Study shows need for 80-90 more hotel rooms, estimated cost is $12.5 million

QUINCY — A hotel study shows the need for 80-90 mid-to-upper-scale hotel rooms in Quincy.

Core Distinction Group, a Wisconsin hospitality consulting firm, was commissioned in October by the City of Quincy, the Oakley-Lindsay Center and the Quincy Area Convention and Visitors Bureau (QCVB). Jessica Junker, a representative of Core, made the presentation at Tuesday night’s Quincy City Council meeting.

Junker said based on the study that the cost of the hotel needed for the market was about $12.5 million. She said the city would see an annual economic impact of $3 million from the hotel through taxes and sales in restaurants and entertainment.

She also suggested that Quincy has locations downtown that would be suited for a new hotel rather than a renovation. She said the study looked at the site of the now closed Welcome Inn and called that “a great location.” The city is now involved in litigation over that property after shutting it down during the Summer of 2021.

Holly Cain, executive director of the QCVB, said Quincy hasn’t had a new hotel in 16 years.

The study and timing are ideal, as the city has been experiencing record hotel tax collections with each of the last 11 months, garnering over $1.1 million in taxes in 2022,” Cain said. “After losing 250 rooms downtown in our hospitality corridor, combined with the Althoff Motel closing in June, Quincy will be down to 744 hotel rooms.”

Cain also said homestay rentals, such as bed and breakfasts, are also up.

“Tourism spending reached another record $112 million in Adams County (in 2022) and is growing at a steady pace,” she said. “We don’t want supply/demand costs to occur with a limited room supply.  Our homestay rentals in Quincy have doubled since last year, with 64 properties now.  We would like to see this same trend developing on the hotel side, to ensure current events can grow along with fostering new conventions and leisure travelers.”