Federal Way City Council expected to vote on new hotel in early July

With the Performing Arts and Event Center nearly complete, city officials have turned their attention to the proposed hotel project nearby.

After more than a year of negotiations, the Federal Way City Council is expected to vote in early July on a purchase and sale agreement for the development of a hotel near the PAEC.

Development of a hotel is one of five parts – Town Square Park, the PAEC, the hotel site, development of the former-Target property and the Transit Center – that will make up Federal Way’s “Town Center” once complete.

Back in April 2016, Cadius Partners Limited and Gustin Property Group responded to the city’s request for proposals for a hotel to accommodate out-of-town patrons of the PAEC.

Working with Mosaic Architecture, the firms proposed a 130-room “upper-mid-scale to upper scale hotel” on 1.86 acres at 2141 S. 314th St. in Federal Way.

Currently, a Town Center III binding site plan application seeks to divide 1.86 acres of 4.97 acres of City Center Frame property for the hotel.

“The binding site plan will divide the property to put the city in a better position to sell a portion of the Performing Arts and Event Center property for potential hotel development,” Community Development Director Brian Davis said, adding the application is under review, and he hopes it will be ready to issue by the end of the month.

Senior Adviser Steve McNey calls the 1.86 acres “TC 1.5” or Town Center 1.5. It’s near the city’s Town Center III property, also known as the former-Target site, which the city purchased for $8.2 million in November 2014.

The end goal, McNey said, is to have Town Center 1.5 and Town Center III developed.

“We’ve put forth several plans we’d like to see there,” he said, adding Mayor Jim Ferrell would like to see a University of Washington campus at the former-Target site.

Cadius Partners Limited and Gustin Property Group initially provided a development proposal for Town Center III, but McNey said negotiations over the last year have been strictly for the hotel property.

In the original proposal, the development firms planned to construct a 75,000-square-foot hotel in the shape of an “L” or “V” that would provide “maximum views toward Mount Rainier.” There may also be a four-story tower, approximately 59 feet, that could be topped with a penthouse/lounge area that would bring the total height to 68-70 feet.

According to the Federal Way Revised Code, the city’s zoning allows a hotel in the City Center Frame to be 65 feet in height with the “potential for additional height upon meeting specific criteria.”

While a brand hadn’t yet been chosen for the hotel in April 2016, the proposal said it would be a Hilton, Marriott or Hyatt product that would feature a restaurant run by a third party.