Jun 18, 2025 Carmel Redevelopment Commission

[00:00:10]

>> GOOD AFTERNOON. GOOD EVENING, LADIES AND GENTLEMEN. WE ARE HERE AT CITY COUNCIL CHAMBERS. WE DO HAVE A QUORUM OF OUR MEMBERS PRESENT THIS EVENING. AND SO I'LL CALL THE MEETING TO ORDER, AND I WOULD ASK YOU TO STAND AND JOIN ME IN THE PLEDGE OF ALLEGIANCE.

>> I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA AND TO THE REPUBLIC FOR WHICH IT STANDS, ONE NATION, UNDER GOD, DIVISIBLE WITH LIBERTY

[2. APPROVAL OF MINUTES]

AND JUSTICE FOR ALL. >> THANK YOU VERY MUCH.

OUR NEXT ORDER OF BUSINESS IS THE APPROVAL OF THE MINUTES OF OUR MEETING OF LAST MONTH. ARE THERE ANY CORRECTIONS OR ADDITIONS TO THE MINUTES -- THE DRAFT MINUTES THAT WERE PROVIDED TO YOU IN YOUR PACKETS?

GENTLEMEN? >> MOVE TO

APPROVE. >> THANK

YOU. >>

SECOND. >> IT'S BEEN MOVED AND SECONDED. THANK YOU VERY MUCH.

ALL IN FAVOR PLEASE SAY AYE. ANY OPPOSED?

[3.a. Cash Flow Report]

OUR NEXT AGENDA ITEM IS THE CASH FLOW

REPORT, AND MR. LEE. >> THANK YOU. THE COMMISSION'S END OF MONTH BALANCE FOR MAY WAS $7,115,803. I DID NOTE WE DID RECEIVE OUR JUNE DISTRIBUTION OF TIP LAST WEEK.

THERE ARE A FEW LATE PAYERS, SIGNIFICANT ONES THAT WE'RE GOING TO RECEIVE NEXT WEEK AS WELL. WE ARE ON A GOOD PACE RIGHT NOW. I LOOKED AT OUR BUDGET.

IF YOU REMEMBER AT THE BEGINNING OF THIS YEAR WE DISCUSSED THE DIFFERENCE BETWEEN WHAT WE BUDGETED LAST YEAR VERSUS WHAT THE FORECAST IS. LAST YEAR WHEN WE DID THE BUDGET WE DIDN'T KNOW WHAT THE TIP RATE WOULD BE, AND SINCE THEN WE HAVE ADJUSTED THE FORECAST BASED ON THE DROP IN THE RATE. AND I'M HAPPY TO SAY THAT RIGHT NOW WE'RE ON TRACK TO HAVE A LITTLE BIT MORE THAN WHAT WE HAD FORECASTED.

SO ALL THINGS EQUAL, WE'RE PRETTY GOOD RIGHT NOW.

>> VERY GOOD. THANK YOU, MR. LEE.

ANY QUESTIONS OF MR. LEE REGARDING THE CASH FLOW

[3.b. Approval of Claims]

AGAIN, MR. LEE. >> THANK YOU.

YOU JUST HAVE THE NONOFFERING EXPENSES TONIGHT.

I'LL NOTE THE VAST MAJORITY OF THAT, ABOUT $16. 7 MILLION IS FOR DEBT SERVICE.

>> THANK YOU VERY MUCH. ANY QUESTIONS REGARDING THE CLAIMS BEFORE US THIS EVENING? SEEING NONE, IF IT'S YOUR PLEASURE, GENTLEMEN, THE CHAIR WOULD ENTERTAIN A MOTION OF

APRUBL. >> SO

MOVED. >> THANK YOU.

IS THERE A SECOND?

>> SECOND.

>> IT'S BEEN MOVED AND SECONDED.

ALL IN FAVOR PLEASE SAY AYE. OPPOSED?

[4. EXECUTIVE DIRECTOR REPORT]

WITH THAT WE WILL MOVE ONTO OUR NEXT ITEM ON THE AGENDA, THE EXECUTIVE DIRECTOR'S REPORT. MR.

DIRECTOR. >> HI, COMMISSIONERS.

REDEVELOPMENT DIRECTOR. I'LL JUST GO OVER PREVIOUS MONTHS REDEVELOPMENT ACTIVITIES, WHICH I THINK WE SHOULD CELEBRATE BECAUSE CURRENTLY THERE ARE TWO DIFFERENT CRANES IN THE AIR WORKING ON PROJECTS, AND AS SPRING BRINGS LOOMING FLOWERS, IT ALSO BRINGS CRANES IN THE AIR.

I GUESS IT'S SUMMER. CRANES IN THE AIR, SO I'LL OVER THAT HERE IN A BIT. THE REM CONTINUES ITS BUILD OUT. WE'RE GOING TO TALK ABOUT THAT LITTLE LATER BUT THAT'S THE VIEW OF THE REM.

MONAN SQUARE IS DOING THEIR CONCRETE POURS NOW.

THAT'S A BIG PROJECT. PROVING FORWARD THERE'S LESS CONSTRUCTION GOING ON THERE. IT'S EXCITING TO SEE THE SQUARE FINALLY COME TO FRUITION. I REMEMBER BEING IN FRONT OF THIS COMMISSION IN 2018 BRINGING THE ACQUISITION OF THAT LAND FOR APPROVAL.

SO LOTS OF TIME HAS PASSED, BUT THIS IS HOW CITY BUILDING OCCURS. MAGNOLIA CONTINUES TO BUILD OUT ITS STACKED FLAT CONCEPT. THE MUSEUM IN CARMEL CONTINUES TO BUILD OUT ITS FOURTH FLOOR.

I THINK THERE'S A SUSHI PLACE COMING, WHICH IS GOING TO BE GREAT. HAMILTON CROSSING, THIS WILL BE THE TOPIC OF THE FIRST ACTION ITEM, SO I'LL SKIP THIS FOR NOW. CONTINUES ITS CONSTRUCTION ONE WITH 33 LOUNGES IS BASICALLY DONE.

I HOPE EVERYONE'S HAD A CHANCE TO CHECK IT OUT OVER ON THE WEST

[00:05:05]

THE ICON ON MAIN PROJECT CONTINUES ITS CONSTRUCTION.

THERE'S LOTS OF THAT UP AT THIS POINT.

THAT'S GOING TO CONTINUE THROUGH THE END OF THIS YEAR, AND THAT PUBLIC PLAZA SHOULD BE OPENING EARLY NEXT YEAR. LOTS OF PROGRESS GOING ON AT THE AT&T SITE. I ESPECIALLY LIKE THE CORNICE LINES THAT ARE BEING PUT UP ON THAT MULTIFAMILY BUILDING. IT'S GOING TO BE REAL PRETTY.

FINALLY, THE EARLIER THIS MONTH WE HAD A GROUND- BREAKING CEREMONY THAT THE MAYOR SPOKESPOKE FOR THE PLAZA. THAT'S OUR OTHER BIG CRANE UP IN OUR REDEVELOPMENT AREAS. THAT'S A EXCITING, EXCITING PROJECT. AND FINALLY, AS WE KNOW, COUNCIL APPROVED BONDS FOR NORTH END -- NORTH END PHASE TWO, SO THAT PROJECT WILL BE MAKING ITS WAY THROUGH THIS COMMISSION HERE SHORTLY. AND THAT CONCLUDES MY DIRECTORS REPORT, AND I'M HAPPY TO ANSWER ANY

QUESTIONS. >> THANK YOU, MR. DIRECTOR.

ARE THERE ANY QUESTIONS REGARDING THE

[5.a. Architectural Review Committee]

THANK YOU, MR. DIRECTOR. WITH THAT WE WILL NOW MOVE ON, LET'S SEE, TO COMMITTEE REPORTS AND THE ARCHITECTURAL COMMITTEE.

MR. BROOKS?

>> THANK YOU, MR. PRESIDENT. YES, WE DID MEET THIS MONTH, AND WE TALKED ABOUT THE REPUBLIC HOTEL EXPANSION PROJECT. WE HAD A LOOK AT THE SITE PLANS AND THE BUILDING PLANS AND ELEVATIONS.

AND FOR THE PUBLIC LISTENING IN, THAT'S AT 20 BRICKYARD LANE CARMEL UP IN THAT SECTION UP OFF OF -- I'M SORRY, MERIDIAN AVENUE. WHAT'S HAPPENING IS THEY'RE DOING THE WRAPAROUND THE EXISTING PARKING GARAGE THERE, AND IN THAT WRAP THERE'S GOING TO BE AN EXTENSION OF THEIR EXISTING HOTEL, THE BRICKYARD HOTEL.

IT'S SEPARATE FROM THAT BUILDING, BUT THIS IS LODGINGS FOR EMPLOYEES, PILOTS, TECHNICIANS, ET CETERA THAT WILL COME TO THAT FACILITY FOR TRAINING. AND THAT'S GOING TO BE 84 ROOMS. AND THINGS WENT WELL IN THE REVIEW, MINOR MODIFICATIONS TO A CORNICE, WHICH IS GOING TO BE TAKEN CARE OF. AND THERE ARE A FEW QUESTIONS WE HAVE REGARDING THE PARKING GARAGE SECURITY CAMERAS AND RESERVED PARKING SPACES AND SIGNAGE AND ALL THOSE THINGS WILL BE TAKEN CARE OF, AND IT WILL BE REVIEWED IN THE ADLS. SO WE DID APPROVE THE PLANS, AND IT'LL BE MOVING ONTO ALDS, AND THAT'S MY REPORTING, MR.

PRESIDENT. >> THANK YOU VERY

MUCH. >> QUESTION, HOW MANY TOTAL ROOMS DO THEY HAVE, DO YOU KNOW?

