(WEEK) – The road to refinancing the Marriott Pere Marquette in downtown Peoria has hit another bump in the road.
Thursday, a county judge granted the city a continuance for the hotel’s refinancing case. The hearing went longer than expected as many arguments were heard from both the representatives for the city of Peoria and the hotel.
This comes just days after Peoria City Council approved the refinancing plan for the hotel.
In court, the city’s attorney John Elias requested a continuance for the hearing of three to four weeks. He and his associate say this is important for maintaining a relationship with the Marriott. Elias says finalizing the refinance shouldn’t be rushed because “a deadline could derail refinancing”.
On the contrary, the hotel representative opposed the continuance, saying no progress has been made and they want certainty.
Judge Katherine Gorman did approve the continuance to avoid what she calls “shenanigans”.
City council approved the new terms regarding the refinancing by a 9 -2 vote on Tuesday at the their meeting. It was not an easy decision for many members.
“While we are in what I would venture to say is an extremely pathetic situation, that we’ve been put in, we don’t have a lot of choices here. So, for those unfortunate reasons, I will be supporting this tonight”, said Peoria City Councilman Zach Oyler.
The unsecured loan of $38.5 million has an 8 percent interest rate. The deal also includes a 4 percent hotel tax and a settlement with the Marriott corporation.
The next court date was scheduled for February 9 at 2 p.m.
All parties are barred from filing any motions leading up to that hearing.