(Spencer)– A Comprehensive Hotel Market Feasibility Study for the city of Spencer has been completed. The study was conducted in late 2025 by Core Distinction Group, LLC.
The findings recommend development of an upper mid-scale hotel consisting of 45 to 55 guestrooms. The report recommends a site on the north side of Spencer, in the area of the North Y. It states that such a hotel would have an economic impact of a little more than $12.5 million over its first five years of operation, and would create 8 to 10 direct full-time equivalent jobs with 25 additional indirect jobs in the food, entertainment and tourism sectors.
The study also shows the project would increase lodging tax revenues in Spencer by more than $731,000 and sales tax revenue by over $638,000 during the first five years. The study also showed that 94 percent of local businesses identified a need for new, quality accommodations in Spencer.
City Manager Kevin Robinson says they’ll use the findings to guide developers, hotel franchise companies and potential investors.
You can read the full report here; along with financial findings of the report here.