>> I DON'T. CAN I PITCH THAT TO YOU,

HENRY? >> THE EXISTING ONES PLUS THE 60.

>> I THINK THERE'S ABOUT 200 -- ABOUT 150 TO 200 IN THE CURRENT HOTEL, AND THIS IS 84 NOW. LET ME DOUBLE- CHECK THAT AND GETGET BACK TO YOU.

>> AND THAT'S EXCHUSIVELY FOR

THEIR USE? >> THAT'S EXCLUSIVELY FOR THEIR USE. ANYONE LISTENING, THIS IS ESSENTIALLY A 23-HOUR CONVENTION THAT GOES ON IN CARMEL WHERE PEOPLE HAVE TO GO EAT AT SOME POINT, SO THEY GO EAT AT OUR RESTAURANTS, SO IT'S PRETTY INCREDIBLE.

>> THANK YOU, SIR. I FROM TIME TO TIME FLY ON SOME OF THE FLIGHTS THAT REPUBLIC PROVIDES FOR SOME OF THE AIRLINES AND ASK THE PILOTS AND FLIGHT ATTENDANTS HOW THEY LIKE COMING TO CARMEL, AND THEY LIKE IT. SO THAT'S ALWAYS NICE TO HEAR.

THEY DO HAVE THE BUS SERVICE THAT TAKES THEM NOT ONLY AROUND CARMEL SO THEY CAN GO TO OUR RESTAURANTS AND OTHER THINGS.

SO THAT'S KIND OF NICE. WE'LL MOVE AROUND IF THERE ARE

[7.a. Item #1 – Update on Republic Airways development Synopsis: This is an update to Commissioners on the current development of the Republic Airways project.]

EVENING? >> THERE'S NO OLD BUSINESS.

>> THANK YOU VERY MUCH. WE'LL MOVE ONTO NEW BUSINESS, AND ITEM NUMBER 1 IS THE UPDATE ON THE REPUBLIC REPUBLIC AIRLINES DEVELOPMENT. IS THERE ANY FURTHER BEYOND COMMISSIONER'S REPORT FROM THE ARCHITECTURE

COMMITTEE? >> YEAH, AND SINCE WE JUST TALKED ABOUT THIS FROM AN ARCHITECTURAL PERSPECTIVE, LET ME STEP BACK AND TALK ABOUT WHY WE'RE DISCUSSING IT AGAIN.

SO PREVIOUSLY REPUBLIC AS A PROJECT GOT BROUGHT TO CITY COUNCIL THAT APPROVED BONDS. IT WAS THEN TAKEN TO THIS COMMISSION WHERE THE IMAGE AT THE BOTTOM RIGHT WAS SHOWN, BUT IT WAS REPRESENTED IN FRONT OF THE COMMISSION THAT THE GARAGE WOULD BE WRAPPED WITH RESIDENTIAL UNITS.

SO BOTH THE CITY COUNCIL AND THIS COMMISSION APPROVED BONDS FOR THIS PROJECT UNDER THE REPRESENTATION THAT THE GARAGE WOULD BE SURROUNDED BY MULTI-FAMILY. AT A CERTAIN POINT LAST YEAR -- EARLY LAST YEAR, IN FEBRUARY OF LAST YEAR, IN FACT, REPUBLIC BEFORE STARTING THEIR ACTUAL HEADQUARTERS SAID THAT,

[00:10:06]

SO IN FEBRUARY -- ON FEBRUARY 19, 2024, I WENT IN FRONT OF CITY COUNCIL, AND I SAID, COUNCIL, YOU APPROVED THESE BONDS WITH THIS UNDERSTANDING THAT IT WOULD BE MULTIFAMILY, BUT NOW IT IS EITHER MULTIFAMILY OR JUST A FACADE OR SOMETHING ELSE.

BUT IS THERE COMFORT MOVING FORWARD WITH THIS BECAUSE IT'S DIFFERENT THAN WHAT WAS REPRESENTED BEFORE? COUNCIL UNANIMOUSLY SAID, YES.

SO WE ARE WORKING THROUGH THE ARCHITECTURE TO ESSENTIALLY BRING THE SAME QUESTION IN FRONT OF YOU BECAUSE WE NEVER WANT SOMETHING REPRESENTED AT A MEETING HERE TO NOT BE TRUE WHEN THINGS CHANGE LATER. SO THIS ISN'T AN ACTION ITEM.

IT'S ALMOST LIKE AN UPDATE TO MAKE SURE THAT EVERYONE IS STILL COMFORTABLE WITH NOW WE KNOW WHAT THEY'RE WRAPPING IT WITH. IT'S 84 NEW HOTEL ROOMS AND THEN A FACADE. BUT BECAUSE THAT'S DIFFERENT THAN WHAT WAS REPRESENTED HERE A FEW YEARS AGO WHEN THIS PROJECT WAS FIRST APPROVED, I JUST WANTED THAT NOTED. AGAIN, COUNCIL SAID YES AND OKAY THIS LAST YEAR.

IT'S ALSO IMPORTANT TO HAVE IT IN FRONT OF THIS COMMISSION JUST SO THE RECORD IS CLEAR AND THERE'S NO MISREPRESENTATIONS EVER MADE WITH RESPECT TO THIS PROJECT. THANK YOU, MR. DIRECTOR. QUESTIONS OF THE DIRECTOR AT THIS POINT.

DO WE NEED TO TAKE SOME FORM OF FORMAL ACTION TO RECOGNIZE THIS OR --

>> I DON'T THINK SO, UNLESS ONE OF YOU WANTS TO I THINK MAKE A MOTION NOT TO ACCEPT THIS. I THINK IT'S FINE JUST AS INFORMATIONAL BECAUSE IT WAS PRESENTED TO YOU AS INFORMATIONAL AS PART OF A -- IT WAS A TIP PLEDGE RESOLUTION WHEN WE DISCUSSED HERE.

I THINK EVERYTHING IS STILL

FINE. >> IT'S IN THE RECORD -- CITY COUNCIL RECORDS FOR APPROVAL.

>> IT'S OUR RECORDS. CITY COUNCIL HAS TO HAVE IT IN THE RECORD, BUT ALSO WE DO BECAUSE WE APPROVE THE PROJECT TERMS AND WE APPROVE THE TIFF PLEDGE. I WANT IT TO BE SLIGHTLY OUT THERE AND APPARENT WHAT WAS OUT THERE BEFORE.

>> I'M GLAD THE ARCHITECTURAL COMMITTEE HAS REMOVED IT.

COMMISSIONERS, ANY PROBLEMS OR CONCERNS YOU MIGHT SEE WITH

THIS? >> VERY GOOD.

I'M GLAD TO SEE THEY'RE USING THE EXTRA ROOMS. THAT MEANS THEY'RE BRINGING MORE PEOPLE INTO TOWN AND SPEND

[7.b. Action Item #1 – Resolution 2025-13 Re: Hotel Carmichael expansion Synopsis: This resolution approves the terms of the Hotel Carmichael expansion.]

VERY GOOD. WE'LL NOW MOVE ONTO OUR FIRST ACTION ITEM WHICH IS RESOLUTION 2025-13 WHICH IS THE EXPANSION OF THE HOTEL CARMICHAEL. I SEE WE HAVE SOME

GUESTS HERE. >> THIS IS AN EXCITING MOMENT BECAUSE OUR LANDMARK MARQUEE HOTEL IN THE CITY THAT IS THE NCAA SECRETLY WANTS TO HAVE A MEETING, THEY COULD PICK I GUESS ANYPLACE IN THE UNIVERSE, BUT THEY PICK THE CARMICHAEL.

NOW, WE WANT TO BUILD ON THAT. I'D LIKE TO REINTRODUCE OUR PARTNERSHIP IN THIS PUBLIC- PRIVATE PARTNERSHIP.

AND WE HAVE HERE BRUCE WHO'S THE CEO, AND WE HAVE LAURIE WHO'S EXECUTIVE VICE PRESIDENT OF EVERYTHING, I THINK.

WITH THAT I WANT BRUCE TO PROVIDE AN INTRODUCTION.

LAURIE IS GOING TO EXPLAIN WHAT THIS EXPANSION IS, AND ALL THREE OF US ARE HAPPY TO ANSWER ANY QUESTIONS AFTER THAT.

>> VERY GOOD.

>> MAKE SURE THE BUTTON IS ON AND GLOWS RED SO PEOPLE CAN HEAR YOU.

>> I GUESS THAT WORKS. MR. PRESIDENT, COMMISSIONERS, I'M BRUCE, PRESIDENT OF PEDCORP.

I THINK THIS IS ABOUT THE 25TH ANNIVERSARY OF THE FIRST TIME I MADE A PRESENTATION TO YOU GUYS.

I'M SURE ALL YOU REMEMBER IT. IT BASICALLY WAS TO AASK FOR TWO BUILDINGS. OVER THE SUBSEQUENT 25 YEARS WE'VE BASICALLY COMPLETED ABOUT 45 BUILDINGS BETWEEN THE SQUARE, CARMEL CITY CENTER. WE HAD A BIG HAND IN THE JAMES BUILDING, THE INDIANA DESIGN CENTER, AND AN OLD TOWN SHOP, SO WE APPRECIATE THE OPPORTUNITY TO HAVE PARTNERED WITH YOU AND MANY OF THOSE DEALS. AND MANY OF THEM -- I THINK ALL OF THEM REALLY YOU HAD A FINANCIAL INVOLVEMENT IN HELPING TO MAKE IT WORK, WHICH I THINK HAS WORKED VERY WELL AND I COMMEND IT AND COMPLIMENT YOU FOR THAT APPROACH.

