Fayetteville Approves $70M Hotel-Apartment Tower Atop Hay Street Parking Deck
This project will add a 124-unit, seven-story apartment building and a five-story hotel with 119 rooms.
The Fayetteville City Council voted 8-1 to partner with a new developer to build a $70 million hotel and apartment tower on top of the Hay Street Parking Garage. This project will add a 124-unit, seven-story apartment building and a five-story hotel with 119 rooms.
Peter Flotz leads the Lansing Melbourne Group of Fort Lauderdale, Florida. His company will take over where previous developers failed. Construction is expected to begin in June 2026. Work should finish in May 2028.
"We've got to give this new developer a fair shake," Mayor Mitch Colvin said, per CityView. "And this is certainly a long-anticipated resolution that could potentially end this chapter in our city's downtown development."
The project is part of Project Home Run, which started in 2016 as Fayetteville's redevelopment of the western end of downtown. This initiative has included construction of the $37.9 million Segra Stadium for the Fayetteville Woodpeckers Minor League Baseball team, rehabilitation of the former Prince Charles Hotel into apartments, and construction of the five-story, $17.8 million Hay Street Parking Garage.
The new deal includes a loan of up to $5.7 million to the developer. The loan covers the costs of completing the top of the parking deck, installation of elevators, and pathways in and around the development.
Council Member Mario Benavente cast the lone vote against the deal. "Once more, we're putting $5.7 million on the line that could be walked away with, without much recourse," Benavente said. "Especially since we've shown the citizens that we will not take recourse, necessarily, in order to do business."
