Hotel Gets Lease to Build at Lakeland Airport

LAKELAND, Fla. - The on-again, off-again hotel at Lakeland Linder Regional Airport was resurrected Monday when the Lakeland city commissioners approved a lease agreement for a Hilton Garden Inn Hotel.

Commissioners had tried last fall to hammer out the details of a deal with Tom Arnot, a Wisconsin businessman. Arnot wanted to develop about 4 acres just north of the airport terminal and west of Don Emerson Drive. The Federal Aviation Administration rules prevented Arnot from buying the property outright, so a lease was necessary.

The earlier proposed plan was to have a 35-year lease with two five-year options.

But the formula for raising the rent became a sticking point, with commissioners concerned it wouldn't reflect the future value of land in southwest Lakeland and Arnot objecting that the rent would get too high.

Arnot backed out, saying the city had an "extremely high perception of the value and return on that land." As a result, City Attorney Tim McCausland referred to the status of the $12 million, 105-room Hilton Garden Inn Hotel as "on life support."

Monday, the commissioner's key concern - the rent escalator - was resolved.

The lease payment for the first five years is $50,000 per year. For the remainder of the lease, the payment will increase periodically by 2.77 percent of the hotel's gross revenue or 8 percent of the land value set by the Polk County property appraiser, whichever is greater.

Mayor Buddy Fletcher, who voted against the lease, continued to voice his concerns that the city should be getting more money.

But Commissioner Gow Fields said a hotel at the airport was important.

"Having a successful hotel there means volumes," he said.

Fletcher could not be swayed.

"I'm totally glad we got a hotel," Fletcher said. "I'm just not happy with the contract."

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