Binghamton, NY (WBNG Binghamton) A real estate
developer takes a stab at a run down Binghamton Hotel.
Wednesday, the city closed a deal with Alfred Weissman Real Estate of Rye to purchase the Regency.
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This after its former owner went bankrupt, leaving the city to run it.
Action News Reporter Leigh Dana takes a look what this new deal means for the city and guests at the hotel.
Goodbye Regency Hotel and welcome to the Binghamton Riverwalk Hotel and Conference Center.
The city closes a deal with Alfred Weissman Real Estate for $3.6 million to take the property off city's hands.
"It's a big deal," said Mayor Matt Ryan (D). "We didn't want to be in the hotel business. We've said that from the very beginning."
The hotel's former owner, NJDV Hospitality, went bankrupt before making its final payment of $4.1 million to city in October 2009, leaving the city to run it.
Earlier this year, city council voted to authorize Mayor Ryan to sell it.
"Our city needs full service hotels like this," said Ryan. 'We have a lot of events and the Chamber of Commerce can tell you, we can draw a lot more groups to this area with a premium this is going to end up being."
Renovations at the hotel actually began a few months ago.
Construction workers will complete renovations in one of the ballrooms by December 31, 2010.
That way the hotel can host a grand New Year's Eve party.
Other upgrades completed by spring include the lobby, hallways, guest rooms, outside patio and the gym.
"This hotel has what they call bones,"said owner, Alfred Weissman. "We're going to reach out to a broad community to say we're here. We're here to serve you."
One of the main reason the city offered Weissman the sale is because of its reputation for fixing up run down properties.
In Binghamton, Leigh Dana, WBNG TV Action News
Binghamton will still need to come up with about a million dollars to pay off a loan to HUD.
Full payment was due last August.
The city has not developed a plan to pay the remaining balance yet.
Weissman Real Estate is also working on remodeling 20 Hawley Street into student housing.
It is expected to be complete by the start of the next school year.