Lake Ozark Real Estate News - John Q Hammons development at Lake of the Ozarks Clears legal hurdle
By Lakeexpo.com Staff
Published Tuesday, Mar 9, 2010
CAMDEN COUNTY, MO - After over two years of legal wrangling, the City of Osage Beach has prevailed against Four Seasons Marina Rentals, Inc. The lawsuit questioned the legality of the decision by the city to extend a $3.7 million Tax Increment Financing district to John Q. Hammons Hotels & Resorts for Chateau Lake of the Ozarks. Four Seasons Marina Rentals contested the "blighted" designation given the piece of property on the Grand Glaize Arm of the lake.
Construction of the $100 million, 15 story, 320 room luxury hotel was put on hold pending legal resolution. Senior Judge B.C. Drumm, Jr. issued the declaratory judgment Monday, March 8, upholding the constitutionality of the decision made by the City of Osage Beach to extend the TIF to Hammons.
Four Seasons Marina Rentals' attorney John Curran of Osage Beach declined comment Tuesday morning about the likelihood of appeal.
Curran filed the lawsuit December 7, 2007, the day after the Osage Beach Board of Aldermen approved the TIF for Chateau Lake of the Ozarks.
John Q. Hammons Hotels & Resorts acquired the peninsula property on the Grand Glaize Arm for the project on December 12, 2006.
Originally, Hammons planned to open the resort for the summer season 2010.
Hammons in 2007 predicted the hotel would generate about $25 million in annual revenue. The City of Osage Beach keeps 2 percent of the 7.225 percent base sales tax rate, so the hotel holds the potential to boost city coffers by $500,000 per year during times of normal economic conditions. The $100 million resort has been design similar to Branson's Chateau on the Lake, which Hammons opened in 1996. Chateau on the Lake of the Ozarks would feature a spa, 320 rooms and more than 100,000 square feet of meeting space.
(The Springfield Business Journal contributed to this story)