Thatcher – The ownership group of a major hotel in Thatcher is applying for permission to open a second operation.
Heath Brown, Thatcher’s city manager, said the Sunridge Hotel Group, owner of the Springhill Suites by Marriott hotel, is trying to ask the city for an exemption to build a four-story, 70-room extended-stay hotel.
“We had a crew in town working on some communications lines. They were here for a week and had to rent hotels in Willcox and commute back and forth because there was literally not a single hotel room available. So we absolutely need it,” Brown said.
If approved, the hotel will be built on land immediately east of the Springhill Suites by Marriott, at the intersection of US Highway 70 and Church Street.
Thatcher’s city ordinance only allows buildings up to three stories tall, so the developer will go before the Board of Adjustment next week and apply for the exemption. Brown said he will also look into changing the city ordinance to allow taller buildings in the future.
The Sunridge Hotel Group is based in Mesa and operates 12 hotels in Arizona, California, Colorado and Utah.
A feasibility study for a new hotel in Safford was completed earlier this year by hotel consulting firm Core Distinction Group.
Based on current hotel occupancy and demand, the study recommends building a new hotel with 70-90 rooms. However, given the site being considered in downtown Safford, a new hotel there would likely have 55-82 rooms.
The greatest demand for hotel revenue is driven by regional companies, which, according to the study, generate 65 percent of local hotel occupancy, while events and attractions generate only 15 percent of hotel revenue.
The study shows that the estimated direct economic impact of a new hotel in Safford is $540,336 in sales, lodging and property taxes in the first year, increasing to $635,750 in the fifth year.
