Cincinnati developers press for convention headquarters hotel subsidies

The convention headquarters hotel remains at the center of a major funding debate in Cincinnati.

The project’s developers are pushing for approval of public subsidies. These subsidies would unlock construction of a 700-room Marriott property connected to the reimagined First Financial Center.

The key funding vote is expected this week from both the Cincinnati City Council and Hamilton County commissioners.

City leaders frame funding push as essential for local convention market

Cincinnati’s proposed convention headquarters hotel relies on a package of public incentives. City officials argue those incentives are critical to attract large conventions. Located on the parking lot at Plum Street and Fifth Street south of the convention center, the hotel would include roughly 62,000 square feet of meeting space. It would also offer multiple ballrooms, retail, and an events terrace.

Officials with the Cincinnati Center City Development Corp. (3CDC) and Atlanta-based Portman Holdings told the Budget, Finance & Governance Committee that more than $100 million in public subsidies must be secured. Only then can construction move full speed ahead. Council members approved several funding ordinances in committee. In addition, a vote by the full City Council is slated this week.

Supporters see the convention headquarters hotel as necessary for Cincinnati’s competitive position. Downtown already has a renovated convention space. Planners say a connected hotel is a draw that could boost bookings, visitor spending, and room nights in the city.

Public funding details and outstanding approvals

The complex subsidy plan includes a mix of city, county, and state contributions. The city has already authorized a $50 million loan toward the project. This combines savings from the convention center renovation and debt issuance mechanisms. A tax increment financing (TIF) real estate abatement is also part of the funding stack. Project-based transient occupancy tax (TOT) abatements from both city and county support the plan as well.

In addition, businesses within Cincinnati’s Fountain Square and convention district will contribute through a community authority charge. This charge is a voluntary fee of 1¢ for every dollar of sales, and helps defray construction costs.

State support arrives through a grant and tax credits. Developers and city officials say these incentives are vital to closing the financing gap. Under earlier state allocations for mixed-use development, the hotel project was awarded transformational mixed-use tax credits and grants. These grants offset some capital costs.

Despite these commitments, final approval from Hamilton County commissioners is still pending, making this week’s votes crucial. If both the city and county agree, developers plan an April 2026 groundbreaking with a target opening in late 2028.

Development partners highlight long-term economic impacts

Portman Holdings, which has developed large hotel projects in other cities, is leading the private side of the build. Their experience includes convention headquarters properties. According to the city’s planning documents, the site is currently a surface parking lot. The new hotel is expected to significantly increase Cincinnati’s available room inventory for meetings and group travel.

City officials argue that the project aligns with broader efforts to revitalize the Convention District. They also seek to maintain momentum following the First Financial Center renovation. That project rebranded and reopened the convention center. It positions Cincinnati for larger events. However, it lacks enough adjacent hotel capacity without the new headquarters facility.

Business leaders and hospitality groups in Cincinnati have generally supported the public investment. They say the convention hub could yield sustained economic activity across retail, dining, and tourism sectors. Such development could also enhance Cincinnati’s appeal relative to nearby convention markets in Columbus and Louisville.

Critics raise questions over public subsidy scale and community impact

Not all stakeholders are fully on board. Conversations around the community authority charge and long-term tax abatements have drawn scrutiny from residents. They question the scale of public support for private development. Some observers worry about committing decades of revenue from hotel taxes and abatement programs, since there are no guaranteed returns.

Urban planning debates have also surfaced in related development topics. Topics such as the proposed Hyde Park Square mixed-use project have seen zoning and community feedback shape council decisions.

However, city officials reject claims that the subsidy agreement will burden taxpayers. They note that revenue streams tied to hotel stays and increased economic activity should balance long-term public investment. Officials maintain that without this level of support, the convention headquarters hotel may not move forward in a competitive market.

Outlook and next steps for the convention headquarters hotel

As the City Council and Hamilton County prepare for key votes, developers and city staff continue outreach to stakeholders. If approvals are secured, site preparation and utility work could begin soon after. This would accelerate Cincinnati’s pipeline of hospitality infrastructure.

The eventual completion of the convention headquarters hotel could reshape Cincinnati’s downtown hospitality landscape and reinforce the city’s position as a regional destination for large conventions and events.