The City of Paducah is announcing that it is dissolving its partnership with Louisville-based Weyland Ventures. Both parties signed a development agreement in 2020 with the developer to construct, as part of the first phase of the project, a boutique hotel on the Jefferson Street section of the downtown Paducah block bounded by Second Street, Broadway, Water Street, and Jefferson.
Mayor George Bray said, “A vibrant downtown Paducah remains our primary focus. The City and Weyland Ventures have mutually agreed to dissolve the partnership as both parties feel that this is the best course of action to move the City forward. The City protected itself with a clause in the development agreement to ensure we would remain in control of the land if the project did not come to fruition. We will immediately go through the process with Weyland of returning that section of the block to the City. The rest of the block is under city ownership. The land closest to Broadway, with unimproved parking, never transferred to Weyland. That section of the block is currently under evaluation for an accelerated upgrade.”
Over the past year, the central portion of the block was revitalized with green space, a public promenade, and an improved parking area.
Regarding Paducah’s Tax Increment Financing District (TIF), the construction of a boutique hotel originally played a part in the $20 million minimum capital investment as required by the State. However, public and private investments across the TIF district are nearing the $20 million milestone, without the input of the hotel construction.
“The attractiveness of Paducah’s historic and highly active downtown to entrepreneurs, developers, and investors alike is well documented, and we will continue to evaluate the future use of the Jefferson Street frontage. Paducah is on track to achieve its TIF initial investment goal by March 2025. Plus, there are multiple projects under consideration in downtown including a new hotel next to the convention center and the possible development of the former U.S. Bank building. All of which the city is working to support in any way possible,” added Mayor Bray."
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