Covington, Ky. – The real estate and financial closing for the $21.5 million Hotel Covington project was successfully completed today.
The boutique hotel and upscale restaurant, bar, and patio at 638 Madison Avenue in Covington is set to open in the summer of 2016.
The project’s funds come from a combination of private equity, government-issued bonds, historic tax credits as well as bank financing provided by First Financial Bank.
“Today the Hotel Covington project officially shifted from a dream to reality,” said Guy van Rooyen, president of The Salyers Group. “This project will not only generate new jobs within the urban core, but it will accelerate the transformation of downtown Covington. I couldn’t be more pleased with all our partners who worked with us to make this project a reality.”
Demolition work is almost complete at the building, which originally housed the Coppin Department Store and later served as Covington’s City Hall. Construction work on the hotel is expected to start within the next week.
The Salyers Group, which owns the adjacent Madison Event Center, is partnering with Aparium Hotel Group of Chicago to develop the historic building into a 114-room luxury hotel complete with a signature restaurant, bar and patio.
The Aparium Hotel Group is known for successfully developing and managing independent upscale hotels. The company will be actively involved in the development, marketing, branding and operation of the hotel.
The project will rehabilitate the seven-story structure that is known as Covington’s first “skyscraper,” which was constructed in 1908 using the then-new construction techniques of reinforced concrete with a brick veneer. The hotel’s design will carefully blend the historical and architectural uniqueness of the structure with the modern-day amenities of a luxury hotel.
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