IN THIS ONE I'M NOT GOING TO ASK YOU FOR ANY MONEY. I'M GOING TO ASK YOU AN OPPORTUNITY TO DO SOMETHING GREAT FOR CARMEL AND ALSO FINANCIALLY SHOULD WORK OUT VERY WELL FOR ALL OF US.

AND THE REASON IN PART IS WE, AS YOU PROBABLY KNOW A FEW YEARS AGO YOU APPROVED 122- ROOM HOTEL.

AND AS YOU MAY ALSO REMEMBER THERE WAS A LOT OF DISCUSSION ABOUT HOW MUCH IT COSTS AND HOW MUCH IT'LL EVENTUALLY COST, AND WE DON'T WANT TO REVISIT THAT. BUT THAT IS TO POINT OUT

[00:15:03]

AND SO AT 122 ROOMS WE REALLY DON'T EFFICIENCIES OF SCALE IN ORDER TO MAKE A HOTEL OF FOUR STARS WORK. AND SO IN THE BACK OF MY MAINTAINED WE ACTUALLY -- WHEN WE BUILT REM WE DESIGNED IT SO WE COULD IN FACT USE THE NORTHERN PART OF REM TO CONNECT 122 ROOMS. DOORWAYS WERE LEFT STRUCTURALLY SO IT WOULD WORK, ELEVATORS WERE PLACED SO IT WOULD WORK. THERE WILL BE MINIMAL DEMOLITION OF INTERIOR WALLS OF WHAT WE OTHERWISE BUILD OUT AS APARTMENTS, SO WE COULD TAKE UP THE REPLACEMENTS BASICALLY TO THE SAME QUALITY AND SAME DESIGN AS WE HAVE IN THE 122 ROOMS. AND SO I THINK A LOT OF WHAT YOU WILL SEE IN THE PROJECTIONS REFLECTS THAT FACT, THAT WE HAVE A VERY SUCCESSFUL 122- ROOM HOTEL, BUT WE'RE TURNING DOWN A LOT OF BUSINESS. ONE OF MY DIVISIONS CANNOT HAVE ITS ANNUAL CONFERENCES IN THE CARMICHAEL AREN'T BIG ENOUGH. THE FOLKS AT THE HOTEL ARE REALLY EXCITED THE MOMENT WE SAY YES, WHICH OF COURSE INCLUDES A MEETING FOR YOU TO SAY YES. THEY CAN START SIGNING UP MORE WEDDINGS THAT THEY'RE TURNING DOWN. AND I'LL HAVE TO ADMIT ONE TIME I WENT THERE AND THEY HAD SEVEN WEDDINGS AND I THINK I SAW FOUR OF THE BRIDES, AND I WAS A HIGHLIGHT. IN THAT REGARD MY WIFE DENISE IS HERE WITH ME ALSO.

WE DO GO TO THE HOTEL OFTEN. SHE IS AS YOU KNOW THE EXTROVERT IN THE FAMILY AND I AM NOT. SHE INTERACTS WITH THE PEOPLE IN THE HOTEL.

I CAN TELL YOU BECAUSE SHE CAN COME BACK AND TELL ME WHO SHE'S TALKED TO, WHERE THEY'RE FROM.

OFTEN SHE'LL KNOW THE KID'S AGES AND NAMES, AND WHAT HAVE YOU BUT ABLE TO VALIDATE THAT THE HOTEL IS WORKING COLLECTIVELY FOR WHAT WE WERE HOPING IT WOULD. AND THAT IS TO ATTRACT A LOT OF PEOPLE TO COME TO THE CITY TO SEE THE CITY, SEE THE CITY CENTER BUT ALSO THE WHOLE OF THE CITY. I THINK WITHOUT EXCEPTION THE IMAGE THAT'S BEEN KRAEPTED BY THE HOTEL, THE CITY CENTER, AND CARMEL HAS BEEN VERY GOOD FOR US. IN ADDITION TO THE FINANCIAL RESULTS I THINK YOU'RE GOING TO SEE THE PROJECTIONS LAURIE IS GOING TO PRESENT IS ALSO THE ABILITY TO TAKE ON MORE BUSINESSBUSINESS WILL HAVE A LOT OF RECIPROCAL OR ADDITIONAL BENEFITS FOR THE CITY.

I COMMEND YOU FOR THAT ALSO. JUST MAKE SURE I DON'T HAVE ANY COMMENTS. I GUESS NOT. SO LAURIE IS GOING TO WALK YOU THROUGH SOME OF THE PROJECTIONS AND SOME OF THE PICTURES. WE'VE USED THE SAME INTERIOR DESIGNER THAT WE HAD IN THE FIRST BUILDING.

STEVE AND HIS GROUP HAVE HELPED BASICALLY WITH ARCHITECTURE AND WHAT HAVE YOU, SO WE HAD THE SAME GROUP OF PROFESSIONALS, SAME PARTNER WITH THE CARMEL REDEVELOPMENT COMMISSION, AND REALLY SOME OF THE SAME ACTORS. HENRY, OF COURSE, I DID ENJOY ONE TIME MEETING HIS PARENTS AND ASKED THEM WHAT THEY THOUGHT OF HIS DEVELOPMENT OF HIS FIRST HOTEL, AND THEY WERE VERY PROUD OF HENRY AS I AM, TOO.

SO WITH THAT I'LL TURN IT OVER TO

LAURIE. >> THANK YOU,

BRUCE. >> WELL, GOOD EVENING.

I AM LAURIE SIELER. I'M A SENIOR VICE PRESIDENT AND NOT IN CHARGE OF EVERYTHING, SO JUST MAKE THAT CLEAR.

SO OBVIOUSLY ADDING TO BRUCE FROM WHAT OUR COMMENT IS, THE HOTEL OBVIOUSLY OPENED IN JULY OF '20 AND HAS CONTINUED TO OUTPERFORM THE BUDGET THAT WE ESTABLISHED, EVEN THE BUDGET FROM 2017, CONTINUED TO OUTPERFORM ITS COMPETITION SET, WHICH IS SOME LOCAL NORTHERN HOTELS HERE WITHIN THE CITY AND ALSO KIND OF THE UPPER UPSCALE, IF YOU WANT TO CALL IT OF INDIANAPOLIS ALTOGETHER. SO THAT HAS CONTINUED TO SOLIDIFY THE STRATEGIC PLAN THAT WE ALL DID IN BUILDING THIS HOTEL IN THE ELEVATED SERVICES THAT IT DOES, THE INCREASING THE DEMAND THAT WE SEE IN THE BROADER MARKET. SO WITH THAT, I WANT TO START TO KIND OF DIVE IN FROM THAT PERSPECTIVE.

AND I WENT TOO FAR. HOW DO I GET BACK?

[00:20:06]

SO TREND AGAIN WE OPENED IN JULY OF '20 RIGHT AT THE HEART OF COVID AND COMING OUT OF THAT. 24 IS ACTUAL. SO YOU CAN SEE STARTING IN 22 MOVING INTO 23 AND 24 WE STARTED TO BREAK THAT 80% MARK.

'24 WAS 82. 8, HIGHER THAN THE THE ORIGINAL PRO FORMA, AND THEN ALSO HIGHER THAN THE INDY NORTH AND THAT UPPER SCALE WE TALKED ABOUT. 2022, THE NUMBER YOU SEE UP THERE IS OUR PROJECTION. I PULLED SOME NUMBERS, I JUST GOT APRIL FINANCIALS IN MY INBOX TODAY. SO APRIL CAME IN AT 85% OCCUPIED, AND MAY CAME IN AT 87%

OCCUPIED. >> FOR THE PRESS THAT ARE WATCHING THIS LIVE STREAMED, 85% AND 86% OCCUPANCY IS WHAT WE'VE BEEN HITTING

HERE. >>

YES. >>

THANK YOU. >> ONE OF THE THINGS, THE BUDGET YOU SEE IS 25, SO RIGHT NOW WE ARE EXCEEDING BUDGET ON THE OCCUPANCY.

TYPICALLY NOT BEING THAT WHAT I HEAR IN THE HOTEL HOSPITALITY WORLD THAT WHEN YOU ARE UP IN THOSE 80S, TYPICALLY MOST HOTEL MANAGEMENT COMPANIES START TO LOOK AT EXPANSION, SO WE ARE RIGHT IN THAT PERIOD OF LOOKING AT WHAT THAT BECOMES.

SO INCOME STATEMENT, VERY SIMILAR TO THE PRESENTATION FROM EARLIER. '24 IS ACTUAL NUMBERS. SO WE HAD TOTAL REVENUE OF 18.7, TOTAL EXPENSES OF 14.8 DOING A NET OPERATING INCOME OF 3. 8 MILLION.

LESS THE REPLACEMENT RURCHS OF 563,000 GIVE US US AN ADJUSTED NET OPERATING INCOME OF 3.3. DEBT SERVICE PAYMENTS CAME IN AT 2.4. AGAIN, WE ARE ON ON ADJUSTABLE RATE, SO RIGHT NOW WE'VE SEEN THOSE KIND OF HIGHER INTEREST RATES. WE'RE STARTING TO SEE THOSE PAYMENTS COME DOWN, AND SO WE HAD A CASH FLOW OF ROUGHLY $870,000.

THAT IS DOING KIND OF A LITTLE BIT OF ANALYSIS BETWEEN THE BUDGET OF '24 AND WHERE WE WERE. ADJUSTED NOI FROM THAT 3. 3 OF ACTUAL WAS THAT 10% OF BUDGET FROM WHERE WE ARE.

