New talk on old issue: convention center hotel

New talk on old issue: convention center hotel

September 21, 2006

By AMELIA DANIELS
6 News Reporter

KNOXVILLE (WATE) -- The city of Knoxville is standing behind a 2004 decision by voters to not spend taxpayer money on a downtown hotel. 

This decision is in spite of a strong push by a private hotel firm.

Documents obtained by 6 News detail a proposal to build a four-star hotel on the World's Fair Site. But developers may have to work around the will of the people.

Private developers want the city to fund a 500-space parking garage. On top of it, the firm would build a hotel tied to the convention center.

While the city says it has no plans to cooperate, the private developers are seeking support from within.

"A couple of weeks ago, I was called and had a meeting with Mr. Sherrod," says city councilman Robert Frost.

He says local businessman Harry Sherrod gave him a proposal outlining the development of the four-star hotel.     

At first glance, Frost says the proposal looks good.

John Q. Hammons Hotels and Resorts, based out of Missouri, would build the 250-room facility.   

The proposal even suggests using the Sunsphere for hotel dining services.     

Frost says it could be a moneymaker for the city. "The convention center is under-utilized. We have it and we need to make the best of it."

But Frost says it won't happen at the expense of violating the 2004 hotel referendum, which prohibits the city from spending tax dollars on a convention center hotel.

"We must make sure if this is going anywhere, that it's good for the citizens, it's good for the city government and it complies with the referendum that was passed, pure and simple!" Frost says. 

6 News contacted the mayor's office. Officials say they're aware of the interest, but they haven't issued a request for proposals and they're not even considering it.