One proposal at the Foley City Council meeting held much discussion and disagreement on Sept. 6: approval to move forward with the sale of five acres for the Bhavis Hospitality Project.

This property is west of the Coastal Alabama Farmers and Fishermen’s Market (CAFFM) on County Road 20.

The Bhavis Hospitality Project plans include a second hotel — the first being constructed immediately on property near the Elks Lodge, dining and retail space, as well as a green space and park area.

When looking over the agreements, there were some questions among the council about the language used in the contracts.

With this agreement, Bhavis would be required to start the build of their second hotel on this five-acre property near CAFFM within 36 months of the purchase. If they don’t build within that time period, the city could buy the property back for the same price.

Councilman Ralph Hellmich said during the council meeting that some of the language be “tightened up.” He also asked if there was a way to make the agreement less than 36 months.

Albert Tribby, representing Bhavis Hospitality, had some concerns about the timeline.

“My concern on the timeline is that financing for a hotel is difficult,” he said. “We have secured financing for the first hotel; we know where it’s going to be, and typically what a bank will do is want to see how the first hotel is doing before committing to the second.”

Jeff Rouzie, director of economic development for the city of Foley, and Tribby talked in generalities, and many times what the bank is looking for is a two year run of numbers before committing to that second hotel.

Tribby said he didn’t want to promise something and then come back later explaining he didn’t think this project all the way through.

“I’m just thinking of an outside force like a bank that prevents us from doing what we want to do,” he explained. “I really think the timeline could work with the three years, but it’s been difficult getting banks to come in on this. They aren’t seeing the visual we have for sports tourism. It’s a bit of an issue and I don’t want to tie our hands where we have to pull the trigger on something where we don’t have any financing in place to do it.”

Tribby said he didn’t want to keep the timeline open ended, either.

“But we’ve all dealt with banks in commercial transactions and I’m just pointing out a very real possibility,” he said. “I’m hoping to blow the doors off the first hotel and they’re fighting each other to come in on the second one, but I don’t know yet and I’m just trying to be very up front like the entire time at all the meetings I’ve come to.”

Tribby said he was a little concerned. He didn’t mind the three-year limit, but asked if a reopener could be put in.

“… So if we’re talking to the banks and they need a little more time to analyze numbers,” he said. “Poarch Creek has a lot going on, we’ve got a lot going on … we don’t know what Mr. Staley is going to have with all the tourneys coming in. We’re betting heavy that everything is going to be successful or we wouldn’t be here talking.”

Councilman Rick Blackwell said he was worried about having these five acres tied up for possibly three years.

“It seems to me like there are other people out there that can buy that land and start building today; that’s just my statement,” he said. “I understand where you’re coming from, but you’re going to secure one hotel and then maybe build in three years another that’s been tied up with nothing happening there.”

Hellmich and Council President Wayne Trawick said it was a possibility.

“I’d rather have a sure thing,” Blackwell said. “I appreciate what you’ve done and everything you’ve done with us, but I just think we’re a hot spot. Somebody will do something and we need hotels now, is my opinion.”

Bhavis also has the first right of refusal on another 10 acres just west of the original five. The city does not have to sell it, but if they do decide to sell it, Bhavis has the first chance to buy it,

There was some question about whether the 36-month timeline was included in the agreement for those 10 acres as well. Rouzie said some details needed to be worked out, but it will be put in the agreement.

Council then took a vote to approve the land purchase with the contingency of changes. Bhavis will bring the final agreement back to council for approval.

Hellmich, Councilwoman Vera Quaites and Trawick voted aye. Blackwell and Councilman Charlie Ebert opposed the amendment to the original motion of the land sale.

Trawick then asked for other comments on the original motion. Ebert had both advantages and disadvantages for Bhavis buying the five acres.

“I’m in favor of the hotel being located near the farmer’s market,” he said. “I’m in favor of the park and green space near the farmer’s market. I’m also in favor of the first right of refusal on the ten acres.”

Ebert just had one concern: the way one of the lots was laid out, an “L” shape around the farmer’s market.

“It’s really going to land lock us around the farmer’s market and we’ve all discussed the additional activities we want to see taking place around the farmer’s market,” he said. “That additional green space is going to benefit us. Once we let go of this land, it’s gone. It’s going to be very difficult for us to get it back.”

Ebert asked if the city could somehow subdivide this lot to get the city a little more land to the west of CAFFM. Ebert said he was opposed to selling any more land that the city needed around the farmer’s market. He also said the fact that there are a number of details not ironed out in writing made him nervous moving forward.

Council voted on the original proposal to sell the five acres just west of CAFFM. Hellmich, Quaites and Trawick voted aye; Blackwell and Ebert opposed. The motion passed.

Tribby said Bhavis first came to council in January.

“We wouldn’t be coming here if we didn’t have a lot of confidence in what is going to happen,” he said. “We’ve tried to be very upfront. We have a similar project in Gatlinburg that deals with sports tourism and that’s why we’re here. The last thing you’re going to see from us is we’re dragging our feet. I’d like to have both hotels open in three years instead of just buying property in three years, but there are outside forces we have to deal with. There are forces out there that despite your best intentions and my best intentions can slow everything down.”