Nock, Alexander Plan 12-story, $20M Hotel

John Nock and Richard Alexander, who have been under contract for a year to buy the dilapidated Mountain Inn of Fayetteville, said they plan to tear down 75 percent of the seven-story, 60,000-SF structure to make room for a new 12-story hotel.

Nock said the plans call for 144 guest rooms, 14,000-SF of meeting space and 15-20 condominiums on the top floors.

Nock went before a Fayetteville City Council planning session in mid-May to request local tax incentives to renovate the historic building, which has been vacant since 1998. By using the state’s tax-increment financing, Nock said, developers can save between 6 and 10 percent of the total $20 million project costs to renovate what is considered a “blighted area.” If the financing is approved on both the city and state levels, construction could begin this fall. Nock said he and Alexander won’t take possession of the building until they’re sure they have the construction financing lined up.

Nock said the part of the building that dates to the 1920s and faces Center Street will be left intact, as will the parking deck.

The Mountain Inn is currently owned by Stella Moga of Westlake, Ohio. Moga bought the Mountain Inn for $975,000 in 2000. Nock wouldn’t reveal numbers but said he and Alexander will pay more than that for the building. Moga signed a franchise agreement to develop the hotel as a Crowne Plaza. Nock said he and Alexander will inherit that agreement when they purchase the building, “but options are open.”

Nock, who works in the Fayetteville office of American Municipal Securities, served as Moga’s investment banker. Alexander has renovated several historic Fayetteville buildings.