SOUTH BEND, Ind. (AP) — Construction has started on the final phase of a $300 million commercial and residential development next to the University of Notre Dame campus.

This phase involves building a 164-room Embassy Suites hotel, which will have rooms facing the football stadium.

The South Bend Tribune reports the project also will have more than 400 apartments, 8,000 square feet of retail space and a grocery store. The developer says it will take about three years to finish construction.

The Eddy Street Commons already has hundreds of new apartments, condos and townhomes, along with retail and office space.

South Bend community investment director James Mueller says he doesn’t expect the new hotel will hurt downtown hotels.