Hampton Inn abandons Sheboygan after starting construction
The out-of-town hotel owner owes over $400,000 in property taxes

SHEBOYGAN — Hampton Inn owes over $400,000 in property taxes after it abandoned construction on a hotel on Sheboygan’s south side.
The abandoned construction site is located at at 3711 Greenwing Drive, directly south of Goodwill and behind Walmart. The foundation was poured and pipes are visible but otherwise, construction was halted without explanation.
Mike Patel of Rossford, Ohio requested a Conditional Use Permit to construct a four-story Hampton Inn which would have been comprised of 95 guest rooms and an indoor pool. The project had an estimated cost of $5.6 million to build. Construction started in early 2020 and was scheduled to be completed last year. However, the company failed to pay property taxes in the last four years. According to records, the last time the company paid property taxes was in December 2017. Since then, property taxes have gone uncollected on the property.

Due to the unpaid taxes owed, the property is expected to go in foreclosure sometime this year. “Our office follows Chapter 75 of the Wisconsin State Statutes at a time prescribed within that chapter for tax foreclosure,” said County Treasurer Laura Henning-Lorenz. Currently, the law allows 2021 unpaid taxes to be foreclosed.
WKTS News asked city officials in 2022 what the status of the project was. “We have outstanding orders on the property to either finish the project or raze the improvements,” said Chad Pelishek, the city’s former Director of Planning and Development. However, the foundation and pipes still remain on the property as of this week. No additional information was available on the city’s end about on why construction was halted.
Attempts to reach Patel were unsuccessful. He owns hotels near Toledo, Ohio.
In 2008, DeForest-based Main Street Builders had proposed to build an 81-room Hampton Inn & Suites not far from Greenwing Drive. The proposed four-story, 16,300-square-foot building would be constructed on land on South Taylor Drive, just north of the Union Pacific Railroad tracks. Those plans were also abandoned.
Another hotel approved but unbuilt
Also in 2022, a developer received approval from the City Plan Commission to construct a $12 million Courtyard by Marriott hotel just south of the Fairfield Inn on South Taylor Drive. Construction was set to begin that June for the 117-room hotel but was never built. Attempts to reach the developer were unsuccessful.
The land where the hotel was proposed is owned by Wisco Hotel Group, which also owns the Fairfield Inn that opened in February 2020.
Follow WKTS News on Facebook and X for the latest local news.