The Meridian City Council Tuesday approved on a 3-2 vote a project to renovate the historic downtown Threefoot Building into a hotel. It has been a long, drawn out fight.

"We have measured the risk and we find it well worth taking," said Mayor John Robert Smith. "And I think that's what the council did today."

Council president Mary Perry, Ward 5's John Harris and Jesse Palmer of Ward 4 voted for it. Ward 1's Dr. George Thomas and Barbara Henson of Ward 3 voted against it.

Palmer said at the last council meeting that he was against the project, but had a change of heart after local private investors agreed to back the project financially, if there is a shortfall.

"It was the involvement of the business people who had guaranteed that if we should by some way fall short that they would help us to make up the difference," Palmer said.

Thomas says a group of citizens has agreed to come up with a little over $2 million. If for some reason there is a shortfall, that money will come into play. The city is backing $14 million in bonds for the project.

Thomas said he is uneasy about the risk and only wanted the city to invest $7 million. But HRI representatives said that would not work. But investors say they are glad the council approved the project so the ball can start rolling.

"We would like to have an early closing to start actual work on the building sometime in March or April, and probably a final construction start for the entire project in the fall of 2009," said Pres Kabacoff, CEO of HRI. "That's an aggressive schedule, but we like to be aggressive."

HRI plans to immediately put consultants on the Threefoot Building to give an exact accounting of the status of the bricks, how the windows will be repaired, how the roof should be repaired, and begin securing it.

Perry said it has been promised in the contract that local contractors will be used for this project.

Newscenter 11 asked Perry how important it was that private investors came in at the last minute and said, 'we're willing to back some of these loans?'

"It was really important, due to the fact that none of the council members wanted to vote for the city being obligated to that kind of money. And in reality, we're really not. If the project pays for itself, over time, nor will they, but because they were willing to go half and half with the city, with its obligation, I think that also influenced Mr. Palmer's vote," Perry said.

"I really believe the city is going to prosper, because that is the skyline of Meridian," said Perry. "And basically, when others see something positive being done, then they will believe in the validity of our city, and they will do positive things, too."