A groundbreaking ceremony on Monday morning marked the start of construction on a new $19 million, seven-story Holiday Inn Suites at Fifth, Broad and Chestnut streets.
The hotel, which is clustered with the Doubletree and Hampton Inn and Suites, will have seven stories.
Justin Dumsday of River Street Architecture, architect for the project, said it will be "a Holiday Inn Suites like no other."
He said, "It is a very urban design with lots of glass on the first floor."
The first floor includes the lobby, meeting rooms to accommodate 300 people, and a bar and grill on Broad Street.
There will be space for 120 parking spots on the second and third floors.
The hotel will have 139 suites.
The hotel by the Chattanooga-based Dynamic Group will be built by the local EMJ Corporation.
Financing is by Cornerstone Bank.
The project is to create more than 70 new jobs and over 400 during construction.
“My partner Bob Bhagat and I take great pride in being Chattanoogans, and want to grow the downtown tourist area while providing jobs for members of our community,” said Roshan Amin, managing director of the project.
The hotel, which is slated to open in May 2015, will be silver level LEED certified.
“This project is a great addition to our downtown area,” said Chattanooga Mayor Andy Berke. “Not only will this add jobs and additional accommodations to our city, but a restaurant and conference center locals can enjoy too.”
County Mayor Jim Coppinger also applauded the initiative. “It’s great to see Chattanoogans investing in the community in ways that benefit everyone while bolstering tourism to our area.”
“By doing business with local companies, Dynamic Group demonstrates a deep commitment to the Chattanooga area,” said Ron Harr, president and CEO of the Chattanooga Area Chamber of Commerce. “We’re excited about the jobs and development this project will bring to downtown.”
Founded in 2011, Chattanooga-based Dynamic Group LLC builds, develops and manages commercial real estate assets. Dynamic Group currently manages Staybridge Suites at Hamilton Place Mall.