SPI Insights

Kay Bailey Hutchison Convention Center staff and consultants are recommending a $1.9 billion expansion of the center to remain competitive among cities vying for convention business.

Austin, Fort Worth, and San Antonio have recently expanded or are in the process of expanding their convention centers, as have other cities across the country.

Consultants developed a set of expansion options while updating the center’s master plan, ultimately settling on the West of Lamar alternative that they presented to the city’s Transportation and Infrastructure Committee on December 7.

The West of Lamar option substantially meets all of the master plan goals and objectives that included meeting program needs, improving the convention center district, connecting to downtown and Cedars, supporting development potential, positively impacting the economy, and avoiding business interruption while maintaining revenue flow.

Committee members delayed their decision until January 2022, which could affect the center’s timeline that called for the City Council to authorize procurement of a design contract to prepare 30 percent design and bridging documents at its January 12, 2022, meeting.

To help finance the expansion, the city created a financing zone and is considering an election that would allow it to increase its Hotel Occupancy Tax by 2 percent up to 9 percent.