Cardinal Bank agrees to finance $13 million hotel for Eagle Village project in Fredericksburg
- July 14, 2011
The University of Mary Washington Foundation said Thursday that Cardinal Bank has agreed to finance a $13 million, 100-room hotel in the second phase of Eagle Village, a mixed-use development across from the University of Mary Washington in Fredericksburg.
The foundation has formed a new company, Eagle Hospitality LLC, which will own and manage the hotel. Currently, it is in negotiations to select a prospective hotel franchise and management company. “The UMW Foundation and Eagle Hospitality LLC are delighted to announce our fiscal partnership with Cardinal Bank,” Jeff Rountree, executive director and CEO of the UMW Foundation, said in a statement. “They are a perfect fit for our hospitality development team, and we look forward to constructing and opening a first-class hotel property with them.”
Initial plans call for about 100 rooms and suites, meeting and conference areas and mixed-used retail space. The hotel will be located between Giant Food and the new section of Eagle Village, and will be connected to the campus of Mary Washington Healthcare by a connector road that should open in the next six to eight months. The first phase of the $76 million Eagle Village project got underway in 2009 and includes apartment housing for 600 students, first-floor retail, offices and a parking deck.
The hotel project was helped along by local and state incentives. Fredericksburg recently approved a $310,000 agreement with the UMW Foundation to help with development costs. “The city’s incentive, coupled with a matching incentive from the commonwealth of Virginia, adds up to a significant sum of $620,000,” Rountree said. “This is truly a win-win situation for all parties involved, with the final outcome being a new business opening in the city and the tax income and job creation that will follow.”
Cardinal Bank, headquartered in McLean, is owned by Cardinal Financial Corp. The bank has 27 branches in the metropolitan Washington area, including Stafford and Fredericksburg.