hotel in Osceola County is located on U.S. 10 in Evart.

“We think it’s a great opportunity,” Zolman said of the project. “I think, however, a hotel needs community support to be successful.”

A feasibility study still needs to be conducted to give IHG an estimate of how much money can be made with a hotel at the location within the first few years. The study can cost between $8,000 and $10,000, Zolman said, and he hopes the city can play a part in its financing.

Although the land is located in Richmond Township, the site has access to city utilities. Zolman asked council members to commit to financial support of the study, saying if each of the entities pay a portion of the fee, they all will gain access to the study’s information.

“The data you would receive is worth well over what you would spend,” Zolman said, adding he would like to see the study to be complete by summer’s end.

If a hotel is built, the business could offer 15 to 20 full time jobs. Hotel amenities would be determined by the business chain and the feasibility study would help determine how large a hotel could be supported in such an area as Reed City and Richmond Township. Zolman added his family also is considering building an unconnected banquet hall on the same property to give area residents an opportunity to host large gatherings.

City council members agreed that they all support the construction of a hotel, but told Zolman the city cannot afford to take part in the study due to budget restrictions and because they would be using taxpayer dollars for something that would be located outside city limits. Instead of giving financial support, the council unanimously approved a motion to show verbal support for the project and draft a letter showing support.