Breakers remodel set to open Memorial Day
A collaboration between the Breakers Hotel, Wells Fargo and the federal government has led to a facelift that the hotel hopes will stimulate business year-round.
Workers at the Breakers, 105 Second St. in Rehoboth Beach, have been working feverishly to have the $2.3 million renovation ready to go by Memorial Day weekend.
The renovation closes off open walkways around 55 rooms on the west end of the property.
Brent West, controller for Lankford Properties, which owns the hotel, said the project would create 150 total jobs between contractors and hotel staff. Once construction is completed, the hotel will add five more year-round jobs.
General Manager Courtney Lankford said, “It’s been very helpful for us. We will be able to get more winter visits from tourists down here, as well as five more employees year-round.”
West said the plan is to enclose the remainder of the rooms, although there is no timetable for construction.
The Breakers received funding from the Small Business Administration’s 504 program, a federal program that allows small businesses, typically in real estate development, to team up with banks and the SBA to receive financing at below-market rates. In the case of the Breakers, 50 percent of the funding was put up by the SBA, 40 percent through Wells Fargo and 10 percent from the hotel.
John Fleming, deputy director of the SBA’s Delaware office, said, “This is a good example of how the federal government can work together with a local lender to leverage our ability to help them get access to funds. One of the things about 504 is it’s a job creation program.”
Sen. Tom Carper said the program only lasted two years, but that he was working to extend it for another five years. Carper said the program was a way to stimulate the economy during the economic downturn.
“In this case, this is exactly what this program does. It makes access to capital a lot easier. It won’t just make the property more attractive. It will make Rehoboth more attractive,” he said.
Ryan Mavity covers Milton and the court system. He is married to Rachel Swick Mavity and has two kids, Alex and Jane. Ryan started with the Cape Gazette all the way back in February 2007, previously covering the City of Rehoboth Beach. A native of Easton, Md. and graduate of Towson University, Ryan enjoys watching the Baltimore Ravens, Washington Capitals and Baltimore Orioles in his spare time.
