Private Firms Set to Compete for Chance to Redevelop the Walesbilt Hotel

With the approval of a deal with Walesbilt Hotel owner Raymond Brown, the Lake Wales City Commission has cleared the way for the private redevelopment of the landmark building. The acceptance of the lawsuit settlement by the five-person commission, which also sits as the city's Community Redevelopment Agency board, ends a three-year battle over the building.

Robert Connors

The historic Walesbilt Hotel was built through the investment of a group of city leaders and Hollywood silent-film stars during the 1920's Great Florida Land Boom. Redevelopment is expected to bring enormous economic benefits to the downtown area of the city.

The settlement brings the building back under city control more than a decade after it was given to Brown's Dixie Walesbilt LLC with the expectation that it would be converted to residential condominiums. That work was never concluded, leading to the legal confrontation. The settlement will see Brown's company receive $450,000. Each side will drop all claims and pay their own legal fees. Closing and title transfer will occur within 30 days.

"This is a significant victory for the people of Lake Wales," said City Manager James Slaton, who pointed at the building as a key to the full redevelopment of the city's downtown area. "We were never going to allow the hotel to be the thing that held downtown back,"

The hotel dominates the city's commercial center, which is being steadily transformed by the investment of CRA monies and grant funds.

The City is expected to promptly turn the property over to the CRA, which will be able to negotiate directly with the several private developers who seek to turn the building back into a hotel. The once-luxurious building features Florida Boom-era architecture reflective of the Mediterranean Revival styles popular at that time, making it especially attractive as a boutique hotel.

Built in 1926 and opened in 1927, the building originally offered 96 rooms to the traveling public and winter visitors, most of whom arrived by rail. Elaborate décor and marble floors made it one of Florida's most striking hotels of the 1920's Boom Era. Redevelopment as a hotel is expected to become a major driver of new retail and food-service businesses in the downtown area.

Robert Connors

Detailed woodwork in a variety of colorful woods that was accomplished by Dixie Walesbilt LLC during its ownership is fading in the Florida weather. Restoration of the hotel is expected to take as long as two years once a private developer is selected by the city.

With a half-dozen inquiries in hand from potential buyers, the CRA is expected to move expeditiously toward renovation. All the inquiries are from firms interested in returning the building to service as a "boutique" hotel, according to city officials.

The CRA is expected to issue a Request for Qualifications (RFQ), asking the courting developers for proof of their experience and financial wherewithal to complete the transformation of the hotel. That would be followed by specific proposals and negotiations over the terms.

A possible key to the future of the building will be the provision of parking, something that is likely to require construction of a garage. The idea is not foreign to city administrators, who have already broached the idea of a parking structure to serve the renovated downtown area. Limited parking is the most-frequently-mentioned concern of residents and retailers in the downtown area.

Renovation of the Walesbilt into a hotel is expected to have an enormous impact on the local economy. The recently-completed reconstruction of Park Avenue is being warmly received by both residents and visitors. The street now features brick pavement, lush landscaping, and wider pedestrian spaces, among other major improvements.

Work is expected to begin early this summer on stretches of Orange and Crystal Avenues east of First Street, their intersections and connecting portions of Market Street, and the first phase of an eight-block reconstruction of North First Street itself. The ongoing renovation has been achieved without tax increases, as funds have been generated by the CRA's capture of incremental increases in tax revenue as values have risen over time. (See related story below). Other funds have been acquired under a series of federal grants.