VIRGINIA BEACH — Hotel developer Cavalier Associates LLC recently made requests to the city that could impact the structure of its Cavalier Hotel resort area at the Oceanfront.
City council will pass or deny these requests during its formal session Tuesday at 6 p.m.
The first request involves the city applying for a $2.5 million transportation partnership opportunity fund state grant to pay for an Atlantic Avenue redesign proposal. The redesign could turn Atlantic Avenue into a cul-de-sac where it meets with Pacific Avenue between 40th street and 42nd street.
The second is a request for the city to expand its gap financing program grant’s threshold from $18 million to $24.5 million so the developer can include an Embassy Suites as part of the resort area’s hotel trio, which include a Marriott and the historic Cavalier itself.
According to city finance director Patricia Phillips at city council’s briefing on the subject in February, the city is responsible for $8.1 million plus interest of that grant, which is a third of the total $2.5 million.
Southside Daily will cover city council’s vote Tuesday.
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