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A St. Louis panel has cleared the way for 10-year tax abatement on a downtown boutique hotel project.

ViaNova Development, of Chattanooga, Tenn., plans an 88-room hotel for the LaSalle building at 501 Olive Street and the adjacent Paradowski building at 303 North Broadway.

Branded as Hotel Indigo St. Louis at the Arch, it would be the only Indigo hotel in St. Louis following the closure of an Indigo on Lindell Boulevard several years ago. 

The city's Land Clearance for Redevelopment Authority advanced a measure Tuesday that could allow up to 10 years of tax abatement on improvements made to the property. 

Via Nova representatives say they still hope to complete the $9.6 million renovation project by next fall. Building acquisition costs were nearly $2 million. Construction should start soon. 

While parking isn't available on site, company representatives told the board they are in discussions with valet services that could store guest vehicles in nearby garages.