To approve a Hotel Occupancy Tax Grant Agreement for calendar years 2028-2032 by and between the City of Plano, Texas, and Kintetsu Enterprises Company of America dba Miyako Hotel, a California corporation; and authorizing its execution by the City Manager or his authorized designee. Approved

A request from Kintetsu Enterprises Company of America to build a Miyako Hotel in the City, thereby generating additional local sales tax and hotel occupancy tax revenues and increasing ad valorem tax values to the City. Kintetsu Enterprises Company of America agrees to construct and occupy a 215,000 square-foot, 10-story Miyako Hotel at the northwest corner of Legacy Drive and Corporate Drive and add a minimum fair market value of $75,000,000 of new real property improvements on the real property and use the real property as a hotel during the term of this Agreement. Expenditure of the grant funds will be in conformance with the Tax Code and will be limited to advertising, solicitation, and marketing programs to promote tourism and the convention and hotel industry to attract tourists and convention delegates or registrants to Plano.

Property Location

Funding of this item will result in the City of Plano providing an annual grant payment to the hotel owner in the amount of $70,000 beginning December 1, 2028 for a total of 5 years. The total amount to be paid over the 5 years is not to exceed $350,000. The grant funds will be paid from Hotel Occupancy Tax revenues. This agreement is a companion agreement to the Economic Development Incentive Tax Rebate agreement with same hotel owner.

Approval of this item supports the City's Strategic Plan Critical Success Factors of Residential and Commercial Economic Vitality and Excellent, Innovative, and Accountable City Government.