SO WE ARE SIGNIFICANTLY ABOVE BUDGET FROM WHAT WAS ORIGINALLY PROJECTED. 2025 IS THE BUDGET THAT YOU HAVE HERE. BASED ON APRIL'S NUMBERS, I WASN'T ABLE TO DO THE ANALYSIS FOR MAY, BUT BASED ON APRIL NUMBERS WE ARE ABOVE BUDGET.

WHEN I TAKE APRIL, THE FOUR MONTHS OF ACTUAL DATA OF APRIL PLUS OUR BUDGET, WE ARE PROJECTED TO BE ABOVE BUDGET AGAIN FOR 2025. SO THAT MOVES US INTO THE HOTEL EXPANSION. SO THE PROPOSED HOTEL EXPANSION INCLUDES 60 ADDITIONAL ROOMS AND SUITES, A SECONDARY PRE- FUNCTION AND BALLROOM SPACE, EXPANDED LOUNGE, AN EXECUTIVE BOARDROOM AND ADDING CATERING AND THE INTEGRATION OF AN IN- HOUSE LAUNDRY SERVICE. IT'S DESIGNED TO CAPTURE THE CURRENT MARKET DEMAND WE'RE SEEING TO ENHANCE THE OPERATIONAL EFFICIENCY AS BRUCE TALKED ABOUT THE ORIGINAL HOTEL WAS DONE AT 122. BY ADDING THE 162 ADDITIONAL KEYS WE REALLY DON'T ADD AN ADDITIONAL EMPLOYEE FROM THAT. SO THE FRONT DOORMAN IS STILL THE FRONT DOORMAN, RIGHT? WE'LL NEED SOME BACKBACK OF HOUSE ASSISTANCE, BUT ALL OF THAT ALLOWS FOR BETTER EFISH AEPS IN THE OPERATIONS OF THE HOTEL. THE STRATEGIC ENHANCEMENT AS WE LOOKED THROUGH WHAT IS THE MOST IMPORTANT THING IN WORKING WITH MARRIOTT AND HENRY AND ALSO CORY HOSPITALITY OF WHERE THE DEMANDS ARE, WHAT WILL HELP ENHANCE THIS, THESE ARE THE ITEMS WE FOUND TO IMPROVE THE MARGINS, TO DRIVE THE REVENUE GROWTH, AND TO UNLOCK REALLY A LONG- TERM ASSET VALUE WITH NO ADDITIONAL CITY OR TAXPAYER FUNDING. SO MOVING INTO KIND OF WHAT IS PART OF THE EXPANSION BUT WITHIN THE FOOTPRINT OF THE EXISTING HOTEL.

SO AS YOU KNOW THE ADAGIO BAR IF YOU GO ON A WENS, THURSDAY, FRIDAY, SATURDAY, SUNDAY IT IS A VERY HAPPENING PLACE. SO THE BAR WAS NOT BUILT ORIGINALLY TO BE ABLE TO KIND OF HANDLE THE AMOUNT OF PEOPLE THAT ARE COMING TO IT, WHICH IS NOT GREAT FOR THAT BUT GREAT WHEN PEOPLE ARE COMING TO THE SPACE. SO WE ARE PROPOSING A BAR INFRASTRUCTURE ENHANCEMENT.

THIS WILL BASICALLY TAKE THE EXISTING BAR, BE ABLE TO ACCOMMODATE THE BAR EQUIPMENT AND CREATE A MORE EFFICIENT, SEAMLESS WORK FLOW AND ALSO

[00:25:02]

SO ONE OF THE THINGS YOU'LL NOTICE WE HAVE STANCHIONS, AND SO THIS ALLOWS US TO ADD A PERMANENT RAIL THAT CAN'T BE MOVED, THAT REALLY DEFINES THAT BAR, ALSO ENHANCES THE ARCHITECTURE FEATURE AND THE FACT THAT THE RAILING WILL BE PRETTY MUCH THE SAME RAILING THAT YOU SEE THAT GOES DOWN THE MAIN GRAND STAIR HALLWAY OR STAIRCASE. THE CAPITAL INVESTMENT, SO THIS IS WITHIN THE WALLS OF THE HOTEL, SO THEREFORE IT WOULD BE A HOTEL EXPENSE, BUT IT WOULD BE ESTIMATED AT ABOUT $400,000, AND WE'RE CURRENTLY STILL GETTING BIDS FOR THAT WITH AN INTENTION TO START THAT IN JANUARY WHEN EVERYBODY IS HIBERNATING IN THE WINTER MONTHS.

AS PART OF THIS EXPANSION BY ADDING A BIGGER BAR, THE THING WE ALSO NOTICE IS THAT WE NEED MORE SEATS. IF YOU GET A DRINK AND YOU STILL HAVEN'T FOUND A SEAT, MORE THAN LIKELY YOU'RE GOING TO LEAVE. BUT IF YOU GET A DRINK AND YOU'RE ABLE TO FIND A SEAT AND FIND A COZY PLACE FOR YOU AND YOUR GUEST, YOU'RE GOING TO PROBABLY A HAVE A SECOND DRINK AND MAYBE SOME FOOD, AND YOU'RE GOING TO STAY A BIT.

SO THEREFORE WE WANT TO TAKE THE EXISTING BOARDROOM THAT IS JUST TO THE EAST OF THE DAGIO BAR AND LIBRARY, THERE'S ALREADY A SECRET SLIDING DOOR THERE, AND WE'RE GOING TO ADAPT THAT AND PROVIDE ADDITIONAL SEATING FOR THE ADAGIO BAR. EVEN THOUGH THE CONCEPT IS NOT THE SAME, BUT WE'VE PROVEN THIS IS SOMETHING THAT PEOPLE WANT IS BECAUSE IF YOU HAD VISITED THE POP UP BAR THERE AT THE CHRISTMASTIME THAT WE CONVERTED ON THE LOWER LEVEL, IT WAS USUALLY PRETTY -- YOU KNOW, PEOPLE LIKED GOING INTO KIND OF A SECRET AREA AND HAVING A BAR AND BEING OFF AWAY FROM PEOPLE. SO THIS ALLOWS TO DO THAT, BUT EXTENDING THAT ADAGIO BRANDING AND ALSO ALLOWS TO RENT IT OUT FOR PRIVATE EVENTS, FOR CLIENTAL AND THEY WANT CORPORATE EVENTS THEY'RE NOT INTERMIXED IN THAT ADAGIO BAR THEY HAVE THE ABILITY TO MINGLE AND LINGER IN THAT COCKTAIL AREA. THIS IS REQUIREMENT, IF YOU'VE BEEN IN THAT BOARDROOM THE BLUE IS BEAUTIFUL AND THE PAINT AND THE CARPET, SO IT IS A MINIMAL COST. WE'RE GOING TO KEEP A LOT OF THAT, AND WE'RE JUST GOING TO HAVE SOME PRIMARY PURCHASE OF SOME NEW FURNITURE AND SOME MINOR AESTHETICS WITH SOME LIGHTING AND THAT KIND OF STUFF TO MAKE IT MORE SITTING-FRIENDLY.

SO THAT LEADS ME INTO THEN COMING INTO THE REM BUILDING. SO WANTED TO PROVIDE A FLOOR PLAN SO YOU CAN ORDINATE YOURSELF WHERE YOU ARE.

RIGHT AT THE BOTTOM YOU'LL SEE HOTEL. AS YOU WALK INTO -- SO ALL OF THIS EXPANSION WILL STILL USE THE FRONT DOOR OF THE EXISTING HOTEL. YOU WILL WALK IN.

YOU WILL CHECK IN THERE AT THE FRONT DESK.

YOU WILL BE LED TO EITHER THE 122 ROOMS, WHICH YOU WOULD THEN GO TO YOUR RIGHT, OR YOU WOULD GO TO THE ADDITIONAL 60, WHICH YOU WOULD GO TO YOUR LEFT.

YOU'LL WALK PAST THE ADAGIO BAR.

IT WILL BE SEAMLESS WALKING INTO THE CONNECTING DOORS INTO THE NEW SPACE. THE HOTEL LOBBY, THAT CORRIDOR THAT MOVES EAST TO WEST OR TOP TO BOTTOM AS YOU SEE ON THE DISPLAY WILL BE CURRENTLY MATCHED WITH INTERIOR WITH THE FLOORING, THE CEILING DETAIL, AND THINGS LIKE THAT.

WE'LL BE ADDING TWO ADDITIONAL BATHROOMS, SO WE HAVE WITH THAT EXPANSION AND ESPECIALLY WITH THE BALLROOM AND ADDITIONAL BOARDROOM TO BE ABLE TO HANDLE THAT FROM A RESTROOM FACILITY.

TO THE LEFT YOU WILL HAVE THE BOARDROOM.

THIS WILL BE AN EXPANDED SPACE, AND WE'LL TALK ABOUT THAT IN A MOMENT.

AND THEN YOU HAVE AN ADDITIONAL PRE- FUNCTION BALLROOM AND THEN ALSO SOME BACK OF THE HOUSE FOR THAT BALLROOM SUPPORT. THE BOARDROOM.

