A revised sketch plan proposal was presented by Scott Whitham of Whitham Planning and Design at the last City of Ithaca Planning Board Meeting, and below are some shots from the presentation along with a link to the PDF.
The proposed site spans across the former Strand Theatre lot (behind the Carey Building), which is now private parking, and the two lots of municipal parking owned by the City and Ithaca Urban Renewal Agency (the IURA owns the northern portion, and the City, the southern portion). The project team will be moving towards conversations with the IURA and the City with the aim of divestiture so that the land can be developed. Although Hampton Inn projects are typically suburban, there are a few examples around the country that are designed and adapted to a more urban setting, which is the intent of this new project design. The ground floor would have program space for the hotel, and ~2,000 SF retail/restaurant facing Seneca Way, and the upper floors would be hotel rooms.
Ithacating has an article on the first submission here.