Hey guys not taking a side on this particular issue but there are studies that show that tax incentives like this at the local level don't always pan out, despite the best intentions, and the best data available at the time. I'll hang up and listen off air.
$50 million over 25 years. as far as i know they are not raising taxes on kc residents to accomplish this. one RNC or DNC could be $150-200 million in reven- damn, he hung up and he's off the air now.
kansascity.com
The plan doesn’t rely on general taxpayer dollars and doesn’t require the city to guarantee the debt.
Hotel projected to create about 400 hospitality jobs with an annual $20 million payroll.
expected to cost about $311 million, including the $4.5 million value of the land that the city would contribute for the project.
city would also contribute $35 million in cash, which would be bonded over 25 years and would actually cost about $2 million per year in convention and tourism taxes.
The project requires tax abatement and substantial tax incentives to be viable. The total public contribution adds up to more than $160 million, or more than 50 percent of the cost.
The developers’ application says financing would also include $52 million in private equity, including $8.5 million from Hyatt, and $95 million in private debt.
The $311 million project costs add up this way:
- $218 million for construction.
- $32 million for design and professional services and soft costs.
- $13 million for land acquisition, including the city’s $4.5 million contribution.
- $38 million for financing and project management.
- Nearly $10 million in developer fees.
