KANSAS CITY, Mo. (AP) - Kansas City officials have approved a financing deal for building a new downtown convention center hotel.
The Kansas City Council gave its backing Thursday to the financing deal to build an 800-room Hyatt Hotel just east of the Bartle Hall Grand Ballroom, The Kansas City Star reported (http://bit.ly/1JhRtQL). The $311-million project requires a public subsidy along with private investment, but does not use general taxpayer dollars and does not require the city to guarantee the debt.
Supporters argue the project is crucial to take full advantage of the hundreds of millions of dollars that the city has invested in Bartle Hall's expansion, the downtown Power and Light entertainment district and the area's new streetcar.
Mayor Sly James said Kansas City needs the hotel to stop losing conventions and to attract new ones.
"It is something that we need," James said, "and something that will help complete the overall plan for downtown."
If the financing is completed by the end of the year, construction could begin in the first quarter of 2016, with the hotel expected to open in mid-2018.
Critics contend it's expensive and won't attract many more conventions, and will struggle to meet revenue projections, as has happened with convention hotels in other cities including St. Louis and even Overland Park, Kansas.
"It will fail," predicted Kansas City resident Dan Coffey.
Coffey, who is leading a petition drive to seek a public vote on the hotel, also is concerned about the exclusive ballroom catering deal for Hyatt that will end catering contracts for eight local vendors. He estimates his group has gathered about 700 or 800 signatures out of about 1,700 needed.
"What about the local caterers that will be put out of business?" Coffey said.