THE BOARDROOM WE CURRENTLY PUT ADDITIONAL SEATING IN IS CALLED THE JANE HANLY. WE'RE GOING TO MOVE THIS INTO A

[00:30:04]

SO ONE OF THINGS WE TALKED WITH MARRIOTT IS OBVIOUSLY WE'RE TAKING THE EXISTING FRANCHISE AND WE'RE ADDING NEW ROOMS, BUT THE OWNERSHIP OF THESE TWO BUILDINGS IN THESE LOCATIONS ARE DIFFERENT. WE WORKED WITH THEIR LEGAL AND OUR LEGAL, AND WE'RE GOING TO DO THIS IN A LEASE KIND OF STRUCTURE. BUT WE'RE GOING TO WORK WITH HENRY TO MAKE SURE WE'RE DOING IN A WAY THAT IS BENEFICIAL FOR THE HOTEL AND NOT GOING TO BE HARDFUL FOR THE HOTEL BUT ALSO WE NEED AS PEDCR AND HOW WE WOULD DO IT WITHOUT AN OUTSIDE TENANT. WE'RE GOING TO DO IT IN A LEASE STRUCTURE. YOU'LL SEE AS I WALK THROUGH THIS, WE'VE GOT SLIGHTLY DIFFERENT STRUCTURES FOR EACH OF THE LEASES BUT ALL KIND OF IN THE GENERAL FRAMEWORK. SO THE BOARDROOM WILL BE LEASED BACK TO THE HOTEL CARMICHAEL ON A TRIPLE NET LEASE. IT WILL BE A TRIPLE NET LEASE BASED ON A PERCENTAGE RENT OF TOTAL REVENUE. LET ME BACK UP.

SOMETIMES I TALK TOO FAST. TRIPLE NET LEASE STRUCTURE BASED ON A PERCENTAGE RENT OFOF TOTAL REVENUE WITH A MINIMUM RENT PAYMENT THAT IS $10 LESS PER SQUARE FOOT THAN THE MARKET RATE. SO ONE OF THE THINGS WE WANTED TO CAPTURE IS WE ARE GOING TO TAKE THE DOWN SIDE, OKAY? WE'RE GOING TO GET A MINIMUM RENT PAYMENT THAT IS NOT MARKET.

WE'RE GOING TO TAKE THE DOWNSIDE.

BUT AS THIS IS LEASED OUT, WE'RE GOTO THEN GET A LITTLE PIECE OF IT REVENUE SO WE'VE GOT AN UP SIDE IF IT RENTS WELL AND IT DOES WELL. SO THE ADDITIONAL RENT PAYMENTWILL BE BASED ON EITHER THE LESSER OF $5 ABOVE MARKET OR NO MORE THAN 15% OF THE REVENUE, SO THAT THERE IS A CAP ON THAT AND IT'S JUST NOT EVER ENDING. SO THAT LEASE STRUCTURE ALLOWS US FOR WHAT WE NEED BUT ALSO GIVES YOU AS THE HOTEL A PROTECTIVE NATURE THAT YOU'RE NOT QUITE UP TO MARKET AND YOU'RE NOT PAYING A RENT CHECK WITH IT NOT BEING USED.

DEVELOPMENT OR RESPONSIBILITY I THINK IS IMPORTANT. VILLAGE CAPITAL CORE IS THE OWNER OF THE RENT. IT IS A PEDCOR AFFILIATED COMPANY, AND WE WILL BE RESPONSIBLE FOR BUILDING THIS OUT INCLUDING ALL OF THE REAL ESTATE IMPROVEMENTS.

SO WE WILL BUILD IT OUT ALL THE WAY TO FINISH, SO CARPET, PAINT, LIGHTING, ALL OF THAT.

THE HOTEL CARMICHAEL WILL JUST COME IN WITH THEIR FIXTURES. ADDITIONALLY, YOU WILL HAVE AN ADDITIONAL BALLROOM. THE EXISTING BALLROOM IS FREQUENTLY AT CAPACITY.

>> ADDING A SECOND BALLROOM WILL INCREASE FMB REVENUE AND ALL THAT ADDITIONAL REVENUE THAT YOU RECEIVE AT THE HOTEL. ONE OF THE THINGS I DID, I ASKED CORY HOSPITALITY, AND SO HOW MANY LEADS ARE YOU HAVING TO TURN AWAY, BECAUSE I THINK THAT KIND OF TELLS ME WHERE WE ARE.

AND SO TYPICALLY WE HAVE -- IN '24 WE HAD 330 EVENTS. THAT INCLUDES WEDDINGS, THAT INCLUDES CORPORATE EVENTS OR SOCIAL EVENTS THAT CORPORATIONS OR PEOPLE HAVE SCHEDULED WITHIN THE HOTEL. WE CURRENTLY ARE SLATED TO BE ON THAT PATH FOR 2025, AND WE CURRENTLY HAVE BOOKED MORE WEDDINGS NOW THAT WE DID IN '24, SO THAT IS MOVING, YES. AS TO HOW MANY LEADS ARE YOU TURNING AWAY SPECIFICALLY IN THE FACT OF THEY WANT IT HERE BUT WE JUST DON'T HAVE THE CAPACITY BECAUSE OF THAT. AND SO WE HAVE TURNED DOWN ABOUT 151 CORPORATE EVENTS DUE TO CAPACITY, WHICH MEANS THEY COULD BE THERE AND FIT THERE, BUT WE DON'T HAVE THE DATES AVAILABLE FOR THEM.

AND WE'VE TURNED DOWN -- OR NOT TURNED DOWN, BUT WE COULD HAVE BOOKED MORE THAN 25 WEDDINGS, IF WE HAD MORE SPACE.

[00:35:03]

YOU'LL MAKE A MINIMUM PAYMENT THAT'S $10 UNDER THE MARKET RENT, WHICH THE DOWN SIDE, AND THEN WE WILL GET A LITTLE BIT OF THE UPSIDE OF THE LESSER OF 5% OF MARKET OR $5 A SQUARE FOOT OF MARKET OR 15% OF THE REVENUE. AGAIN, VILLAGE CAPITAL CORP WILL BUILD IT OUT.

IT WILL LOOK VERY SIMILAR TO THE EXISTING ONE WE HAVE WITH ALL THE DETAIL AND ORNATE CEILINGS. SO WE WILL BUILD THAT OUT ALL THE WAY TO THAT, AND THEN THE HOTEL WILL JUST COME IN WITH THEIR TABLES AND CHAIRS AND THEIR FURNITURE AND FIXTURES OF WHAT THEY WILL NEED. THE 60 ROOMS. SO HERE'S THE CURRENT LAYOUT. AGAIN, MAYBE ONE OF THE THINGS I WANT TO GO BACK AND POINT OUT. THIS MIGHT BE EASIER.

THERE AS YOU COME FROM THE HOTEL, SO IF I'M LOOKING AND I'M WALKING IN FROM THAT HOTEL LEVEL, TO THE RIGHT I'M GOING TO HAVE A -- OR TO THE LEFT, EXCUSE ME, IS GOING TO TOBE DEDICATED ELEVATOR THAT WILL ONLY GO FROM THEIR FLOORS, 3, 4, AND 5, AND THEN TO THE RIGHT WILL BE THE SERVICE ELEVATOR THAT WILL SERVICE THOSE FLOORS SPECIFIC FOR THE HOTEL. SO THOSE DO NOT CONTINUE ON WITH ANY ACCESS INSIDE THE RENT BUILDING. THIS ON THE BOTTOM OF THE PAGE WOULD BE WHERE THE THIRD FLOOR STARTS AND YOU HAVE THE ROOM LAYOUTS. I KNOW THAT MIGHT BE SLIGHTLY OVERWHELMING. PER FLOR YOU HAVE THREE TOTAL STACKED. THE FLOORS WILL INCLUDE -- NOT ALL FLOORS BUT TOTAL THREE FLOORS WILL INCLUDE NINE DOUBLE ROOMS, 30 KING ROOMS, 18 EXECUTIVE SUITES, AND 3 PRESIDENTIAL SUITES. AND AGAIN, OUTFITTED IN ALL OF THE SIMILAR STYLE THAT WE EXISTINGLY HAVE.

LIKE BRUCE SAID WE BROUGHT IN THE ORIGINAL INTERIOR DESIGN, SO WE'RE WORKING THROUGH THAT, AND I'LL SHOW YOU SOME PICTURES HERE IN A MOMENT, AND THE SAME ARTIST WHO WE HAD DO A LOT OF THE CURATION OF THE ART IS ALSO ONBOARD TO CONTINUE THAT BRANDING ALL THE WAY THROUGH. THE ROOMS AND SUITES, AND HERE IS A RENDERING OF WHAT OUR SUITE WILL LOOK LIKE. SO THE DEVELOPMENT RESPONSIBILITY, THESE ARE A LITTLE BIT DIFFERENT THAN WHAT WE SAW ON KIND OF THAT PLAZA LEVEL WITH THAT MORE RENTALS KIND OF THING. SO THE VILLAGE VILLAGE CAPITAL CORP, WE WILL BE OVERSEEING THE FULL DEVELOPMENT AND CONVERSION OF THESE ROOMS INCLUDING ASSOCIATED COMMON AREAS ON ALL OF THOSE FLOORS. SCOPE OF WORK WILL INCLUDE CONSTRUCTION, FURNITURE AND FIXTURES, OSC, WHICH IS THE OPERATING SUPPLIES AND EQUIPMENT RESULTING BASICALLY IN THE FULL TURN- KEY HOTEL ROOMS THAT WE WILL HAND OVER TO CORY FOR THEM TO START MANAGING.

THE LEASE STRUCTURE IS A BIT DIFFERENT.

IT WILL BE MORE OF A MANAGEMENT- STYLE LEASE STRUCTURE WHERE ALL THE STANDARD HOTEL OPERATING EXPENSES WILL BE COVERED INCLUDING THE DEPARTMENTAL ALLOCATIONS, AND THIS IS A LITTLE ACCOUNTING KIND OF GETTING IN THE WEEDS, BUT INCLUDING THE DEPARTMENTAL ONES WHICH ARE VERY MUCH ASSOCIATED WITH THE ROOMS, UNDISTRIBUTED ONES, WHICH WOULD BE YOUR ADMINISTRATION, YOUR I.T. , THOSE KIND OF BASIC BACK OF THE HOUSE SUPPORT.

