A 72-room Hampton Inn and Suites is planned for construction on Ed Schmidt Boulevard in Hutto.

The proposed 3-story, 45,012-square-foot hotel will be Hutto's second, and is slated to be built just north of the city's existing Holiday Inn Express. Hutto's Director of Development Services Will Guerin said the city is offering the development company, Rudra Corporation Inc., a 50 percent deduction in all development fees, excluding impact fees and certain minor fees.

Developer Birju Patel said construction is planned to start in January 2014 and should finish in nine months, with a projected opening date in October 2014. While Rudra has owned the lot for the hotel since 2008, it recently received the financing needed to build.

"[Hutto] is a good growing town," Patel said.

With development of nearby Round Rock's indoor sports complex and Austin's F1 Track, as well as city events, Guerin anticipates the new hotel will serve as a lodging place for visitors both in Hutto and surrounding communities.

"It gives visitors another quality lodging option, and we anticipate that it will generate more hotel occupancy tax for the city which, in turn, may help with special events and other initiatives and activities geared towards tourism and overnight stays," he said.