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New hotel and restaurants going up in Gasoline Alley

Groundwork for a 100-room hotel and a pair of restaurants on the west side of Gasoline Alley is underway.

Groundwork for a 100-room hotel and a pair of restaurants on the west side of Gasoline Alley is underway.

Slated to operate as Microtel Inns & Suites, the four-storey hotel will include a pool, waterslide, fitness area and two meeting rooms. It will be located on Leva Avenue, just south of Hampton Inn and Suites.

Alan Arsenault, who will own and operate the hotel, said he’s close to striking a deal with a nationally branded restaurant chain to occupy one of two adjacent pad sites. He hopes to secure a national breakfast restaurant for the other.

“It’s always been the natural stopping point between Calgary and Edmonton, and Edmonton and Calgary,” said Arsenault of Gasoline Alley. “So to have a family restaurant that isn’t as fast-food as a McDonald’s or Wendy’s and that, I think is going to be a good complement.”

He also believes Microtel, which is part of the Wyndham Hotel Group and is known as an upper-end economy brand, will be a nice addition to the area. It, along with Hampton Inn and Suites, and Holiday Inn and Suites on the east side of Gasoline Alley, should draw more guests to the south side of Red Deer, said Arsenault.

“The more amenities that are in the area, the better.”

He expects to apply to Red Deer County for a development permit within the next few weeks, and hopes to have the hotel up and running by May of next year. It’s too early to have a firm budget for the project, he said, but construction costs should exceed $10 million.

“It’s going to be a substantial project.”

Those staying at the Microtel are likely to include Hwy 2 travellers, energy workers temporarily posted in the region and visitors to Red Deer, said Arsenault. The site is close to Westerner Park and other local attractions, he said, and should become more accessible once proposed improvements to Leva Avenue are completed and a Hwy 2 flyover from Gaetz Avenue is constructed.

Several room types will be available, including some with kitchen facilities for extended stay guests. The meeting rooms should accommodate 40 to 60 people, said Arsenault.

The hotel is being developed for him by MasterBuilt Hotels Ltd. of Calgary.

hrichards@www.reddeeradvocate.com