THE MANAGEMENT FEE BOTH TO CORY HOSPITALITY, ALL OF THE FRANCHISE AGREEMENTS OR FRANCHISE FEES FOR MARRIOTT, NONOPERATING EXPENSES, AND PRESERVES.

THOSE WILL BE PAID PRIOR TO ANY PAYMENT BEING MADE TO CAPITAL VILLAGE CORP. AFTER ALL OF THOSE FEES ARE PAID, THEN A PAYMENT WILL BE MADE TO VILLAGE VILLAGE CAPITAL CORP, AND THEN THERE WILL BE SOME OTHER EXPENSES WE'LL TALK ABOUT HERE IN A MINUTE.

SO ONE OF THE THINGS WE WANTED TO DO IS HAVE A LITTLE BIT OF REVENUE PARTICIPATION OR BASICALLY A MANAGEMENT FEE PAID TO THE HOLE. SO RIGHT NOW YOU HAVE A

[00:40:03]

YOU HAVE FRANCHISE FEES YOU PAY TO MARRIOTT.

WE'RE GOING TO ADD WITHIN THE 60 ROOMS THAT HOTEL CARMICHAEL WILL OSBE PAID A 4% MANAGEMENT FEE BASED ON THE GROSS REVENUES FOR THESE ADDITIOAL KEYS. ON TOP OF THAT WE ARE ONLY GETTING ROOM REVENUE, THE HOTEL WILL KEEP 100% OF ALL ADDITIONAL FOOD AND BEVERAGE OR ANY ADDITIONAL REVENUE THAT THEY HAVE KIND OF AS AN OFFSHOOT OF THESE

ROOMS. >>

CAN I -- >> YES, GO

AHEAD. >> -- ADD TO THAT? AGAIN, ROOMS OUTFITTED COMPLETELY BY PEDCOR, BUILT COMPLETELY BY PEDCOR, THE EXPENSES WILL BE TAKEN OUT RELATED TO THOSE ROOMS AND THOTELL WILL MAKE REVENUE 4% OF THAT FOR PROFITS. AND THAT'S ONLY RELATED TO RENTS. WHEN THEY MAKE FOOD, THAT'S 100% REVENUE MONEY TO THE HOTEL IS.

. ALSO IF YOU STAY AT THE CARMICHAEL WE HAVE PERSONALLY BRANDED CARMICHAEL ROSE, IF YOU DECIDE TO TAKE THAT HOME, IT'LL COST YOU $100. AND THAT REVENUE, OF COURSE, GOES TO THE HOTEL, NOT TO

VILLAGE CAPITAL. >> LAURIE, JUST A QUICK COMMENT.

ON THE FLIP SIDE IF THE NEW ROOMS DON'T GENERATE ENOUGH REVENUE TO COVER THOSE EXPENSES ASSOCIATED WITH THOSE ROOMS, THOSE ARE NOT A RESPONSIBILITY OF THE CARMICHAEL, SORE THAT'S YOUR RESPONSIBILITY, CORRECT? SO, I MEAN, THAT'S THE RISK

SIDE. >> THAT IS THE

RISK. >> I JUST WANT TO MAKE SURE.

YOU GOT THE UP SIDE, BUT YOU ALSO HAVE THE DOWN SIDE.

>> YEAH. ONE OF THE THINGS, TOO, ON TOP OF THAT FROM VILLAGE CAPITAL'S PERSPECTIVE IS THAT ALL OF THE HOTEL EXPENSES ARE PAID.

SO ONCE VILLAGE CAPITAL CORP GETS THE ADJUSTED REVENUE FROM THE ROOMS, WE STILL THEN HAVE -- WE STILL THEN HAVE REAL ESTATE TAXES THAT WE WILL BE PAYING ON THOSE ROOMS. WE WILL HAVE UTILITIES THAT WE WILL PAY ON THOSE ROOMS, PROPERTY INSURANCE.

THERE ARE PARKING DECLARATIONS ASSOCIATED WITH THE GARAGE THAT'S ATTACHED TO THAT BUILDING THAT WE WILL PAY FROM THAT PERSPECTIVE. SO THERE'S STILL -- AND ANY ASSOCIATED DEBT SERVICE WE HAVE FOR THAT AREA, TOO.

SO THAT WE WILL THEN KIND OF TAKE ON FROM OUR KIND OF ADJUSTED REVENUE THAT WE RECEIVE AS OUR PAYMENT.

AND THAT'S PART OF IT BECAUSE WE WILL RETAIN THE OWNERSHIP OF THESE 60 ROOMS. THEY WILL NOT HAVE THE OWNERSHIP OF THE CURRENT 122 AT THIS TIME. ONE OF THE THINGS THAT WE DID TO GO TO SPEAK TO WHAT DAVE SAIDSAID WAS THE OPERATIONAL FAIRNESS. SO ONE OF THE THINGS THAT WE WANTED TO DO WAS TO MAKE SURE THAT THERE IS NO, WELL, WE'RE ONLY GOING TO THE 122 ROOMS AND THEN ONCE THOSE ARE FULL WE MOVE TO THE 60, OR ME MOVE PEOPLE TO THE 60 AND WE'RE NOT DOING THE 122. SO WE WILL HAVE AN AGREEMENT WITH CORY HOSPITALITY TO ENSURE THEY OPERATE IT IN A NEUTRAL WAY. WE HAVE TALKED WITH THEM AND MARRIOTT, AND SO IT WILL BE SEAMLESS FROM A GUEST PERSPECTIVE WHEN THEY GO TO THE WEBSITE. THEY WON'T BE ABLE TO CHOOSE, OH, THE NEW SIDE, THE OLD SIDE.

THERE WON'T BE THAT OPTION. IT JUST ALL BECOMES PART OF THE MIX OF WHAT THEY -- THE KING ROOM SUITE, THAT KIND OF STUFF OF WHAT THEY WILL PICK FROM. SO IT WILL BE MANAGED WITHOUT A SPECIFIC PREFERENCE DONE BY CORY HOSPITALITY SO THAT WAY WE ALL ARE -- BOTH SIDES OF THE ORIGINAL HOTEL AND EXPANSION ARE TREATED FAIRLY IN THAT MIX.

AND BACK OF THE HOUSE DOESN'T SOUND SUPER FUN, BUT IT'S DESPERATELY NEEDED. SO AS PART OF WITH THE INCREASED GUEST ROOMS, THE NEW EVENT SPACE THAT WE'RE ADDING, OBVIOUSLY WE WILL SIGNIFICANTLY ELEVATE THE FOOD AND THE BEVERAGE DEMAND ON THE HOTEL, SO THEREFORE AN ADDITIONAL KITCHEN TO SUPPORT THAT GROWTH AND UPHOLD THE CURRENT LEVEL OF SERVICE WE'RE GETTING. IT WILL REDUCE THE SERVICE DELAYS FOR PEAK HOURS. IT WILL ALLOW THEM TO CATER FOR MULTIPLE EVENTS AT ONE TIME AND STILL SERVICE THE VAVANTE AND JUST BE ABLE FOR THEM TO HANDLE ALL OF THAT.

IN- HOUSE LAUNDRY, SO THIS IS SOMETHING THAT'S BEEN VERY EDUCATIONAL FOR BE. SO RIGHT NOW WE OUTSOURCE THE LAUNDRY SERVICES, AND IT IS EXTREMELY HIGH COST TO DO THAT. AND IT HAS LONG TURN AROUND TIMES. SO WITH THE EXPANSION WE DISCUSSED THEN HOW DO WE BRING THAT IN, WHAT DOESTHALITY LIKE? SO BY TRANSIGING THESE INTO THE HOUSE, IT ALLOWS US OBVIOUSLY TO CUT DOWN ON THAT PRICING, TO BE ABLE TO DO IT MORE COST-EFFICIENTLY, TO DO BETTER QUALITY CONTROL, AND IT ALSO

[00:45:01]

SO IT IS -- AND WE'VE RUN ALL THOSE NUMBERS, SO IT'S A GREAT INVESTMENT TO BRING THAT IN-HOUSE AND START TO DO THAT OURSELVES. THE BACK OF THE HOUSE WILL BE A LEASED SPACE VERY SIMILAR TO THE BOARDROOM AND THE BALLROOM. IT WILL BE DONE IN A GROSSLY STRUCTURED AT- MARKET RATE. AND THEN THE DEVELOPMENT RESPONSIBILITY VERY SIMILAR.

WE WILL BUILD IT OUT FOR ALL REAL ESTATE IMPROVEMENT, AND THEN THE HOTEL JUST NEEDS TO BRING IN THEIR FURNITURE AND THEIR EQUIPMENT BASICALLY FOR THIS SIDE OF THE BUSINESS. SO WITH THAT, I AM SURE THE QUESTION THEN IS, WELL, WHAT DOES THIS DO TO THE BOTTOM LINE? SO WHAT YOU HAVE IN FRONT OF YOU IS THE HOTEL PROJECTED WITH NO EXPANSION. SO THIS STAYS THE 122 ROOMS. IT WOULD ALSO NOT INCLUDE THE ADAGIO EXPANSION AND JUST KIND OF AS IT IS AND MOVES FORWARD.

