BDC Obtains City Approval For City Center Project To Move Forward

Baltimore, MD (February 25, 2009) – The Baltimore Development Corporation (BDC) today announced that the City of Baltimore, by approval of the Board of Estimates of a Land Disposition Agreement (LDA) for City-owned properties at 26-36 South Calvert, 110 East Lombard Street and 117 Water Street, has taken a major step forward with developers Mark Sapperstein, Benjamin Greenwald and Joseph Haskins for a new 450,000 square foot, mixed-use development entitled “Hyatt at City Center.”

Hyatt at City Center will consist of two Hyatt-branded hotels (Hyatt Place and Hyatt Summerfield Suites) with a combined total of 300 keys, a parking garage with up to 300 spaces and ancillary commercial space.  The project will cost approximately $80 million to develop and create an estimated 450 construction jobs and 140 permanent jobs.  BDC estimates that the project will generate approximately $60 million in new City taxes over a 20-year period.

“BDC President M.J. “Jay” Brodie commented that, “Hyatt at City Center is another exciting  private investment in the City of Baltimore, creating jobs and generating taxes in a key underutilized downtown site.”

BDC, on behalf of the City, has acquired eight properties in the block bounded by Calvert, Mercer, Lombard and Grant Streets with the intent of facilitating such a development.  BDC issued a Request for Proposals (RFP) for the site and, after consideration of the proposals received, and at the recommendation of the BDC Board of Directors, this developer (City Center, LLC) was selected.

Under terms of the LDA, City Center, LLC will purchase the properties from the City for $4,500,000 (equal to the appraised value of the site).

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