LOCATION
Nashville, Tennessee
PROJECT HIGHLIGHTS
Led Developer Negotiation Efforts
Request for Proposals (RFP) management/negotiations for a developer
Hotel Market Analysis
Financial Projections
Impact Analysis
Jobs analysis using IMPLAN (Impact Analysis for Planning)
PROJECT DESCRIPTION
Johnson Consulting was retained by the Nashville Tennessee Metropolitan Development and Housing Agency (MDHA) to assist in the analysis and developer solicitation of a proposed hotel to serve a new downtown convention center. The new Omni hotel is the result of the analysis we performed. We completed a full feasibility analysis for the new Convention Center. We analyzed what demand will shift from the old Convention Center to the new one, analyzed how to dispose of the former Convention Center, and then prepared management projections for demand and financial operations for a 20-year period. The Convention Center is financed by incremental sales tax in a three-mile tourism development zone. Our firm prepared forecasts for this zone. Actual collections have substantially exceeded our projections. Our analysis indicated the need for a new convention headquarters hotel containing approximately 1,000 rooms. Johnson Consulting performed a market study and financial analysis; developed demand and financial projections for the hotel’s development. We analyzed costs, ROI and required incentives for the hotel.
Johnson Consulting managed a Developer Request for Qualifications on behalf of the City. Our services also included evaluating responses and making recommendations to the City, and helping negotiate a successful developer relationship. The Omni came in subsequent to our developer solicitation process and worked with the City to develop the hotel. The Omni now regrets that fewer rooms than what we recommended were provided by their hotel.