YOU CAN SEE AND THE BOTTOM LINE AFTER REPLACEMENT PRESERVES, YOU CAN SEE THAT '26 IS PROJECTED AT 30.6, AND SLOWLY IT INCREASES UP. THEN WHEN WE LOOK AT THE EXPANDED, SO ALL THESE DIFFERENT PARTS AND WHO GETS PAID WHAT AND MANEUVERING THAT THROUGH, YOU CAN SEE THAT THE PROJECTION TURNS TO 4. 5, 5. 4, 5. 8, AND 6.3. WHEN I DO A COMPARISON OR BASICALLY A SUMMARY OF CHANGE OF THOSE TWO DIFFERENT INCOME STATEMENTS, AND I'M GOING TO LOOK AT '26 WE PLAN ON COMING IN LINE PROBABLY LATE FALL OF '26, SO IT'S A LITTLE -- IT'S NOT A FULL YEAR OF THAT PROJECTION. BUT ON '27 YOU START TO HAVE A FULL YEAR, AND THEN '28 IS FULLY STABILIZED. '27 YOU HAVE AN INCOME CHANGE, SO I'M GOING TO FOCUS ON THE CHANGE OF $1. 2 MILLION. AND THEN '28 IS 1 . 2, AND '29 IS 1.3. I WANT TO MAKE THIS CLEAR THIS IS YOUR INVESTMENT IN THE HOTEL. THAT IS THE CHANGE OF WHAT YOUR INCOME BECOMES, NOT OUR SIDE OF THE EXPANSION BUT WHAT HOTEL CARMICHAEL BENEFITS FROM.

>>

>> THE EXISTING HOTEL, ABSOLUTELY.

TRUE, FAIR ENOUGH. YES, YES.

THE ORIGINAL HOTEL INVESTMENT. SO WHEN I TAKE THE 2027 PROJECTION AND I APPLY IT TO JUST THAT CHANGE AND THEN ALSO AT A 7. 5% CAP RATE, THAT WILL INCREASE THE VALUE OF THE EXISTING HOTEL BY $16 MILLION. SO BETWEEN THE DEMAND THAT WE'RE SEEING, THE VERY STRATEGIC THINGS THAT WE'VE DECIDED TO EXPAND ON AND BRING IN- HOUSE, AND THEN WHEN YOU SEE THE NUMBERS, IT DEFINITELY IS A GOOD INVESTMENT FOR US TO MOVE THIS FORWARD. QUESTIONS?

COMMENTS? >> ALL RIGHT, THANK YOU FOR THE PRESENTATION. I HAVE ONE QUESTION, THEN I'LL ASK THE OTHER MEMBERS OF THE

COMMISSION. >>

YES. >> DO YOU HAVE A GENERAL SCHEDULE YET?

>> WE ARE CURRENTLY THROUGH BIDDING, BUT THE INTENT IS, AND WHAT WE HAVE BEEN WORKING FOR IS FOR US TO START PROBABLY HERE KIND OF EARLY FALL WITH ABOUT A 12- MONTH, 14-MONTH CONSTRUCTION

SCHEDULE. >>

GOOD. >> JUST TO COMMENT.

THANKS TO PEDCOR FOR TAKING THE FINANCIAL RISK ON THIS EXPANSION. AS LAURIE POINTED OUT THIS IS ALSO GOOD FOR THE CRC AND THEREFORE GOOD FOR THE CITY, AND THAT DOESN'T REALLY WEIGH IN ON THE INTANGIBLES THAT GO ALONG WITH HAVING A HOTEL AT THIS SITE ANCILLARY TO WHAT GOES ON AT THE HOTEL. SO IN MY OPINION THIS IS VERY GOOD THING FOR THE CRC AND FOR THE

CITY. >> CAN I JUST PIGGYBACK ON WHAT CHUCK JUST SAID? WE'RE LOOKING AT HOTEL FINANCIALS. WE'RE LOOKING AT THE INCREASE THAT OUR FOOD AND BEVERAGES ARE GOING TO DO FROM THE PEOPLE, FROM ADDITIONAL GUESTS IN THE HOTEL.

AND WHEN YOU'RE LOOK AT IT FROM THAT PERSPECTIVE, THAT'S ALL GOOD NEWS. WE AT THE CRR LOOK AT IT FROM THAT PERSPECTIVE, BUT ALSO I DON'T REALLY CARE WHERE THOSE PEOPLE EAT. IF THEY WALK ACROSS THE STREET AND EAT AT A RESTAURANT FROM THE HOTEL, WE ALL WIN. SO FROM THAT PERSPECTIVE THERE ARE POSITIVE BENEFITS THAT LIFT ALL BOATS HERE, ESSENTIALLY, MANY OF THEM.

>> AN ANECDOTE THAT I THINK CAME FROM EITHER BRUCE OR LAURIE WASWAS HOW MANY HOTEL ROOMS IN THE CURRENT HOTEL ENDED UP HAVING

[00:50:02]

BENEFIT. >> BRUCE, WAIT, YOU GOT TO SAY IT TO THE MICROPHONE BECAUSE PEOPLE CAN'T HEAR IF THEY'RE

WATCHING. >> I THINK IT WAS A COUPLE YEARS AGO THE MANAGER OF THE HOTEL TOLD ME AND TOLD ME IN VIRTUALLY EVERY ROOM THEY CLEANED THERE WAS A BOX FROM CAKE BAKE.

>> GO AHEAD, COMMISSIONER.

>> A COUPLE OF QUESTIONS, AND JUST TO AFFIRM.

SO IN THE PRESENTATION WE TALKED ABOUT DIFFERENT RESPONSIBILITIES OF THE CURRENT HOTEL CARMICHAEL.

AND WE'RE TALKING ABOUT FURNITURE, SOME CHANGES IN THE BAR AREA, AND I JUST WANTED TO MAKE SURE THAT I UNDERSTAND THAT THE CURRENT OWNERSHIP OF HOTEL CARMICHAEL AND US, WE'RE NOT OUT BORROWING MORE MONEY TO MAKE THIS HAPPEN.

WE HAVE ACCUMULATED OVER FIVE VERY SUCCESSFUL YEARS AND STRATEGICALLY NOT -- WE COULD HAVE PAID THE CRC BACK SOME MONEY. THERE'S A LOT OF THINGS THAT WAEGS -- WE CONSCIOUSLY MADE SURE WE HAD THE PROPER RESERVES IN PLACE THAT MARRIOTT REQUIRES AND ALSO PUT ADDITIONAL RESERVES IN PLACE IN CASE THERE WERE CALLS ON SERVICE WHICH THERE NEVER HAS BEEN. AND THEN WE'VE BEEN TALKING ABOUT THIS EXPANSION OVER A YEAR PROBABLY. AND I THINK IT'S IMPORTANT AND MAYBE BRUCE YOU WANT TO TALK ABOUT, THERE HAVE BEEN MULTIPLE ITERATIONS OF WHAT THIS COULD LOOK LIKE.

AND JUST RECENTLY LET'S SAY IN THE LAST SIX MONTHS IT SORT OF HAS COME TO THIS. AND THEN WITH HENRY AND STAFF NEGOTIATING THE AGREEMENT WE'RE LOOKING AT TONIGHT, AND WE'VE HAD MEETINGS WITH US -- I THINK IT'S BEEN FAIRLY TRANSPARENT, AND I KNOW WE'VE TALKED TO CITY COUNSELORS AND THE MAYOR, SO WE'VE DISCUSSED THIS AT LENGTH, BUT IT'S IMPORTANT TO KNOW THAT WE'RE NOT BORROWING ADDITIONAL MONEY, THAT WE HAVE SAVED MONEY FOR SOMETHING LIKE THIS, AND THAT PEDCOR PREDOMINANTLY IS TAKING ON THE RISK SIDE OF THE ADDITIONAL ROOMS, THE EXPANSION OF SOME OF THE COMMON AREAS AND A BOARDROOM IS SHARED AMONGST US.

>> YES.

>> SO I THINK THAT'S AN IMPORTANT POINT TO GET OUT, AND MAYBE YOU COULD TALK ABOUT THE ITERATIONS AND WHAT -- I DON'T KNOW HOW COURY AND HOW INSTRUMENTAL THERE WERE TO SAY LARGE ROOMS OR ALL SUITES, SO I THINK IT'S IMPORTANT FOR YOU TO KNOW THIS.

>> SO IT RIGHT NOW IS 33 APARTMENTS, 11 OF EACH OF THREE FLOORS THAT WE'RE CONVERTING INTO 20 ROOMS AND SUITES ON EACH OF THE THREE FLOORS.

KEEPING THE WALLS IN PLACE BETWEEN THE APARTMENTS BUT OFTEN WILL TAKE OUT WALLS IN THE MIDDLE OF THE APARTMENT SO WE CAN CREATE, LET'S SAY, TWO ROOMS. OTHER TIMES WE MAY LEAVE IT THAT WAY AT LEAST BEING ONE UNIT BUT IT'S A SUITE LET'S SAY INSTEAD OF A SINGLE ROOM. SO, YES, OUR FIRST ITERATION, AND WE ACTUALLY GOT CLOSE TO -- THEY MAY HAVE ACTUALLY APPROVED, I GUESS, WITH THE 33 APARTMENTS, BUT THE IDEA OF THEM NOT NECESSARILY BEING AS ATTRACTIVE AS THE EXISTING ROOMS BUT A LOT MORE SPACE.

AND AFTER WE DID THAT WE GAVE IT SOME MORE THOUGHT AND WE COULD SEE THAT THE HOTEL CONTINUED TO DO SO MUCH BETTER, THAT IS OPPOSED TO TRYING THAT ALTERNATIVE WE DECIDED BASICALLY TO DO THE PLAN WE HAVE NOW. AND AS YOU SUGGESTED, IT HAS BEEN PRESENTED BEFORE MANY OF YOU FOR AT LEAST A YEAR, AND IT HAD GOOD INPUT.

HENRY'S A TOUGH NEGOTIATOR ON YOUR BEHALF.

