Thursday, September 15, 2022

Orange County Nickelodeon Hotel Deal Approved

A development and disposition agreement that’s likely the final step toward building a large Nickelodeon-themed hotel at Harbor Boulevard in Garden Grove, Orange County, California was approved by the Garden Grove City Council on Tuesday (Sept. 13) night.

NICKELODEON HOTEL planned for Harbor’s west side (City of Garden Grove).

On a 6-0 vote (with second district member Councilmember John O’Neill recusing himself), a resolution approving a disposition and development agreement with Newage Garden Grove II, LLC passed.

Now the developer is committed to construct a 500-suite full service hotel on a 3.72 acre site on Harbor Boulevard, immediately south of the Sheraton Hotel. 

It would include a themed “pool experience” with a “lazy river,” event space that includes a 600-seat theater and grand ballroom and more.

The estimated net project revenue to the city by Year 3 is $3.5 million annually. Over 30 years, the project is expected to generate about $236.4 million to the city in a combination of “bed tax” charged to hotel guests, sales tax and property tax.

As many as 1,000 new jobs are expected to be generated from construction and in the resort.

The proposed project would include:

  • a themed pool experience with a “lazy river” and pool slide
  • event space with a 600-seat theater
  • 17,715 square feet of ballroom/meeting space
  • 22,296 square feet of hotel restaurant
  • 5,480 square feet of retail
  • themed amenities totaling 13,238 square feet
  • a 7,000 square foot arcade
  • a spa and fitness center of 8,532 square feet
  • a five-level parking structure with 528 parking spaces.

Once construction starts, completion should take 18 to 24 months estimates Lisa Kim, assistant city manager and director of community and economic development.

We first heard of plans to open a Nick Hotel in OC in 2016, when Nickelodeon and Kam Sang Co. planned to open a Nick-themed hotel in the city. However, the project was delayed by the end of redevelopment as well as the coronavirus pandemic.

Also on the agenda approved at the Garden Grove City Council meeting were:

  • adoption of a resolution authorizing submittal of an application to the County of Orange Continuum of Care for the “Special Notice of Funding Opportunity” to address unsheltered homelessness (Garden Grove is in the process of developing a “navigation center” for the homeless, in conjunction with Westminster and Fountain Valley);
  • two purchase orders for a total of 17 police vehicles with a total cost of over $800,000;
  • second reading of an ordinance for a planned unit development for a two-hotel project at the northwest corner of Harbor Boulevard and Twintree Avenue;
  • a purchase agreement for property at 13871 West St. for use as a navigation center for the homeless (cost: $5,650,000) and awarding a contract for architectural services for the building to Borders Architect (cost: $304,000).

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Originally published: September 15, 2022.

Original source: The Tribune.

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