Plans for new downtown Dallas convention center get funding boost

The Dallas City Council approved around $145 million Wednesday to move forward with plans for a new downtown convention center and revamp the surrounding area.
The bulk of the money — $141.5 million — is going to architecture firm Perkins&Will to lead the design and engineering work for the estimated $3 billion convention center. A separate contract for more than $3 million went to civil engineering firm Metropolitan Infrastructure to revamp the nearby Pioneer Park Plaza and cemetery.
Those approvals, along with another $42 million to pay for deck caps for potential parks and other future developments over Interstate 30, brought the total to around $300 million in contracts the city approved for work on the convention center and related projects to date.
Construction for the new $3 billion convention center broke ground in June, with a completion date set for 2028. The larger facility is the key piece of downtown redevelopment plans, running from the Eddie Bernice Johnson Union Station at the southwest end of the Central Business District to the Dallas Farmers Market, a little more than a mile southeast. The plans include a new entertainment district within 30 acres of land expected to be freed up by tearing down the current Kay Bailey Hutchison Convention Center.
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“This is a transformative project that’s going to benefit the southern and south parts of our city,” said council member Jesse Moreno, who represents parts of downtown that includes the convention center area.
Rosa Fleming, director of convention and event services, said she expects the city will have a revised estimate for the cost of the new convention center next spring after Perkins&Will brings existing concept drawings to design.
The cemetery is the resting site for many of Dallas’ early settlers and the 4-acre plaza is home to a waterfall, cliffs and longhorn steer sculptures that are a city landmark and tourist attraction. The sculptures commemorates 19th-century cattle drives that went through Dallas and other Texas cities.
The new building is planned to be 2.5 million square feet, about 500,000 square feet larger than the current facility, with 10% more exhibit hall space, more than double the amount of meeting room space and nearly triple the amount of ballroom space. The number of parking spaces would remain around 2,000, with a split of underground and above ground options.
The city plans to use bond money to cover the costs of construction and to pay off those bonds through revenue generated from two new sources, including a 2022 voter-approved increase in taxes collected from Dallas room rentals. The two funding methods to pay for the convention center and related projects are expected to bring in almost $4 billion over 30 years.
The state approved the city’s request in 2021 to keep a portion of the state’s percentage of hotel sales taxes, hotel mixed beverage taxes and hotel occupancy taxes collected from businesses within a 3-mile radius of the convention center. It will last until 2051 and is expected to bring in $2.2 billion.
Separately, Dallas voters in November 2022 authorized the city to raise the amount of hotel occupancy taxes collected from customers of hotels, motels and short-term rentals from 13% to 15%. The increase is expected to bring in $1.5 billion over 30 years, with $1.2 billion slated for the convention center replacement and up to $300 million to renovate Fair Park’s Cotton Bowl, Coliseum, Automobile Building, Band Shell, Centennial Building and Music Hall.