The City of Andalusia on Thursday announced an $11 million public-private partnership that will add hotel rooms to the community and preserve one of its most iconic landmarks.

The City is partnering with Jason Wood and his development team, who formed Andalusia Hotel Properties to create the Andalusian Boutique Hotel, a  58-room facility in the 6-story First National Bank Building located on the Court Square. The building, completed in 1922, is listed on the National Register of Historic Places.

The project also takes in the two upper floors of the former Andala Building, where the destination restaurant, Big Mike's, is located on the ground floor. The two buildings will be connected with a sky walk.

The hotel will be soft branded as an Ascend Collection by Choice Hotels International and rooms are available in its central reservation network.

Mayor Earl Johnson said the project has been five years in the making.

"We began talking with Jason about this project in 2020," Johnson said. "We have worked closely with him to take advantage of historic tax credits and new market tax credits, all of which took a considerable amount of time.

"His plan for the hotel is for it to be as unique as the building that anchors it, and we believe this will be a good thing for Andalusia," Johnson said. 

Wood, who is originally from West Alabama, has a long history in the hotel business. He has developed unique hotel projects in Destin, Gulf Shores, Panama City Beach and Grayton Beach, along with numerous hotel projects in his native West Alabama – East Mississippi area.

The new hotel is also only a block away from Heritage Park, currently under construction on South Cotton Street. The new park will have a water feature, ampitheater, walking trails and biking trails. Phase I is on track to be completed later this year, and long-term plans call for the addition of a carousel and other features.

The First National Bank Building was designed by Montgomery architect Frank Lockwood, who also designed the Covington County Courthouse. It was completed in 1922 at a cost of $115,000, or $2.1 million in today's dollars.

Amendment 725 to the Constitution of Alabama 1901 authorizes certain municipalities in Covington County, including Andalusia, to participate in economic development.