Hotel to be built at Ottawa Airport without controversial tax grant

Ottawa City Council votes down hotel tax break CTV’s Dave Charbonneau explains how proponents have offered to take less grant money over fewer years.

A proposed hotel will be built at the Ottawa International Airport despite city council voting against a tax break for it.

Germain Hotels proposed a $55-million Alt Hotel connected to the airport this past spring, with 180 rooms, a restaurant, meeting rooms and covered pathway connecting the hotel to the airport terminal.

The company applied for a community improvement grant of $13 million, but council voted it down in April. Mayor Mark Sutcliffe said he was opposed to tax breaks for private businesses.

Both the hotel company and the airport expressed disappointment in council's decision but said they would continue to work together.

In an email to CTV News Ottawa on Friday, a spokesperson for Germain Hotels said the project will go ahead after all.

The hotel, now with 178 rooms instead of 180, is expected to open by the fall of 2025. It will still have a full-service restaurant, a gym, and meeting rooms and will still connect directly to the terminal via a pedway.

"We are pleased that the construction of the Alt Hotel Ottawa Airport at YOW is getting ready for take off!" said airport spokesperson Krista Kealey in a statement. "We thank those who have supported this project and helped get it this far. We look forward to watching this project come to life, introducing the Alt brand by Le Germain Hotels to our passengers and making a lasting impact on Canada's Capital Region."

Kealey said the airport would have more information to share about construction schedules in the coming weeks and will work to minimize impacts to travellers and employees.