Oct 02, 2024
TOPEKA (KSNT) - The Topeka City Council approved another $201,000 to keep Hotel Topeka running on Tuesday. The resolution introduced by City Manager Robert Perez called for additional funding for the maintenance and operations of the hotel. According to the resolution, the city already spent $402,505 of the $500,000 that was approved in April. The resolution originally called for $500,000 but was amended to $201,000. Councilmember Spencer Duncan made a motion to approve the additional $201,000 which passed 6-3 with Councilmembers Neil Dobler, Sylvia Ortiz and David Banks voting no. "My opposition at this point is we don't have any indication from the county on what they're doing to upgrade the Manor Conference Center which is a significant part of the draw to this hotel," Dobler said. "I'd asked for that two months ago and I'd asked for our staff to get with the county and start those discussions I indicated at that time that any future funding until that happened. That has not happened." What’s next for Heartland Motorsports Park? The management agreement for Hotel Topeka is to maintain a working account of $150,000, according to the resolution. As of the time of the resolution, the city only had $100,892 in funds remaining from the last $500,000 disbursement. A Hotel Topeka expense summary found that since Dec. 1, 2023, the total operating expenditures have been $1,150,015 with the governing body approving $2,103,505 in funding. Since purchasing the hotel for $7,391,458, the governing body has approved: Resolution 9478 $500,000 Resolution 9491 $500,000 Resolution 9516 $500,000 Resolution 9532 (capital expense-chiller) $217,254.24 Resolution 9549 $125,662 Resolution 9550 $59,589.19 for actuators and $125,662 for ADA improvements Resolution 9589 $201,000 Earlier this year, Topeka Assistant Manager Braxton Copley referred to Hotel Topeka as a ‘distressed asset.’ When the city bought Hotel Topeka in 2023 it was hemorrhaging money. That year saw an operating loss of $676,000. The last time the hotel was profitable was in 2019 when it earned $799,000 for the year. Suspicious death in Topeka ruled accidental Last month, 27 News found the City of Topeka was seeking brokerage services to help with the sale of Hotel Topeka. Perez said the city’s solicitation for brokerage services turned up no results. He said the city would continue soliciting brokerage services and is open to any deals or proposals that come to the city. For more local news, click here. Keep up with the latest breaking news in northeast Kansas by downloading our mobile app and by signing up for our news email alerts. Sign up for our Storm Track Weather app by clicking here.
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