Hotel Northland in downtown Green Bay. PC: Fox 11 Online
GREEN BAY, WI (WTAQ-WLUK) — The Hotel Northland is being sold to avoid foreclosure, and the City of Green Bay could be out a little more than $1 million as a result, according to Green Bay City Attorney Lacey Cochart.
It comes a little more than seven years after the Hotel Northland reopened due to an estimated $50 million restoration effort that endured starts and stops amid financial complications.
Cochart says 304 N Adams Street Green Bay LLC, the owner of the 102-year-building, has offered the city a deal as it works toward closing a buyer who would keep the hotel open and under Marriott’s Autograph Collection.
Hotel Northland reopened in 2019, after the building had other uses for the previous 40 years. It closed in 1979 after a more than 50-year run as Green Bay’s premier hotel.
Under the proposal, which the city council will take up at its meeting Tuesday evening, the city would release the current owner from owing the city $2.6 million, a 2014 development agreement would be terminated, and the city would receive $1 million from proceeds of the Northland’s sale.
The city holds $550,000 in a “rescue account” related to the loan it has with the current Hotel Northland owners, according to Cochart. That means, under the proposal, the city would lose out on more than $1 million rather than the $2.6 million the current Northland owner still owes the city.
Cochart says the alternative is the city could lose the entire amount the current owner still owes on its loan.
The loan between the city and Northland owner stems from a $4.4 million loan between the city and the U.S. Department of Housing and Urban Development, according to Cochart.
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