Keystone recommended for funding

Saying that the Keystone Hotel project in McCook “has high merit,” the U.S. Economic Development Ad-ministration has invited the McCook Economic Devel-opment Corp. to submit a full application for $1,620,500.

That’s good news for the McCook community because it means the federal agency is poised to fund half of the cost of the massive Keystone renovation project.

After extensive engineering studies, it is now estimated the Keystone project will cost $3.241 million.

In addition to the 50 percent federal grant, the McCook EDC is pursuing a series of additional funding sources, including local bank financing, charitable contributions, tax increment financing and city funding.

“We've been invited to submit a full application for the $1.6 million in Economic Development Administration funding,” said Rex Nelson, executive director of the McCook EDC. “We’re proceeding to do that immediately. Also, with the help of Greg Wolford of W Design Associates, we are preparing to seek bids from contractors.”

If all goes as planned, Nelson said it is possible that work on the Keystone project could begin in early 2008.

“It’s been a long process, but it’s been worth it. The Keystone project could jump start McCook’s economic development efforts,” he said.

The Keystone project will clear the way for the growth of 21st Century Systems, the software application firm now headquartered on the McCook Community College campus. As the anchor tenant, 21 CSI will occupy the fourth floor of the Keystone, making room for 30 computer and software technicians. “This expansion will create a direct economic impact of $2.8 million annually,” Nelson said. Indirect economic impacts will push the total higher, with Nelson estimating that amount will total $3.7 million.

Another big benefit of the Keystone project will be the "Entrepreneurship Center," which is planned on the third floor of the historic mid-town building. The entrepreneurship center will be a full service support center, offering resources and support for local businesses.

“This will create additional jobs and new economic resources,” the EDC director said.

The second floor of the renovated Keystone is designed as executive offices for lease.

Finally, the grand historic spaces on the first and second floors will be restored to their original uses. “A small restaurant and catered events will bring life back to the main floor,” Nelson said.

The one office space on the ground floor is proposed as the new location of the McCook Area Chamber of Commerce. In a way, that would be a return home for the chamber, which had an office in the southeast corner of hotel’s ground floor for many years.

“The Keystone is more than a building,” Nelson said. “Once referred to as the ‘Jewel of the Plains,’ the Keystone is symbolic of this area's pride and heritage. We have before us an opportunity to make the Keystone a symbol of our determination to chart a new course, to re-create ourselves in ways that will keep us relevant in the new global economy that is growing around us.”