The hotel and convention center project recently proposed by Arkansas State University and O’Reilly Embassy Suites has announced definite plans to move forward with construction on university property.

In a statement released by the university on March 21, Springfield-based O’Reilly Hospitality Management LLC announced its intent to proceed immediately with the final developments for the proposed construction of the Red Wolf Regional Convention Center, Houlihan’s restaurant and Embassy Suites Hotel.

Despite previous financial setbacks, representatives from the university and O’Reilly are confident in the project’s success.

“Arkansas State is thrilled to partner with Tim O’Reilly and his team of professionals and industry experts at O’Reilly Hospitality Management,” said Dr. Tim Hudson, A-State chancellor. “This innovative campus project will help define us further as a destination university.”

Hudson further remarked that the university will be incorporating new academic programs in response to the project, namely a program in hospitality management.

Initial plans to build the convention center and hotel were approved by the ASU Board of Trustees on Feb. 26. A-State began looking at other funding options after the Jonesboro Advertising & Promotion Commission voted to fund the Keller Family Hotel and Convention center project over the proposed project on university property.

A-State joined leaders in the Keller project to present ideas to the commission March 2. After one commission member recused himself from each of the votes, a motion to fund the A-State project failed 2 to 3.

“It is unfortunate both that there appears to be a political competition of sorts regarding our project and another convention center project that has been attempted for many years, and that there is definitely not a market or opportunity to succeed for two convention centers in Jonesboro,” said Tim O’Reilly, CEO and managing member of O’Reilly Hospitality. “We have great faith in our partnership with A-State,” he said and added that there was support from the Jonesboro business and medical communities and Hilton/Embassy. “With our team’s experience and past success with this type of project, we will press forward without hesitation and we will persevere and succeed in this market.”

The Delta Regional Authority notified the university on March 21 of its approval of a $404,983 investment into site preparation and improvements at the 11-acre location where the convention center and Embassy Suites will be built.

“We have continued to work through the business model for this project including receipt of a recent significant grant from the Delta Regional Authority, and with the assistance of the University as our partner, as well as various other incentive programs, we have finalized the financial package and are awaiting the immediate approval by Hilton of our Embassy franchise application within the next 30 days,” said O’Reilly.

The project is expected to bring significant economic benefits to the Delta region.

“The Embassy Suites Hotel will afford prospective students and their families as well as visiting artists and lecturers, sports teams, returning alumni and many others the convenience of staying in a first-class facility conveniently located on campus,” Hudson said. “The quality and magnitude of the OHM project will enable us to provide essential continuing education opportunities and conferences for medical students and faculty associated with the new NYIT osteopathic medical school which will open in the heart of A-State this fall. Faculty and students who belong to national, state and local associations can finally bid to host organization conferences in Jonesboro.”

The project will occupy the campus area on Red Wolf Boulevard between the football and baseball stadiums and Convocation Center.

Construction is expected to take 15 to 16 months once architectural plans are finalized.