Remaking corner for new business part of hotel plan

Midamerica Hotels isn't leveling the 40-year-old Holiday Inn just to make way for a smaller Holiday Inn Express -- they also want to create prime retail space for other commercial ventures, including as many as five new restaurants, the Cape Girardeau-based company said Thursday.

"That is probably one of the best intersections between St. Louis and Memphis," Midamerica president Dan Drury said. "Some of the best tracts in town are the parking lots in front of Holiday Inn. We're wanting to take advantage of that. It's really a re-structuring of that whole corner."

Drury said they want to develop about 12 acres near the corner of William and Mount Auburn. Midamerica owns the property from the Holiday Inn to Doctor's Park. The new hotel will take up about two acres of that property.

There is no time frame for the restaurant development, Drury said, but said there are plans for about five. He added that restaurants will be built as demand warrants. Drury said they have had discussions with interested parties ranging from fast food to sit-down restaurants. No deals have been signed yet, he said.

Bob Hahn, vice president of development at Midamerica, said there's also room for other retail businesses on the property, and that they are looking at certain retail, service and financial ventures. He said as many as two restaurants could be open by the time the new hotel is complete in late 2004.

"This development is only going to grow as fast as the city grows," Hahn said. "There are a number of restaurants in the city already. But as Cape expands its business community to our area of influence, there will be more opportunity for development."

Finding new work

In the meantime, about 90 people who work at Holiday Inn will be laid off come Sept. 1, though Midamerica says it will shift some of those workers to its other properties, including Victorian Inn and Burger King.

"These people are going to be in the job force somewhere," Drury said. "That's all there is to it. If they're out of work, it's because they want to be."

Drury said he couldn't guarantee his employees jobs, but said there are plenty of opportunities for workers in Cape Girardeau, pointing to the new O'Charley's restaurant being built nearby. He said those who work until the hotel closes will be given "generous" severance packages.

Experts will also be brought in to teach workers how to create resumes and practice good interview techniques.

"When most places close up, they come in and see a pink slip," he said. "We didn't want to do that."

Employees can re-apply for jobs at the new hotel when it's finished, he said.

The Holiday Inn Convention Center is not going to be taken down with the rest of the hotel, Drury said, though he would not speak to its long-term future.

"As of right now, the convention center is staying," he said. "But you never know. There are no plans to take it down, but I never thought we would need to take down the Holiday Inn and here we are."

Midamerica Hotels Corp., owned by Cape Girardeau resident Jim Drury, also owns and operates the full-service Holiday Inn South I-55 in St. Louis and a Holiday Inn Express in Paducah, Ky. The family-owned business, which employs 1,400 people, also operates the Victorian Inn Hotel & Suites in Cape Girardeau. Midamerica also owns and operates 38 Burger Kings in Missouri, Arkansas, Illinois and Kentucky. Other divisions of the company include Jim Drury Construction and Auburn Outdoor Advertising.

Drury Hotels are a separate hotel group entirely. Based in St. Louis, the hotel chain has 105 hotels, primarily in the Midwest, and are owned by Jim Drury's brothers, Bob Drury, Charles Drury and Jerry Drury. The hotels included in the chain are Drury Inn, Drury Inn & Suites, Drury Suites and Pear Tree Inn.

smoyers@semissourian.com

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