A major $29.6 million hospitality and residential redevelopment is progressing in Southampton Village following preliminary financial backing from the Suffolk County Industrial Development Agency. Spearheaded by Southampton Inn owner Dede Gotthelf through 71 Hill LLC, the master plan targets the commercial property located at 71 Hill Street, positioned directly across from the landmark 90-room inn.
The site strategy calls for removing a 10,000-square-foot commercial building and clock tower to construct a modern 35,000-square-foot, all-suite resort hotel. Designed for long-term stays, group gatherings, and event overflow, the three-story building will house 40 luxury one-bedroom suites featuring private balconies, full kitchens, and dedicated laundry appliances. On-site amenities include a private outdoor pool, ground-floor staff quarters, landscaped grounds, and 57 code-compliant vehicle parking spaces.
Beyond luxury lodging, the multi-building footprint integrates essential workforce accommodations and environmental updates. An existing 7,500-square-foot office structure on the parcel will be converted into eight dedicated workforce housing apartments to support local employees across hospitality, healthcare, and regional service sectors. Additionally, a 3,000-square-foot commercial building will undergo complete refurbishment for tenant leasing, while a newly constructed wastewater treatment facility will serve the entire 71 Hill Street layout.
Supported by sales tax relief, mortgage recording tax exemptions, and a 15-year PILOT agreement from the SCIDA, the project expands total site employment to 66 active positions.
Long Island Business News:
https://libn.com/2026/02/10/southampton-all-suite-hotel-redevelopment-ida-approval/
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