The Nines, Portland newest luxury downtown hotel is over Macy's and it's budget.

Now developers say they'll need a helping hand to finish the project.

The Nines

Artist rendering, The Nines at the Macy's building.

The Nines was originally budgeted for $118 million, but renovating the top floors of the 1909 Meier and Frank building is full of discoveries. And those discoveries are running up the cost by some $15 million.

"We're trying to preserve and redevelop the property to the historic standards," said Ken Geist, Executive Vice President with Sage Hospitality. Geist was optimistic everything was on track for The Nines.

But, now Sage is behind in payments to portland's Hoffman construction company. The next payment is due by year's end.

"The concern is that it would either shut down or bring in another developer and finish it off is a less than a four star hotel just to get the project done," Ross Plambeck with the Portland Development Commission said.

The Nines is a centerpiece for downtown development. The projects been in the work since Meier and Frank department store was owned by May Company.

The original budget ballooned because of two problems. First: There were unforeseen construction surprises including seismic upgrades.

"There were ghost floors, there was more lead paint that they discovered so there were a lot of unanticipated conditions that they had to deal with," said Plambeck.

The PDC is more than likely to kick in an additional $3 million for a total of $16.9 million. The money will be used for to continue the projects green building practices.

The cost overruns are also by design. As a luxury hotel, it was determined the design and amenities weren't upscale enough.

Better bathroom fixtures and other add-ons will cost some $375 for each of the 131 rooms. In addition, the an entire new top floor, high-end restaurant will sit on the ninth floor or the hotel.

With so much invested so far, the principle finance lender JP Morgan-Chase has decided to add $8.4 million more to the pot, plus more tax credits should be enough to get the project finished.

"It's going be a four star, there are only 10 others like it in the country,so it will be a unique product for Portland," said Plambeck.