Vision Apartments, 501 E. Hill Avenue, Knoxville, November 2022
It's an exciting time for the former Marriott at 501 East Hill Avenue, now known as Hotel Knoxville. The journey to transform this iconic building has been long and arduous, but a new vision is emerging. Melrose Knoxville, LLC (DBA Omni Vision Knoxville), a group backed by California billionaire Neil Kadisha, is leading the transformation. The group initially planned to create a senior care facility but has since changed course, opting to develop the space into apartments with retail options.
A New Vision: Apartments for Young Professionals and Students
The proposed plans for the former hotel involve creating 375 units, with an impressive 360 of them designated as studio apartments. The group's application for an economic development grant through C.B.I.D. (Downtown Knoxville) highlights their goal to provide affordable housing for young professionals and students. They have already invested $9 million in renovations to date.
While the term "affordable housing" may be open to interpretation, I reached out to Itzamar Jimenez, Project Manager, for clarification. She assured me that the apartments would be slightly lower than market rate, ensuring that they are genuinely affordable for tenants.
Excitingly, the University of Tennessee has expressed interest in leasing a block of units or even the entire building to alleviate the student housing crunch. Negotiations are currently underway, and the master lease agreement is being reviewed. This partnership could provide a much-needed solution for students looking for convenient and secure housing options.
Retail and More: A Vibrant Space for the Community
In addition to providing housing, the former Marriott will also feature a retail element. While the specific client for this space has not been identified, expect to see a restaurant, coffee shop, and/or bar opening its doors in the future. This addition will not only benefit the residents but will also create employment opportunities, with 15-20 positions available for staff and maintenance.
Seeking Funding for Renovations
To ensure the success of this ambitious project, the group has applied for a $50,000 economic development grant. The funds will be used for various maintenance tasks, including repairing leaks, pressure washing the building, and maintaining the 110 large bay windows facing the Tennessee River. The total cost of the renovation project is estimated to be around $150,000 to $170,000, with the remaining expenses being covered by the company.
However, questions have been raised regarding the eligibility of maintenance work for the grant and whether downtown tax money should subsidize the University of Tennessee's housing crunch. These concerns led to a deferral of the grant decision, allowing the board to seek clarifications and updates on the application.
Despite these challenges, the project's potential to revitalize downtown Knoxville and provide much-needed housing is undeniable. The group aims to open the doors to residents in the spring, with March or April as the target timeline. However, there is still much work to be done before this vision becomes a reality.
Rendering of Vision Apartments, 501 E. Hill Avenue, Knoxville, November 2022
As Knoxville's skyline continues to evolve, the transformation of the former Marriott into Vision Apartments will undoubtedly contribute to the city's growth and vibrancy. Through careful planning, dedication, and a commitment to providing affordable housing options, this iconic building will soon become a haven for young professionals and students alike.
