State incentives approved for $40M Valpo project
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The Indiana Economic Development Corp. on Thursday approved incentives for the redevelopment of a 124-year-old former school in downtown Valparaiso.
Urschel Development Corp. plans to invest $40 million to convert the 1899 Gardner School building into a 58-room boutique hotel.
The building was constructed in 1899 and then repurposed in the early 1970s as a Boys and Girls Club, but was vacated in 2022 when the club moved into a new location.
Site work has already taken place, including the demolition of a 6,000-square-foot gymnasium on the east side of the building that was added by the Boys and Girls Club, as well as three adjacent homes.
The developer plans to not only refurbish the original building, but add new wings on the east and west sides of the building, bringing the completed project to 65,000 square feet.
The new Grand Gardner Hotel will feature guest suites and an attic speakeasy, while the new wings will house additional guest rooms and banquet space.
The IEDC approved $6.5 million in redevelopment tax credits for the project. IEDC board member Dominic Grote said at Thursday’s meeting that a certain amount of those incentives “will be subject to repayment terms negotiated with the developer.”
In April, the Valparaiso City Council approved the creation of a Tax Increment Finance district that would allow for future incentives. The following month, the council approved a Planned Unit Development agreement for the project.
An updated timeline for construction was not immediately provided. Urschel Development originally planned to break ground last summer.
Inside INdiana Business has reached out to city officials for more information. This story will be updated as it becomes available.