Anderson Brings Hotel Back to Life

It was a risky investment. Woody Anderson and his father Woodrow Anderson Jr. bought the Howard Johnson Inn on Fort Smith’s north side in August 2002, less than a year after the terror attacks of September 11 crippled the tourism and hotel industries.

By anyone’s definition, the 35-year-old Ho Jo was a dump. For two years, it had stood vacant and disheveled. The drained swimming pool was full of mattresses and televisions when the Andersons bought it.

The Andersons paid $1.5 million for the 65,000-SF hotel and sunk $2.6 million in renovations.

It reopened in August 2004. Last year, the Fort Smith hotel won the Howard Johnson Image Award, and so far this year, room revenue has doubled.

“When we bought the property it was in disarray,” Woody Anderson said. “And it had been allowed to just deteriorate to a point that … outside of being able to salvage the frame, you had to do a complete renovation.”

Anderson said it has been a slow but gratifying process to watch his diamond in the rough turn out so impressive. In two years, the Andersons transformed the run-down building into a contender in the Fort Smith hotel market.

Taking Risks

Anderson, who grew up in the River Valley, has a special bond with downtown Fort Smith. He sees potential for the downtown, and as a private investor, is trying to revitalize the areas off Rogers and Garrison avenues.

The Howard Johnson closed in late 2000. In 2002, Anderson’s father approached him about buying the property from the owner, David Callahan, who was in talks with the hotel chain about franchise rights.

At first the Andersons wanted to turn it into an assisted-living care facility for the elderly, but with so many regulations, they decided it would be easier to keep it a hotel.

But finding the financing to renovate a run-down hotel was wasn’t so easy. Through some Small Business Administration loans and financial backing from some of the locally owned banks, Anderson and his father made the purchase and started the renovation project.

The entire hotel had to be gutted, keeping just the frame and some walls. Everything from the carpet to the furniture was replaced. Salvageable walls were repaired. Granite was laid for the floor of the lobby.

“It looks the same when you drive by … but if you walk in you’ll see it’s a completely different place,” Anderson said.

Now the hotel boasts an automatic sliding door front entrance, an elaborate oak front desk, chandelier in the lobby, a 254-seat restaurant with a full-service bar that stretches 55 feet, mattress- and television-free swimming pool and executive suites for the business traveler.

Three meeting rooms are also available to rent for a variety of events, Anderson said, and the hotel offers catering services as well.

The restaurant, called Woody’s Bar and Grill, is open for dinner only and also has a stage for musical acts to perform.

The average daily rate, Anderson said, is well within the “reasonable” price range: $55 to $75 a night. All 129-rooms come with free wireless Internet, coffeemaker, hair dryer and a 27-inch television.

But getting repeat and word-of-mouth business depends on little things, not just hotel amenities. Every hotel room has the same standard amenities, Anderson said, but having excellent customer service or a clean facility sets hotels apart.

Outside, the new sign still says Howard Johnson, but with a more appealing greeting. Anderson had the building fa?ade repainted in Earth tones to soften the look, in contrast with the white paint that adorned the outside walls for decades. The entrance was given a more modern look with a peace garden to welcome guests.

Peace is something the neighborhood was lacking for years. The area was filled with crime, loitering and prostitution, said Randy Reed, the city’s new city administrator and former police chief.

Because of the stigma the area had, safety was a concern.

“We installed security cameras at all the outside entrances, including the walkways,” Anderson said. “In this area, one of the big concerns has always been security. It’s gotten a lot better over the past several years. Some of the development has pushed what made this a bad area farther north.”

Reed said development in the area has turned it around in the last four or five years. Law firm Nolan Caddell & Reynolds purchased and renovated a vacant warehouse across the street from the hotel several years ago and has its offices in the building.

“Clearly, anywhere investment is taking place, it brings people back in,” Reed said. If people don’t care about a place, it allows “a criminal element to come in.”

Knocking on wood, Anderson said there hasn’t been any “major problems.”

Community Involvement

The most important part to Anderson was giving back to the community through the renovation. He purchased mattresses from a Fort Smith manufacturer and the wallpaper from a local company. The furniture was manufactured in nearby Oklahoma.

“Being active in the community is just an important thing to us,” he said. “We’re locally owned and operated, which there aren’t many hotels that can say that.”

A proud moment for Anderson and his staff was opening their doors to Hurricane Katrina evacuees last September. The day after the hurricane hit, the hotel immediately offered free hotel rooms and food for evacuees for a few days to help them get on their feet.

The hotel was ready with cots and food when evacuees arrived. Local churches helped by providing food, and the hotel became a drop-off point for donated shoes, clothes and food, Anderson said.

About 50 to 70 families stayed at the hotel for about two months, and some stayed through the first of the year. Anderson said his hotel was one of the first to take in evacuees, something he’s very proud to have been able to do.

“That’s one of those things that you can look back and know that we did the right thing for the people,” Anderson said. “Like anything, we had the good, bad and the ugly. But at the end of the day it was the right thing to do for all the people. We’re really proud of that.”

Anderson’s main goal is to help revitalize Fort Smith, especially downtown. In his mind, his risk taking is paying off in more ways than cash flow. It’s about the community, he said. And he wants to continue his growth in his business with the growth of Fort Smith’s economy.

“Fort Smith is at a crossroads,” Anderson said, “in terms of figuring out ‘What do we want to be when we grow up?’ I believe we’ll figure it out.”