Penticton inks $1.5M deal for new hotel near Trade and Convention Centre | iNFOnews | Thompson-Okanagan's News Source

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Penticton inks $1.5M deal for new hotel near Trade and Convention Centre

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In a move that's been years in the making, the City of Penticton is set to have a new six-storey, 100-room hotel built next to the Trade and Convention Centre.

According to a City of Penticton media release, an agreement has been struck between the City and Ron Mundi of Mundi Hotel Enterprises for a $1.5 million land sale for the purpose of building a hotel.

The planned six-story hotel, located at 903 Vernon Ave, will feature approximately 100 to 110 rooms and have a direct pedestrian connection to the Penticton Trade and Convention Centre. The walkway is slated to costs $600,000 and the City has allocated the funds in its five-year financial plan.

"The era of operating top-notch trade and convention centre experiences in the absence of adjoining hotel facilities ended years ago," Penticton Mayor John Vassilaki said in the release. "Today’s announcement significantly improves the ability of this important city asset to attract additional conferences, conventions and events that were previously unavailable to us on account of the winning formula of a facility, plus hotel, being incomplete. This is great news for the Penticton Trade and Convention Centre, the South Okanagan Events Centre, local businesses and our community as a whole.”

The deal came about because Ron Mundi of Mundi Hotel Enterprises was successful in its submission to the City’s for its expression of interest to purchase the land to build a hotel.

According to Mundi Hotel Enterprises owner Ron Mundi, the hotel will offer “a variety of accommodations and facilities which will include an indoor pool, hot tub, fitness facilities and an upscale restaurant and lounge.”

The release says the hotel will now give the Penticton Trade and Convention Centre the opportunity to hold new conventions, meetings and special business events which they previously couldn't do as they did not meet hosting requirements.

"The addition of an attached hotel, with a pedestrian walkway to the PTCC, is an innovative and long-term investment by the City of Penticton,” said Spectra Venue management general manager and regional vice president, Dean Clarke said in the release.

Travel Penticton also welcomed the news.

"Travel Penticton welcomes the prospect of a new hotel to add to the inventory of existing rooms in Penticton… The addition of a new hotel will help to off-set the loss of rooms through housing and attrition of accommodation properties and be an asset to the Penticton Trade and Convention Centre and the South Okanagan Events Centre,” Travel Penticton executive director Thom Tischik said in the release.

According to the release the hotel agreement is contingent on the Ron Mundi of Mundi Hotel Enterprises having city development and building permit approvals in place before the land is transferred by the current deadline July 31, 2021. Once permits are approved construction of the hotel is likely to take 28 months.

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