CEDARBURG — Cedarburg city officials entertaining the
idea of a new hotel will proceed with caution as work
begins on Grafton’s extended-stay TownePlace Suites,
east of Interstate 43 and Highway 60.
“I’m concerned about the impact that the TownePlace
Suites will have (on) the Cedarburg market,” hotel
consultant Michael Lindner said in an email to Economic
Development Coordinator Mary Sheffield in July.
city commissioned Lindner to complete a hotel
feasibility study last year after being approached by a
franchise that wanted to build in Cedarburg.
Lindner concluded that there was a demand for a 50- to
60-room upper-midscale hotel franchise, such as Hampton
Inn. Identifying a market of families and corporate
travelers, the study noted Pioneer Road as an ideal
location for its proximity to large area-companies,
Cedarburg’s downtown and local amenities, like the
Ozaukee Ice Center.
Lindner said TownePlace Suites’s 87 rooms and extended
stay features will target the hospital, Concordia
University Wisconsin and other businesses in the area
that he was counting on for a Cedarburg market.
“Grafton is positioning itself as a lodging and service
‘hub,’” he said. “If the hotels in Grafton are
successful in pulling demand generated south of
Cedarburg (and Cedarburg itself) it will take a unique
product and location to compete,” he said.
However, he explained that Grafton’s 83-room Hampton Inn
at 1385 Gateway Drive
“absorbed” quickly into the market – defined by Grafton,
Port Washington, Cedarburg and surrounding communities –
which indicated a need for more lodging.
is very likely that TownePlace will be absorbed
(occupancy will reach stabilized levels) as quick as the
Hampton, indicating even more room for additional
supply,” he said.
information has not been formally incorporated into the
city’s hotel study results, but Sheffield said Lindner’s
opinion gives the city some direction now that there is
more hotel activity in Grafton.
advised that the city either wait and monitor the impact
of TownePlace or determine a plan for competing with the
Grafton lodging options. Sheffield shared the
information with the Economic Development Board during
its July 26 meeting. The board determined it would be
best to wait, which Sheffield noted isn’t much different
than the approach they were already taking.
“That was always our attitude,” she said. “We’re not out
there chasing things down, but we wanted to explore the
option because some interest had come forward.”
said nothing concrete has come forward, but they will
continue to work on it and talk with anyone who is
interested. She said both Pioneer Road and Highway 60
are still ideal locations.