New upscale hotel coming to downtown Norfolk

Virginia Business
January 2006

Norfolk, already cited in national rankings for its booming downtown, is getting a luxury high-rise hotel. The city council has signed off on an initial deal to spend $61 million in a public-private partnership with a minority developer to build a 20-to 25-story hotel, conference center and parking garage.

The deal brings a new minority player to town, RLJ Development of Bethesda, Md., a private real estate investment company headed by Robert L. Johnson, who founded Black Entertainment Television. Johnson, reportedly one of the nation’s richest hotel entrepreneurs, will work with a local company, Fulco Development Inc., headed by former professional football player William Fuller. The developers plan to spend about $43 million to build the hotel (which probably will be a Hilton) and 50 to 60 condominiums on the top floor, a full service restaurant and a retail area.
The deal is expected to be finalized in about six months. The hotel and conference center are scheduled to open sometime after the middle of 2008. The $100 million in new development comes on top of more than $1.6 billion already invested recently in Norfolk’s revitalized downtown. Several projects are under way including residential units and the Trader Publishing office tower.

The new mixed-use, 240-room hotel project at the corner of Main and Granby Streets will complement downtown, says Rod Woolard, the city’s director of development. “We weren’t interesting in jumping into the fray for conventions and mega meetings,” he says. “Our downtown, which is very walkable with a lot of amenities close to the site, would benefit by having an executive style conference center.”