The details
Houston unveiled a new master plan in March to transform Downtown Houston and its East End into a more walkable convention and entertainment district, according to previous Community Impact reporting.
The first phase of the project, which was the main focus of the study, includes a 700,000-square-foot expansion of the GRB, which the city dubbed as GRB Houston South.
According to the analysis, conducted by destination real estate advisory group Hunden Partners and commissioned by Houston First Corporation, GRB Houston South will generate more than $20 billion in spending, increase the number of citywide meetings and conventions by 62% and reduce “dark days” or downtime at the facility by 66%.
The expansion is also expected to result in more than 337,000 additional group hotel room nights booked annually and help raise the occupancy rate in the submarket by nearly 5%.
The report estimates that roughly $6 billion in additional earnings or payroll tied to new jobs will be realized over the 30-year period as a result of the expansion. Local hotels are expected to see $5.6 billion in additional hotel room revenue and local governments will see $740 million in incremental local tax revenue from the project over the next three decades.
“These economic impact numbers are outstanding and what they mean are more jobs, income and opportunity for Houstonians,” Mayor John Whitmire said in a statement. “Great cities have great downtowns. This initiative ensures our place as a top-tier convention city. But just as important, it will be an economic engine for our entire destination, and in particular for downtown and the East End, generating new opportunities for restaurants, retail, entertainment and more and pumping billions of dollars into our city in the years ahead.”
The study recommends that a new 800-room hotel be built near the GRB to help accommodate the estimated increase in major meetings that will be held in the convention center.
“Phase one of our master plan, the GRB South Building, will enable Houston to compete for and win the type of high-value conventions and events that have tremendous economic benefits to a destination,” Michael Heckman, president and CEO of Houston First, said in the news release. “The Convention District Transformation project has always been about helping build Houston’s economic future and this study makes it clear that it delivers on that promise.”
The expansion of the GRB comes as other cities across the country, such as Dallas and Phoenix, are also expanding their convention centers. The news release cited data from travel industry research group Skift that the global meetings industry is expected to grow from $971 billion in 2024 to more than $1.9 trillion by 2032 as demand for in-person meetings grows.
“Our analysis shows that this project will amplify Houston’s position as a premier meetings and events destination for decades to come,” said Rob Hunden, president and CEO of Hunden Partners. “With a projected $20 billion in new spending and billions in new payroll, the George R. Brown Convention Center transformation project ensures Houston’s competitive positioning nationally and globally.”
The GRB Houston South development is intended to feature additions such as:
- Two exhibition halls
- A multipurpose hall
- An atrium flex hall
- The largest ballroom in Texas
- Dedicated ground-level spaces for retail and restaurants
- A central atrium with natural light
The estimated cost for the first phase of the development is up to $1 billion and is anticipated to begin this year, with a scheduled opening date in May 2028, according to prior Community Impact reporting.
