ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: SATURDAY, January 25, 1992                   TAG: 9201250362
SECTION: VIRGINIA                    PAGE: A-8   EDITION: METRO 
SOURCE: LESLIE TAYLOR STAFF WRITER
DATELINE:                                 LENGTH: Short


DEVELOPER: HOTEL PLANS DELAYED, NOT SCRAPPED

The developer of a $24 million, all-suite hotel on the grounds of Lewis-Gale Hospital in Salem said Friday that the project is still alive, contrary to rumors that plans had been scrapped.

J. Robert Carlton, president of LGH Development Co. of Salem, said the company expects to begin marketing suites to investors late next month. Construction of the hotel - to be managed by Radisson Hotels International - could begin this summer, he said.

The project has been delayed in part by the economic downturn, Carlton said. Plans were first proposed in 1989 for a 230-suite, eight-story hotel with a 550-space parking garage.

Those plans are being revised by a Dallas architectural firm, Carlton said. The number of suites has been scaled back to 150 with provisions for expansion to 230 if needed, Carlton said. Parking spaces have been reduced to 475. The building would remain at eight floors, he said.

The two-room suites, each with sitting rooms and kitchens, would sell for $160,000. Carlton estimated a third of the units already are committed.

The hotel is expected to employ 100-150 people. The design includes an enclosed walkway connecting the hotel and hospital. Plans also include a glass-enclosed atrium, glass-backed elevators, meeting rooms, a swimming pool and physical fitness area.

The developers expect most of the hotel guests will be families of Lewis-Gale patients. A Florida market research firm has estimated the hotel could generate $25 million to $30 million of income a year for Salem and surrounding areas.



by Archana Subramaniam by CNB