Council approves city hall sell, hotel expected to come next

• City council unanimously voted to sell the city hall building to Beitler Real-Estate.
• Beitler plans to turn the building into a 183 room hotel, with a cocktail lounge and parking.
• Watch video above to see how people in our neighborhoods feel about it.

The Lansing vision to convert the city hall building into a hotel is one step closer to becoming a reality.
On Monday, Lansing City Council voted unanimously to sell the building to Beitler Real-Estate.

“It's a pretty big move,’ said Lansing City Councilman Peter Spadafore. “It’s going to be a few years in the making, but we're looking forward to the end product.”

The end product will cost around $47 million and looks like A 183-room hotel, with a rooftop cocktail lounge, retail space and 60 spaces for parking. Oh, tax revenue from the hotel will all benefit Lansing.

“The city will retain 100% of the tax benefits,” said Council President Jeremy Garza.

Beitler is buying the building from the city for its last appraised price which is just over $2.7 million, something that doesn't sit well with residents like Loretta Stanaway.

“They're asking for $2.7 million, just 2.7 for a location that is prime location in Lansing,” Stanaway said.

But council thinks this is a fair price, especially given that the appraisal price on the building has declined over the years because of its condition.

The city tells us before the building could be converted into a hotel, they must first build a city hall on a parking lot on the corner of Grand and Lenewee .

From there, construction on the hotel will start and is expected to be done by 2027.

Mayor Andy Schor released the statement below:

“I am thrilled that we can now move forward with a proposal that is another piece of downtown Lansing’s transformation. Selling City Hall to Beitler Real Estate and seeing us realize the vision to turn the building into a hotel and dining destination is fantastic for our city. I want to thank City Council for passing this resolution and helping to make this plan a reality. The redevelopment of City Hall, hundreds of units in new housing, a new City Hall, and the Ovation Center for Music and Arts are all pivotal to downtown’s future growth. Lansing’s time truly is now.”