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SPRINGFIELD — Local, state, and national leaders joined Dinesh Patel and Vid Mitta, owners of Springfield Hospitality, in a lavish ribbon-cutting ceremony for the new Marriott hotel in downtown Springfield on Thursday, an event that capped more than three years of work to renovate the hotel in Tower Square and reclaim the Marriott flag.

Speakers at the ceremony included Springfield Mayor Domenic Sarno; U.S. Rep. Richard Neal; Peter Marks, general manager of the new hotel; Marriott officials; and many others. They all congratulated Patel and Mitta for the broad efforts to renovate and reinvent Tower Square, and especially their work to transform the hotel on the property.

The ceremony included a performance by the Springfield Sci-Tech band, tours of the property, food, and networking.

Patel and Mitta, named BusinessWest’s Top Entrepreneurs for 2022 in January, acquired the Tower Square property several years ago and have brought in several new tenants, including the Springfield YMCA, White Lion Brewery, and others. But the extensive “re-imagination” of the hotel property — that’s the term they have used throughout — has been the most visible initiative at the downtown landmark.

Features

Complex Equation

Dinesh Patel, left, and Vid Mitta in the soon-to-be-renovated lobby of the Tower Square Hotel.

Dinesh Patel, left, and Vid Mitta in the soon-to-be-renovated lobby of the Tower Square Hotel.

Both the office/retail complex known as Tower Square and the hotel that sits on the property would be considered somewhat risky investments, given their recent history. But the investment group Springfield Hospitality believes otherwise — in both cases. The new ownership group has announced an ambitious plan to get the Marriott flag back on the hotel, and it is confident about gaining a wide range of new tenants on the retail side of the equation.

As they talked about their plans for Tower Square, the downtown Springfield landmark they acquired last year, and the hotel that is a prominent part of the complex, Vid Mitta and Dinesh Patel had to be careful, even cryptic, with some of their comments.

Especially when it came to the long-rumored signing of the YMCA of Greater Springfield as a major new tenant. That deal has not been finalized, said the partners as they talked with BusinessWest following a press conference late last month on their plans for the complex. And when it is, that news will be announced by the Y.

But also when it came to the small park across Main Street from Tower Square. They hinted quietly that this acreage — dubbed the ‘Little Park for a Little While’ after the Steiger’s department store that sat on the site was torn down (yes, that was 24 years ago now) — will likely become the site of another “hospitality-related business,” probably a boutique hotel.

“We really can’t say anything about that at this time; that’s for … later; that will be phase two,” said Mitta, president and CEO of Mitta’s Group and a partner with Patel and also Rohit Patel and Kamlesh Patel of Maine in the Tower Square project.

As for what’s happening now, Mitta and Patel were not at all cryptic or even careful as they talked about Tower Square, the hotel, their plans for both, and their optimism when it comes to achieving progress and profitability at the office/retail complex that has certainly seen better days.

Peter Marks

Peter Marks says a long list of renovations and upgrades must be undertaken to get the Marriott flag back over the hotel, and the new ownership group is committed to making them.

“When we looked at Tower Square as a possible investment, we saw opportunity where perhaps some didn’t,” said Patel, owner of the Hampton Inn on Columbus Avenue in Springfield, a Quality Inn in Chicopee, and other hotels across the region, adding that, while there is a good deal of vacant space in the complex, especially on the retail side, there is a solid foundation on which to build, with two colleges, UMass Amherst and Cambridge College, assuming large footprints in the building.

And there are already some new building blocks in place, including White Lion Brewing, which is constructing a brewery and tasting area in the long-vacant Spaghetti Freddy’s space along Bridge Street.

As for the hotel, the press conference was called to announce that the ownership group is on schedule and on target to get the ‘Marriott’ name back on the façade. It was removed and replaced with ‘Tower Square Hotel’ in the summer of 2017 as the complex’s former owner, MassMutual, was putting the property on the market.

“When we looked at Tower Square as a possible investment, we saw opportunity where perhaps some didn’t.”

To get that brand name back, the owners must complete a comprehensive renovation and upgrade, said Peter Marks, general manager of the hotel, adding that plans have been blueprinted, considerable infrastructure work has already been completed, and the owners are committed to spending “tens of millions of dollars” to return the hotel to prominence and make it a vital cog in the ongoing resurgence in downtown Springfield.

For this issue, BusinessWest talked with Marks and members of the ownership team about Tower Square and its future (or at least the subjects they could talk about at this time) and why they believe this was a solid investment for them, and the city.

New Lease on Life

Mitta acknowledged that, to the casual observer, anyway, the glass at Tower Square probably looks more half-empty (at least) than half-full.

But the total amount of vacant space (perhaps 20% of the complex) is less than most would think, and there has been, as noted, some progress made toward bringing that number down further.

