The new outside closing date related to the project’s hotel and conference center has been extended to Dec. 31 due to delays related to the coronavirus pandemic, according to the amendment document included in the May 11 Katy City Council meeting agenda packet.
The outside closing date is the deadline for obtaining financial commitments to pursue the project, according to the master development agreement between Katy Development Authority, the city of Katy and KBH Venture LLC signed by the city Jan. 14, 2019.
KDA is raising public funds by issuing bonds, while KBH is raising private funds such as equity and debt, per the master development agreement. In total, KBH must secure a minimum of $60 million, while KDA will issue bonds for at least $18 million, per the agreement.
KDA is overseeing the construction of the conference center, while KBH is overseeing the construction of the hotel, per the agreement. The Hyatt Regency, operated by HBH Ventures LLC, was revealed as the boardwalk’s hotel in early 2019.
In January of this year, city officials said the 304-room hotel and 43,000-square-foot conference center were expected to begin construction mid-2020 and open to the public mid-2021.
According to the master development agreement, the construction phase for the conference center and hotel was expected to begin Sept. 6, 2019, and last 456 days. The grand opening was set for Sept. 21, 2021.
Community Impact Newspaper reached out for comment from KBH Venture regarding the project delays and for more information about the development's timeline, but it did not respond.
Other items that must be completed by the final closing date include selecting a general contractor and finalizing the maximum price for the conference center as well as delivering the final plans and specifications for the project’s hotel, per the master development agreement.
In the master development agreement, the outside closing date was set for Dec. 17, 2019. It was extended to June 30, 2020, according to the amendment document included in the Dec. 9, 2019, Katy City Council meeting agenda packet.
In addition to the conference center and hotel, Katy Boardwalk District—a 169-acre, mixed-use development on Kingsland Boulevard across from Katy Mills—will also include office and retail spaces, a 90-acre lake and trails. Construction on a multifamily complex started March 2019 with an expected completion date of mid-2020.