Leander’s first hotel could break ground in the summer


Leander’s first hotel could break ground as early as this summer behind the H-E-B Plus shopping center by US 183.

The Holiday Inn Express would be located by West Broade Street and West Metro Drive, Economic Development Director Mark Willis said. The building will have more than 90 rooms, and Willis said the owner is also considering expanding the hotel to include either a 5,000-square-foot or 10,000-square-foot convention center or at least one restaurant.

Leander City Council discussed incentives for the hotel during a Thursday night meeting.

City staff recommended an incentive package that would give the owner a rebate of 50 percent of the property tax generated by the hotel for five years, which would add up to about $35,000 per year. The owner would also receive 25 percent of the property tax generated for the next three years, or about $17,500 per year, Willis said.

The rebate would be funded from the Hotel Occupancy Taxes, or HOT tax, generated by the facility. If the hotel operated with a 65 percent occupancy rate, Willis said it could generate $150,000 in HOT taxes annually, $2,000 in sales tax revenue for the city and $18,000 in secondary benefits, such as providing business to other companies in the area, including restaurants.

Leander City Council approved the incentive package unanimously.

“Go seal the deal,” Leander Mayor Chris Fielder said.

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Caitlin covers Cedar Park and Leander city councils and reports on education, transportation, government and business news. She is an alumnus of The University of Texas at Austin. Most recently, Caitlin produced a large-scale investigative project with The Dallas Morning News and led education coverage in the Brazos Valley at The Bryan-College Station Eagle. After interning with Community Impact Newspaper for two summers, she joined the staff as a reporter in 2015.
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