KEARNEY, Neb. (KSNB) The money needed to build sewer, water and roads infrastructure for a new hotel and convention center will come from a special tax.
Kearney city manager Mike Morgan told Local4 that a General Business Occupation Tax (GBOT) will be used to raise the money for the infrastructure improvements.
Only customers who use the hotels and restaurants owned by Kearney businessman Paul Younes would pay the 1% tax. The money will be used to pay the costs of building infrastructure up to $3.8 million dollars.
Younes' Kearney Investment Corporation, which owns the current Holiday Inn, plans to build a new Holiday Inn and a convention center on a ten-acre site just west of the Hampton Inn and north of Talmadge street in south Kearney.
The Kearney city council earlier this summer designated the site as an Employment Empowerment area, which will allow for the GBOT.
A city council memo indicates the new hotel would be five stories and contain 164 rooms. The hotel would include an indoor swimming pool, restaurant, lounge, coffee shop and gift shop.
The convention center would be 100,000 square feet and would be able to hold up to 2,500 people. Parking around both facilities is also part of the project.
Tax Increment Financing has also been approved for the so-called Younes Redevelopment project.
The city council memo indicates the project would bring about 75 new jobs to Kearney.