City Center Hotel, Landmark have new ownership as $56M redevelopment starting

Tim Krohn, The Free Press, Mankato, Minn.
·2 min read

Jul. 5—MANKATO — Major redevelopment of the City Center Hotel and neighboring Landmark Building are moving forward after a new ownership group acquired the properties.

The hotel has been closed in preparation for the redevelopment.

The hotel brand will be announced soon, aligned with one of the major international hotel chains.

The properties will undergo a comprehensive renovation that combines the former City Center Hotel property and the Landmark Building, which will be adjoined by a new skywalk, creating 173 guest rooms and suites.

The combined price tag for developing the properties is estimated at $56 million.

A proposed addition will include a fifth floor rooftop lounge overlooking the Minnesota River and eight luxury apartments atop the Landmark Building.

The new hotel brand will be powered by renewable solar energy with design featuring an outdoor courtyard, multiple restaurants, luxury guest rooms, business pods and integrated neighborhood spaces.

Jon Kietzer, the owner of Century 21 Landmark Realtors and of the Landmark Building on Main and Second streets, has for years been working on a major renovation that would bring a boutique hotel, up-scale apartments and a distillery to the building.

The City Center Hotel property had been owned by a South Dakota group, but plans for the renovations slowed, particularly as financing tightened during and after the pandemic.

Now a new ownership group called Hotel Mankato LLC purchased both properties and is set to start renovations and new construction.

The group includes Kietzer, Bryan Sowers, Tailwind Group and hotelier TPI Hospitality. The 50-year-old TPI Hospitality (tpihospitality.com) owns and operates hotels, restaurants, and conference centers across southern Minnesota and Florida. All TPI locations are either newly constructed or recently renovated.

Sowers, who left as U.S. Bank Mankato market president last year and has a consulting business, said renovating the two properties in the heart of the city is vital as the city continues to grow as a regional hub.

He said they focused on a premiere design for the properties.

"We needed something appropriate for what our City Center has developed into and who and what Mankato is as a regional hub. To do that you need to have the right partners who can handle that kind of regional project."

He said TPI is the largest private hotel developer in Minnesota and is soon to open Margaritaville in Fort Meyers, Florida, it's largest property with six restaurants.

"You need that kind of operator for something like this.

"Our goal is to create an unforgettable experience for our guests by providing exceptional service, luxurious amenities and an unparalleled level of comfort."

The group said they hope to open the renovated buildings mid 2025.