MASON CITY, Iowa – City officials say a California developer has defaulted on his agreement to begin construction of downtown hotel because he doesn’t have his financing in place.
City Administrator Brent Trout tells KIMT News 3 that San Diego developer Phillip Chodur defaulted Monday on his agreement to break ground for a Courtyard by Marriott hotel at what now is a parking lot west of City Hall.
Chodur, who owns a company called G8 Development, initially had agreed to break ground by July 31, but the City Council had given him a three-month extension. A letter has now been sent to Chodur explaining the situation at hand and informing him that he has 30 days to make it right.
Trout said the city of Mason City has fulfilled its portion of the agreement and now must wait until Nov. 30 to move forward. At this time, he says he cannot say whether there would be a plan B because the city is still under an agreement with Chodur.
The hotel is part of a planned $36.2 million downtown development that includes the hotel, an ice arena, parking ramp and music pavilion.