The Comfort Suites hotel chain will not build a site behind Charleston’s Wal-Mart.

The chain chose not to move forward with the project because of the current economic climate of the area.

“Lenders looked at the sectors and determined them to be high risk,” Mayor John Inyart said.

Inyart announced plans for the potential construction of the hotel in January at the Charleston Chamber of Commerce’s annual dinner.

“Of course we are disappointed, but we understand that today’s economic climate doesn’t exactly support growth,” he said.

The hotel was to be built in conjunction with, but not related to, a shopping center. The shopping center purchased the land from the city but has yet to begin construction.

Tenants are currently being sought for the shopping center, which will be owned by the Thomas Realty Group.

“Lenders would like us to lease 50 to 60 percent of the storefronts before moving forward,” leasing agent Tony Gagliano said.

Gagliano said Thomas Realty aims to add a national brand to Charleston, letting the college community have nationally recognized brands, which the town lacks.

Yet businesses tend to be “apprehensive” about leasing property until the election is over, he added.

Both the hotel and the shopping center projected themselves to open this fall.

Because of slow leasing, Gagliano now expects to open late spring, early summer of 2009.

Construction should begin in early spring.

“It’s about a 50 percent speculation, and 50 percent realistic goal for a finished site,” he said.

Thomas Realty produced a design for the shopping center and has committed to the land through purchase, Inyart said.

“We are confident about the shopping center and hope it will bring more revenue for the city,” he said.

The shopping center is approximately 25,000 square feet and will house both retail and dining businesses.

The hotel proposed 68 rooms, 2,000 square feet of conference space, an indoor pool and a restaurant.

Inyart said the city would look into the hotel plan again in about 12 to 18 months.

Krystal Moya can be reached at 581-7945 or at [email protected].