Developer Gary Matthews and Peoria Mayor Jim Ardis said it will be ready for occupants by June 30.
That date comes four months after its original projected opening on March 1.
Matthews said the delayed open is due to many challenges his construction team faced during the renovation process.
Matthews said, "When you're building or rehabbing a building in the middle of downtown, there are always challenges."
Mayor Ardis said, "Keep in mind, this isn't a low end hotel this is a Marriott property, Marriott has very high standards that they expect for their property."
Matthews is facing penalties for the delayed open. For every month the hotel is behind, he owes the city of Peoria $41,000.