COEUR d'ALENE - Hagadone Hospitality Co. is asking the city to vacate property so it can build a tower of guest rooms adjoining the Coeur d'Alene Resort.

The new tower, with an estimated 200 rooms, would face west and run from Sherman Avenue on the north to the northern face of the Resort's parking garage on the south, said John Barlow, a consultant representing Hagadone Hospitality.

"This is something we've been planning since 2006 and 2007," Barlow said Wednesday. "It was needed then, but the recession hit. Now with the economy improving, we think it's time to go with it."

Jerry Jaeger, president and co-founder of Hagadone Hospitality, said more rooms are needed because lack of space forces the Resort to turn away many large groups.

"The new tower would allow us to accommodate those big groups and smaller groups at the same time," he said. He added that in recent years, December has also been a strong month for visitors, with the Resort selling out a number of nights outside the peak summer season.

Last week, Barlow submitted to the city an application for subdivision vacation, asking that the city vacate Front Avenue from Second Street to Third Street, and Second Street south of Sherman Avenue. In his letter to City Administrator Jim Hammond, Barlow said public access will be unchanged; easements will assure continued public access to the Centennial Trail and McEuen Park, city access to utilities and other public uses.

"Everything they have today will be preserved by easement so they'll have it at completion, too," Barlow told The Press.

Also in his packet of information given to Hammond, Barlow noted that Moscow-based EMSI conducted an economic impact study estimating what the new hotel tower would do. The study shows that initially, 60,000 additional guest nights would be created and within five years that number would increase to 90,000. Not including an economic boost from construction, the extra rooms would generate an additional $65 million a year for the local economy and nearly $7 million for local and state taxes.

"Visitors will spend money in all kinds of areas of our community and throughout North Idaho " Jaeger said. "It's very well known by economists that one of the fastest ways to stimulate a region's economy is through tourism."

That's why, Jaeger said, many communities put up public funds for tourism-related activities and facilities.

"We also believe this project would be great for other restaurants, bars and related businesses because the new tower would be just rooms and meeting space - no new restaurants or other infrastructure," he added.

The Coeur d'Alene Resort opened in May 1986 and features 342 rooms. Barlow said with the city's approval of the subdivision vacation request, the new tower would be completed by May 2017 at the earliest.

With approval, he said, Hagadone Hospitality would hire architects who would determine how tall the tower would be. Barlow noted that the design would have to comply with the city's Downtown Zoning and Design Guidelines and also earn approval from the city's Design Review Commission.