After nearly 100 years, a property once converted into office condos will return to its glitzy, Gatsby-esque roots.
Real estate developer David Midgett is overseeing the effort, in partnership with Hilton, to revamp a 1920s-era hotel in downtown Ocala. The Marion Hotel — soon to be renamed Hotel Marion — welcomed guests such as Elvis Presley in its heyday. Now, the city hopes to see both locals and out-of-towners walk through its doors.
Midgett’s team will ensure the building retains its bones while featuring modern amenities, including a gym and a cafe.
That’s not a strictly stylistic choice. The renovation must comply with the terms of a facade easement that prohibits specific changes to the building’s exterior. The Florida Trust for Historical Preservation, which granted the easement in 1985, has advised on the project to ensure the hotel retains its historical integrity.
Ocala is betting the remodel will attract tourists and, with them, commerce. It had pledged to provide nearly $3 million to support the renovation, a move that has faced logistical hurdles and some public pushback.
The money question
Midgett first approached the city for project financing about three years ago, according to the Ocala Gazette.
The most recently proposed incentives package includes a $650,000 grant paid over five years. It received the city council’s rubber stamp Dec. 2 after a unanimous vote.
Getting the agreement over the finish line wasn’t easy.
The council had tabled the package — valued just shy of $2.9 million — at a November meeting. The primary hangup concerned the parking situation, according to Councilman James Hilty Sr.
In addition to the grant and other sweeteners, the agreement includes a parking lot valued at about $1.25 million.
But as Ocala expands, it may need to build a parking garage in place of the lot, Hilty said. A clause in the incentives package makes this possible, allowing the city to buy back the land within six years, at which point it would need to provide garage space for hotel guests.
It’s unclear, however, if the project even needs city funding, according to Andrew Wires, who owned space on the building’s first floor after it was subdivided into office condominiums in the 1990s.
The property is listed on the National Register of Historic Places, making it eligible for federal tax credits. Ken Boggs, who works for Midgett, said the property qualifies for the credits but would not confirm whether his team has applied for or received any.
Construction ramped up in 2023, but completion has been delayed several times. Given the delays, Wires said, it’s strange that it's taken so long to finalize the financing.
“It’s a little late,” he said. “Why in 2025, after already remodeling, doing all this, are we now going to the city looking for additional money?”
The development team expects to receive a temporary certificate of occupancy in late June and to host a grand opening in September 2026, Boggs said.
Demanding accountability
Even before the incentives package received approval, some Ocala residents began airing their frustrations.
“Our elected officials do not work for the citizens anymore; they work for themselves and their developer friends,” said Michael Slaminka, who lives in Orange Lake, about 20 miles from Ocala.
Slaminka, who can participate in Marion County elections, said he’s politically active and has voted against officials he believes have prioritized developers over constituents.
Ocala has invested heavily in commercial and residential development in recent years to accommodate a booming population. The city was ranked the fastest-growing metropolitan area in the country between July 2023 and July 2024, according to U.S. Census data.
Calvin Hagins, who plans to retire in Ocala, his hometown, said he can’t wait to stay at Hotel Marion.
“We already have a Hilton Garden Inn, which is nice, but it’s modern,” Hagins said. “I think the addition of the [Hotel Marion] will bring some of the nostalgia back.”
It isn’t likely, however, that most locals will stay at the hotel, according to Daniel Balys, a commercial real estate and finance attorney. That makes it challenging to justify the incentives package, Balys said, adding that investment in public infrastructure would better serve the community.
“They may see the benefit of a restored hotel,” Balys said. “But it's not the same as if you built a new school for them, or you built a new park or you built a community pool.”