Houston First Corporation is anticipating its annual budget to increase by $4.3 million in 2025 after seeing a record year of tourism in 2024.
What you need to know
Houston First is the marketing organization charged with promoting the city as a destination for tourists and conventions.
The company manages more than 10 city-owned facilities, including the George R. Brown Convention Center, Avenida Houston and the Wortham Theater Center.
In 2024, the corporation brought in $17.4 million in additional revenue to the city with major conventions such as the First Robotics, National Corn Growers and Gastech.
Houston First President Michael Heckman shared in a Dec. 3 presentation to the Budget and Fiscal Affairs Committee that the corporation is set to break several tourism records this year, including:
- Number of visitors
- Amount of Hotel Occupancy Tax collected
- Number of hotel rooms booked for future years
“The short version of this year—2024—is that we have had a really successful year in almost every metric,” he said.
Heckman said the final numbers will be calculated after Jan. 1.
What to expect
The presentation also included the vision and budget for capital year 2025. The proposed budget shows a $4.3 million increase in revenue, but also an $18.6 million increase in expenses.
The rise in expenses is expected to drop the excess income made in 2024 from $17.4 million to $14.3 million in 2025.
The corporation is also planning for 18 citywide conventions to bring in approximately 220,000 visitors in 2025. The conventions anticipated to insight the most attendance include:
- First Robots: This global competition combines the excitement of sport with the rigors of science and technology
- DreamCon: A popular Black-owned anime and gaming convention that features meet-and-greets, concerts and panels
- AfroTech: The largest annual Black tech conference that combines networking, presentations and innovation
Heckman said the city will also host a number of medical conventions in the upcoming year.
One more thing
Heckman also said a big priority for Houston First in 2025 will be transforming the convention district.
In August, Houston City Council approved a project to construct a new building next to the George R. Brown Convention Center.
According to an Aug. 13 news release, the project is intend to modernize and expand the 37-year old convention center and create an interconnected convention and entertainment district to attract more and larger conferences.
Phase 1 of the $2 billion project includes creating the new south building of George R. Brown, which will feature additional parking, exhibition halls, ballrooms and meeting spaces. Funding for the project will come through the state’s portion of incremental Hotel Occupancy Tax revenue, according to the release.
Construction is anticipated to start on phase 1 in 2025 and wrap up in May 2028, Heckman said.
