Disputed Moxy Hotel gets critical approval in Milwaukee

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A long-anticipated Deer District hotel has won a critical approval in Milwaukee.

The city of Milwaukee Zoning, Neighborhoods and Development Committee recommended zoning for a seven-story, 156-room Moxy Hotel on the northwest corner of West State Street and North Vel R. Phillips Avenue. The proposal passed by a split vote after the committee voted to hold the project on May 6.

The project is proposed by NCG Hospitality Group, a Middleton-based developer which completed the Trade hotel at 420 W. Juneau Ave. The Moxy, which is estimated to cost around $50 million, will be built next to an already underway 4,500-seat FPC Live venue on Vel R. Phillips Avenue.

It’s likely that the project will go to the Common Council next; the council is scheduled to meet on June 3.

Supporters from the Milwaukee Building and Construction Trades Council and associated construction unions spoke in favor of the project, while representatives of the Milwaukee Area Service and Hospitality Workers Organization spoke out against the proposal. The latter argued that the 156-room hotel wasn’t the highest and best use for the general planned district, which allows buildings between four and 20 stories to be built.

In May 2024, workers at the Trade held a union election which management said fell through. NCG Hospitality, which operates the Trade, is under investigation by the National Labor Relations Board and MASH representatives said hotel management coerced its workers. A decision from NLRB is underway, likely delayed as the Trump administration reshuffles the board.

It took four hours to come to a decision and the committee spent at least an hour in closed session with the city attorney. At a previous meeting, the committee voted to hold plans for the Moxy after questions over what grounds the city could vote to reject arose.

The plan submission for the Moxy follows the development plan, which establishes bounds for development such as uses, size and design, said Bruce Block, an attorney representing the Milwaukee Bucks. However, the Common Council can’t turn down the project if it wants a larger or smaller building, he added.

The project had support of at least 16 unions in construction and other trades. The Moxy is expected to bring 400 construction jobs and 45 full-time jobs after completion, union officials said.

A project labor agreement is ready to go, and the developer will have goals for 40% of workers to reside in the city of Milwaukee and 25% small business enterprise and disadvantaged business participation, said Dan Bukiewicz, president of the Milwaukee Building and Construction Trades Council. Details of deal include 5% women-owned business participation and 5% veteran-owned business participation, Bukiewicz added.

Peter Rickman, president of MASH, said a larger hotel would have created more revenue and more benefits for the surrounding community, including for the workers inside. The Fiserv Forum, which used millions in state aid, had a community benefit agreement that allowed arena workers to unionize freely, but the Trade and Moxy didn’t have the same agreement, he added.

Opponents said the hotel was not the “highest and best use” for the land and asked for the city to hold the project, but NCG Hospitality argued that a larger hotel wouldn’t fit in the Milwaukee market.

James Phelps, president of JCP Construction, concurred with the developer and said at the meeting that the market only called for a mid-size hotel.

After final approval, NCG Hospitality expects to start construction by July 2026, said Brian Randall, an attorney representing NCG. Project financing hasn’t been completed, and it’s unlikely that contractors will dig into the ground this year. At most, footings and foundations could be laid before the end of 2025, he added.

Alderman Robert Bauman, who represents the 4th District, motioned to put the project on file, citing details such as the lack of a rooftop bar, a bar check-in on the first floor and smaller rooms as reasons to hold it. However, other committee members voted differently.

The motion to put the Moxy on hold failed 3-1. Alderman DiAndre Jackson motioned to approve the project. Alderwoman Milele Coggs abstained from both votes.