IT ISN'T OUR ORIGINAL DEAL, BUT IT IS ONE THAT WE'RE HAPPY WITH, AND I THINK I'LL LET HENRY SPEAK, BUT HE MUST BE HAPPY OR HE WOULDN'T BRING IT

HERE. >> YEAH, THAT PART THAT SAYS THE HOTEL'S VALUE INCREASES BY $60 MILLION WITH US JUST PUTTING IN VERY MINIMAL MONEY LOOKS PRETTY

GOOD. >> YOU GOT $60

MILLION? >> 16, I'M

SORRY. >> COMMISSIONER

BROOKS? >> WITH THAT BEING SAID ONE THING WE TALK ABOUT IS THERE'S PEOPLE SITTING OUT THERE AND ALL BEMOAN A PUBLIC, PRIVATE PARTNERSHIP TO A HOTEL OR VARIOUS ENTITIES. SO ONE OF THE THINGS WE DID TALK ABOUT IN THIS IS AN EXIT STRATEGY FOR THE CITY, YOU KNOW, OR -- AND I DON'T KNOW, MAYBE YOU WANT TO ADDRESS THAT A LITTLE BIT.

>> SURE.

>> SORRY, COULD I JUMP IN BECAUSE YOU ARE ASKING A POTENTIAL BUYER OF THE CITY'S EXIT STRATEGIES, SO LET ME JUST JUMP IN.

>> I'M NOT ASKING FOR --

>> I'M NOT ASKING FOR -- WELL, THE CONFLICT IS OBVIOUS.

[00:55:03]

WOULD. >> WELL, FRANKLY OUR EXIT STRATEGY HERE IS 2031 AND LATER, AND I JUST WANT TO JUST NOTE THAT IN THE EARLY 2030S ANY ADVANCES WILL BE PAID BACK.

THE LOAN WILL BE PAID DOWN QUITE A LOT.

WE'LL HAVE FULL OPERATION OF EVERYTHING AND THE NUMBERS THAT SHOW THAT FULL OPERATION, THE AMOUNT OF MONEY WE COULD SELL OUR INTEREST FOR IS GOING TO BE A LOT MORE THAN TODAY. SO WE'RE LOOKING AT THE EARLY 2030S FOR THAT KIND OF EXIT STRATEGY, AND THAT' JUST -- I THINK THE CASE FOR THAT IS PRETTY

OBVIOUS. >> LET ME SAY I THINK A LOT OF THE STRENGTH -- I MEAN THE PROPERTY WOULD NOT HAVE HAPPENED IN THE FIRST PLACE WITHOUT PUBLIC, PRIVATE PARTNERSHIP, OKAY? IN FACT, MARRIOTT ASKED ME TO GO DO MORE OF THESE. AND I THINK, LOOK, I DON'T THINK WE'RE GOING TO FIND MORE CARMEL OTHER BY WAY OF GOOD LOCATION.

SO BUILDING SOMETHING WAS PRIMARY.

WE HAVE BEEN OPERATING IN A VERY COLLEGIAL WAY, IN A WAY THAT REINFORCES WHAT'S HAPPENING IN THE CITY, NOT JUST THE HOTEL AND NOT JUST CARMEL CITY CENTER.

AND SO IF YOU ALL AGREE YOU WANT TO PURSUE SOMETHING LIKE THIS IN THE EARLY 2030S, I WOULD STILL ENCOURAGE THE CITY TO THINK IN TERMS OF STILL LEAVING IN A SUBSTANTIAL INVESTMENT, ALTHOUGH YOU MAY DROP IT DOWN SOME, THE COURY ORGANIZATION, PAUL COURY THEY MANAGE 20 OR SO HOTELS THROUGHOUT THE COUNTRY AND DO A VERY GOOD JOB.

THEY EXPRESSED AN INTEREST IN POTENTIALLY MAKING AN EQUITY INVESTMENT ALSO.

IF IT ENDED UP BEING A COMPBINATION OF THE CITY, PEDCOR AND THE COURY, ORGANIZATION, I THINK THAT COULD BE A BIG WIN FOR EVERYONE.

ONE OF YOUR CORE MUSIC SPOTS IS IN THE HOTEL.

YOU HAVE A SEAT AT THE TABLE AS BEING AN INVESTOR, I WOULD COMMEND YOUR THOUGHT AND ATTENTION EVEN GOING FORWARD, IF YOU OTHERWISE WANT TO EXIT AT LEAST IN PART FROM THE INVESTMENT LET'S SAY IN THE EARLY 2030S.

>> AND MY ONLY POINT IS IT HAD BEEN DISCUSSED, NOT THE STRUCTURE AND NOT WHO THE PARTNERS ARE.

BUT IT'S JUST -- I THINK IT'S IMPORTANT TO GET THAT OUT THERE IS WE'REDISCUSSING A LOT OF DIFFERENT THINGS IN THIS. I MENTIONED 25 YEARS AGO ALTHOUGH WE ARE NOW JUST MEETING ONCE EVERY OTHER TUESDAY BECAUSE HENRY HAS A MEETING WITH THE MAYOR, AND I CAN UNDERSTAND WHY SHE PREEMPTED MY TYPICAL MEETING.

BUT UNTIL ABOUT A YEAR AGO WE MET EVERY TUESDAY MORNING AT 9:00, AND THEY SAY WE STILL ARE FOR 25 YEARS. SO YOU TAKE 50 MEETINGS OR 45 MEETINGS A YEAR TIMES 25 YEARS, THAT IS OVER 1,000 MEETINGS BASICALLY WE HAVE HAD.

NOW, THAT WAS TO BUILD ALL 45 BUILDINGS, NOT JUST THE HOTEL.

BUT THE HOTEL IS TREATED THE SAME AND PROBABLY EVEN BETTER THAN PROBABLY THE REST BECAUSE OF THE NATURE OF IT AND THE FACT YOU HAVE A CONTINUING INVESTMENT IN IT WHEREAS YOU DON'T IN THE OTHER 44

BUILDINGS. >> YEAH, COMMISSIONER -- ARE YOU THROUGH WITH THE QUESTION?

COMMISSIONER. >> MY OPERATION CURIOSITY IS PIQUED. DO YOU EXPECT WHEN KEY TURNOVER DAY COMES THAT A SWITCH WILL BE FLIPPED AND ALL THOSE ROOMS WILL OPEN UP? OR DO YOU EXPECT THE MARRIOTT WILL PHASE THEM IN AT SOMESOME POINT? AND THE REASON I'M ASKING THAT IS YOUR PROJECTIONS ARE ACCORDING TO POTENTIAL PHASE- IN IF THERE IS A PHASE-IN.

>> THAT IS MORE FOR THE -- MORE FOR, LIKE, THE -- OKAY, LET ME START OVER. SO HOW MARRIOTT WILL WORK IS SO WE WILL HAVE EVERYTHING -- WE'LL HAVE EVERYTHING DONE, THEN MARRIOTT COMES IN AND THERE'S USUALLY A PERIOD OF A COUPLE OF WEEKS WHERE MARRIOTT HAS GOT TO COME IN AND GET EVERYTHING TRAINED AND MAKE THAT REWORK. OBVIOUSLY IT MAY NOT BE AS LONG BECAUSE THIS IS JUST AN ADD INTO THE EXISTING OPERATIONS, BUT ALL 60 ROOMS WILL GO LIVE AT ONE TIME. YEAH, SO A LOT OF THAT KIND OF THING IS KIND OF GOING, OKAY, IF IT DOES COME LIVE IN THE LATE FALL OF '26, SO WHERE DOES THAT FEEL

LIKE? >> THANK YOU.

>> ABSOLUTELY. >> OUR EXPERIENCE FROM THE INITIAL OPENING IS AS WE'RE GETTING CLOSER TO OPENING THE ROOMS, MARRIOTT'S STARTING TO LIST THEM FURTHER OUT ON THE CALENDER AND MAKE THEM BOOKABLE. AS MARRIOTT SEES WE GET CLOSER TO OPENING DAY, THEY PUSH THE TIME FORWARD TO ALLOW ROOMS TO BE

BOOKED. >> AND STAFFING UP ACCORDINGLY AND ET CETERA.

>> THAT'S RIGHT. SO AT GO

[01:00:04]

LIVE -- >>

YES? >> MR. CHAIRMAN, MAY I MAKE A MOTION TO APPROVE RESOLUTION 25 202513 EXPANSION OF THE CARMICHAEL?

>> THANK YOU, COMMISSIONER. IS THERE A SECOND?

>> I'LL SECOND.

>> THANK YOU. IT'S BEEN MOVED AND SECONDED.

ALL IN FAVOR PLEASE SAY AYE. ANYBODY OPPOSED? THANK YOU VERY MUCH. IT IS APPROVED.

SO WE'RE LOOKING FORWARD TO AN EXPANDED HOTEL CARMICHAEL AND WISH TO THANK OUR FRIENDS AT PEDCOR FOR YOUR HARD WORK. I ENJOY VISITING THE FEINSTEIN CLUB FROM TIME TO TIME, TOO. IT'S A LOT OF

FUN. >> MR. PRESIDENT, THERE'S NO OTHER BUSINESS ON THE AGENDA

TODAY. >> WELL, WITH NO OTHER BUSINESS BEFORE US THIS EVENING, THEN I WILL WITHOUT OBJECTION

[9. EXECUTION OF DOCUMENTS NEXT REGULAR MEETING: Wednesday, July 16th, 2025, 6:30 p.m.]

OUR NEXT MEETING IS SCHEDULED -- OUR REGULAR MEETING WILL BE ON WEDNESDAY, JULY 16TH HERE, I BELIEVE, IN THE CITY COUNCIL CHAMBERS AT 6:30 P.M. SO WITHOUT OBJECTION, WE ARE ADJOURNED PENDING THE EXECUTION OF DOCUMENTS.

THANK YOU ALL.

* This transcript was compiled from uncorrected Closed Captioning.