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Kelowna News

New hotel will take Kelowna airport “to the next level”: director

Artist's rendering of new Sutton Place Hotel at Kelowna Airport.
Image Credit: Submitted/City of Kelowna

The first hotel on Kelowna International Airport property will be The Sutton Place Hotel owned and operated by B.C.’s Northland Properties.

The six-storey hotel will have 230 to 263 rooms with a four-diamond rating, Kelowna’s airport director Sam Samaddar told today, Sept. 29.

“When you look at airports, and airports going to the next level, these are the kind of amenities that get added to the facility," he said. "Look at the top eight airports in the country and they all have hotels right on the property.”

It will be built across the road from the expanding airport terminal building, in the area where the car rental and short-term parking lot are now located.

Details on who will operate what a City of Kelowna news release refers to as an “award winning” restaurant have still to be worked out.

It will have a business centre, spa, concierge and bell-hop services along with meeting rooms.

Plans are to start construction late next year with an opening date in 2026.

The city put out a call for expressions of interest last October for a long-term lease with a proposed price of $10 million. It called for 100 to 200 rooms so the final project will be larger than originally envisioned.

READ MORE: Price set at $10 million for right to build hotel at Kelowna’s airport

A report going to Kelowna City Council on Monday, Oct. 3, says the lease is for 40 years with possible extensions up to 99 years.

Northlands will have to pay about $2.5 million up front and $110,506 per year so, after 40 years, will have paid close to $7 million.

If the lease is extended for 99 years, the total will be more than $13 million.

After 80 years, Northlands will have to start paying into a demolition fund.

The city will get free meeting room space up to six times a year for “city-related business development events” along with 25 room stays per year for “business development and related business purposes.”

The hotel will be built and operated by B.C. based Northland Properties, which was started by Bob Gaglardi in 1993 with a Sandman Inn in Smithers. Tom Gaglardi is its current CEO.

Northlands is the “force behind other well-known brands such as Sandman Hotel Group, Denny's Canada, Moxies, Chop Steakhouse & Bar, Shark Club, Revelstoke Mountain Resort, Grouse Mountain, Dallas Stars NHL Team and Northland Asset Management Company,” the news release says.

— This story was updated at 4:09 p.m. to add more details.

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