Aiken City Council on Nov. 10 gave first reading to a development agreement authorizing the city manager to negotiate and execute agreements with Oliver Hospitality Group for renovation and stabilization of the Hotel Aiken and for construction of a city‑owned parking deck adjacent to B Lane and Newberry Street.

Staff described the agreement as a public‑private partnership: the Oliver group would replat property, adaptively reuse the historic Johnson/McGee/old Aiken Standard buildings and build new construction where appropriate. The proposed parking deck would provide approximately 210 spaces with a rooftop parking level (design described as four enclosed levels plus an open roof deck, total levels described as five with the top deck open air) and is not to exceed about 55 feet in height. Staff estimated construction cost in the high seven figures (roughly $7.5 million) and said the city would pay for the garage under the proposed arrangement with a not‑to‑exceed developer construction agreement and a developer fee.

Staff said the proposed package would include up to $2,000,000 from plutonium settlement funds directed toward hotel stabilization and identified permit/license/impact fee rebates under the city’s economic development ordinance. Staff emphasized that the work would still require design‑review board approval and that any work would be subject to design standards and mitigation of construction impacts; the developer committed to limit major construction around the annual Masters tournament.

Public comments ranged from concerns about public expenditures and the use of settlement funds to support private development to support for the project as a catalyst for downtown reinvestment. Staff said the expectation is that the city would own the parking deck and reserve roughly 90 spaces for hotel/multifamily use while leaving the remainder available to the public, with user fees intended to help cover maintenance costs. Staff indicated the hotel stabilization funding would come from reallocated settlement funds and not from general fund taxes.

First reading passed; council signaled a desire to advance the agreement but noted outstanding details (final cost estimates, contract terms, and construction mitigation) would be finalized before final approval.

Next steps: staff and the developer will refine cost estimates, finalize development and garage agreements and return for second reading and potential final action at a subsequent council meeting.