The Fremont City Council on Tuesday approved a plans for a hotel development at 5593 Auto Mall Parkway.
Staybridge Suites plans to build 102 guest suites on a nearly one-acre parcel about two blocks west of Interstate 880.
The five-story hotel would be constructed on top of a two-deck parking garage.
A second reading and adoption of the ordinance, which was adopted on a 3-2 vote Tuesday night, is scheduled for the council meeting Sept. 4.
Staybridge Suites is part of the InterContinental Hotels Group.
Meanwhile, the City Council voted 4-0 to approve a Whole Foods Market project at the corner of Paseo Padre Parkway and Mowry Avenue.
A second reading and adoption of that ordinance is scheduled for Tuesday's council meeting.
A Whole Foods spokeswoman said last month that the market is scheduled to arrive in Fremont in late 2013.