Earlier this year, Orlando Health filed construction plans to expand the free-standing emergency center at its Tupperware campus into a full, acute-care hospital.
It was welcome news to Orlando-based Kimaya Real Estate, the commercial arm of Park Square Homes, which owns property across the street and has approved plans for a Marriott dual-branded hotel.
Kimaya bought Lot 6 of the Osceola Corporate Center directly from Tupperware for $1.57 million back in 2020. The deed included a use restriction requiring the developer to develop the property within 5 years as a dual-branded hotel with 142 rooms. The developer soon secured a license with Marriott for a TownPlace Suites and Fairfield Inn that met the exact specifications. The county approved building permits for the hotel in 2022.
Orlando Health to build full-service hospital at Tupperware campus
But after four years, the company has been unable to secure financing for the hotel project, and now Kimaya is looking to sell the parcel or develop it for something else. Sid Gautam, director of acquisitions and development for Kimaya, said bringing a hotel to the Tupperware SunRail area is still the goal, but they have to consider alternatives.
“We wanted to get the hotel done; it’s just that the market is not there for us to support a ground-up development yet,” Gautam said. “The as-built valuations are still not making sense for a ground-up deal.”
Orlando’s hotel market is a study in contrasts, as thousands of new hotel rooms came online as Epic Universe opened in 2025. Universal added 2,000 rooms across its three hotels, and IHG added another 288 keys this past July when it opened a dual-branded EVEN and Staybridge Suites hotel next to Epic Universe.
Construction is underway on the 274-room Hyatt House Orlando Convention Center. (Rendering by Behar Peteranecz)
The Orange County Convention Center expansion is driving more hotel development in the I-Drive corridor, including a new 274-room Hyatt House now underway across from the convention center.
Collier’s Q3 2026 Hospitality Market Report cited robust fundamentals for the Orlando market, noting that it “remains one of the nation’s strongest tourism-driven lodging markets.”
Hotel construction in Orlando jumped 35% over the same period last year, the report says. Nearly 1,000 Disney Vacation Club units under construction at Lakeshore Lodge bolster that figure.
“Development activity remains among the most active in Florida, with approximately 4,170 rooms under construction and no new rooms delivered during the quarter,” the report states. “Looking ahead, Orlando’s combination of world-class attractions, convention demand, and continued investment is expected to support long-term lodging growth.”
Only a handful of suburban, limited-service hotels have opened this year, but extended-stay projects have had more success. Brands such as Woodspring Suites, Echo Suites and Everhome Suites are coming up in suburban submarkets like Clermont and Leesburg and on I-Drive. Extended-stay hotels next to hospitals are typically considered recession-proof.
“That’s the sad part,” Gautam said. “I mean, we’re just not getting the loan and all the required capital to make the returns work. So that’s why we’re reaching out to some hoteliers. I mean, we have the approved plans with all the permits in hand.”
Kimaya has engaged Susan Morris with RDIP Florida to market the property to other hotel groups that specialize in hospital-adjacent assets.
“We have really focused our target marketing towards extended stays because I have found 10 to 12 companies — hoteliers, hospitality groups — who are focusing on hospitals and extended stays,” Morris said.
She’s working with two prospective buyers, but they’re not interested in building the dual-branded hotel approved for the site. “Most of the ones wanting to do it want to do a single brand,” she said.
Another factor that has worked against Kimaya is the uncertainty over the development timeline for additional Tupperware land owned by Orlando Health. The hospital owns the vacant lots adjacent to the hotel site but has not filed any permits for the future medical offices.
The revised master plan creates a single medical campus for all of the property owned by Orlando Health and changes the hotel site on Lot 6 to Mixed-Use with Self-Storage permitted. (Harris Civil Engineering)
“That’s what I’ve been trying to get from Orlando Health,” Morris said. “What is your timing on those parcels? When do you think you’ll have a plan for those?”
Kimaya is also considering alternative development scenarios for the Tupperware property. The firm is seeking a major zoning amendment to allow Self-Storage as a potential use on Lot 5 of the OCC Planned Development. The request goes to the Osceola County Planning Commission and Board of Commissioners this month.
“We’re trying to open it up to more land uses that might be a synergistic land use to target a wider audience of buyers, and that includes self-storage,” Gautam said.
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