Plan To Build Charlotte's Biggest Hotel Calls For Tax Subsidy
A 1,000-room hotel could be built uptown, if the city council agrees to use tax dollars to help subsidize it. That pitch was made to city council members Monday night.
The plan is to build the hotel next to the convention center.
Former City Manager Ron Kimble, who has consulted on tourism projects over the past year, told council a large hotel there would “rise all tides and raise all boats in the hospitality industry and bring new, bigger conventions to Charlotte.”
There was no mention of how much of a city subsidy it would take. The money would come from the city’s convention fund, which is drawn from the city’s hotel and food and beverage taxes.
Council member Lawana Mayfield asked Kimble why hospitality and tourism dollars were needed to build the hotel.
“The key feature of a 1000-room hotel is to be able for the CRVA to get substantial room blocks – 700 and 800 room blocks - that they can allocate to upcoming conventions that they can lure to this market,” said Kimble.
He said, otherwise, a hotel wouldn’t be able to meet its rate of return. Kimble also told council it would make Charlotte more competitive, since other cities are spending money on large hotels.
Council plans to get another update on the hotel plan this summer.