White Lion will make Tower Square its mailing — and brewing — address, he said, adding quickly that a staffing company and AT&T have come on as tenants recently.

And there is that solid foundation of education facilities on which to build, he said, adding that there are a number of different ways the space may be repurposed in the future.

This is what the new ownership group — operating under name Springfield Hospitality Group — saw when it began looking at Tower Square as a potential investment in 2018. The group paid $7 million for the 25-story office tower and attached retail space, parking garages, and the Steiger’s parcel. The hotel, a separate purchase, was acquired for $10.5 million.

“With Tower Square as a prominent landmark in the city’s downtown, we think we can bring all kinds of businesses, not just retail, to this location,” he told BusinessWest. “We think we can transform the mall into different kinds of uses.”

As an example, he said the complex could become an ‘educational hub,’ or a bigger one, given that there are already two institutions with classrooms and other facilities there.

“We’re working with two other local colleges,” he said, adding that he could not disclose their names because the talks were very preliminary. “Meanwhile, we want to bring in some basic amenities such as a nail salon or a massage parlor or banking. Overall, there are many ways we can fill the available spaces, and we have already started implementing them.”

By that, he meant the AT&T store, the new staffing agency, and the fitness center and daycare components of the YMCA’s operation, which, as noted, have not been finalized.

Overall, flexibility will be the watchword moving forward, he said, and while there are certain visions that have developed for what might the Tower Square complex might look like in a year, or five years, the shape it takes will ultimately be determined by the marketplace and the types of opportunities that present themselves.

“With Tower Square as a prominent landmark in the city’s downtown, we think we can bring all kinds of businesses, not just retail, to this location. We think we can transform the mall into different kinds of uses.”

“We didn’t have a full plan for Tower Square, because as a businessman, you have to take what is available and turn it into opportunity,” Mitta noted, adding that the business plan calls for being profitable “from day one,” and more so with each passing quarter and year.

As for the hotel, it was “unflagged” — yes, that’s the industry term — when Marriott presented a long list of needed renovations and upgrades to the previous owner, MassMutual, which decided those expenditures were not worth making.

As with Tower Square itself, the Springfield Hospitality Group saw things differently, said Patel, adding that he and his partners believe the sizable investment — whatever it will be — will ultimately translate into enough room bookings, weddings, meetings, and other events to justify the expense of getting the Marriott name back over the front desk.

Mitta agreed. He said new construction of a Marriott would require an investment of between $200,000 and $300,000 per room, based on where this building project was taking place. Between the acquisition price of the hotel and the cost of the planned renovations and upgrades, the Springfield Hospitality Group is in that ballpark and probably just below.

“And if those new construction projects are going to work, why not renovations at this prestigious landmark?” he asked, before answering that question himself, in the affirmative.

Plans call for what Marks called an ‘inside-out’ concept, where elements of the city are incorporated into the design and décor of the renovated hotel. Specific improvements call for renovations to each room and the addition of one room, a suite, bringing the total to 266, said Marks. Also, the sixth floor, familiar to most area business owners and managers because it’s home to the banquet space and conference rooms, will get a makeover that includes a new fitness center with glass walls overlooking the rooftop garden.

A new, much larger bridal suite will be added, he went on, noting that the lobby will be given a new look as well.

“There are a lot of exciting changes,” he said, adding that the hotel will become part of what’s called the ‘Reimagined Marriott World,’ a comprehensive survey of customers and potential customers to determine what they want in a hotel — and a Marriott.

“The feedback was, ‘we want more than a place to sleep,’” he told BusinessWest. “They said, ‘we want a place where we can connect, relax, entertain, and do all the things we want to do.’”

And this led to the conceptualization of what he called a ‘great room’ in the lobby.

“The entire great room is the one place to be,” he said. “There’s a bar there, you can eat anywhere in that whole great-room area, and technology will allow our staff to deliver unsurpassed hospitality in the market by going out and greeting the customer with tablet in hand and checking them in the lobby.”

Model rooms will be available for viewing this spring, he went on, adding that construction, already underway on infrastructure systems, will move to more visible areas in the coming weeks.

Staying Power

“We’re going to be the number-one, most prestigious hotel in Western Mass.,” said Mitta, adding that the planned renovations and improvements should position the hotel to fully capitalize on the momentum being seen in downtown Springfield.

He noted that the arrival of MGM Springfield, as well as the performances and events it will bring, add up to considerable opportunity for a name-brand hotel located in the heart of downtown.

“Usually, a casino like this has 1,000 rooms, and some have 1,800 or 2,000 rooms,” Mitta explained. “This one has 250 rooms. That’s not enough when you bring events like Stevie Wonder and Cher to your city. This creates opportunities. If we make this hotel business-friendly with a lot of amenities, people will stay downtown.”

That was the thinking behind this large investment, and the partners who made it are confident their investment will soon start paying real dividends.

George O’Brien can be reached at [email protected]