Why we should not have a new hotel funded with tax rebates

My concerns are the existing businesses that compete against this not only state sales rebate blessed business but likely also county property tax rebated blessed business.

I am not sure what taxes the city will rebate but likely will.

With a rebate on the taxes, after they are paid first, of up to $75 Million x 2 or x 3 IF you feel government has to help an specific industry get off the ground to help the economy - this proposal is better than some other options.

The fact that we have an existing same industry of multiple businesses in the target location that don't get the same deal it is totally unfair.

Also a lot of money. $75 Million or $150 Million or $225 Million is tax rebates.

Against.

Update: The final bill that passed the Legislature has money set aside to minimize the damage to other private businesses.

Disclaimer: One of my past clients has property in the area. It would be a benefit to my industry and possibly my firm for a hotel with large meeting room space to be built. The reason for me opposing this plan was because of free market principles and government competing in the private sector, or  picking winners or losers and finally cost.

Can something be done? The size of the Salt Palace Convention Center is a problem, too big and too small at the same time and it has not worked as well as it could with the private sector.

Salt Lake Convention Hotel

A new County Hotel is being looked at even though it could cause the Grand America and others to go under. I have read the past reports sent to the Convention Center about the proposed County Hotel. It was pretty obvious that this connection doesn't work and that the hotels as a whole think the County is competing with them instead of working with them.

I would like to see the Salt Lake Convention and Visitors Bureau work with the existing hotel owners instead of trying to compete with them. They almost ignore both the Little America and Grand America Hotel and that you can ride TRAX free from the north convention center exit to those hotels.

The hotels near the Salt Palace Convention Center should be able to market their individual hotels and the fact that they have all the convention and meeting room space that someone could want with the convention center. The convention center should be able to market with the surrounding hotels to utilize their meeting rooms and convention space if more space is needed.

There are at least 2 adjacent Hotels to the Salt Palace. The 381 room Radisson Hotel Salt Lake City Downtown recently spent about $7 Million upgrading their hotel.

http://www.sltrib.com/sltrib/money/54557826-79/salt-lake-radisson-hotel.html.csp


There is also the Salt Lake Marriott Downtown at City Creek across the street. I believe it has at least 510 rooms with a complete renovation in the last 5 years.


One could easily be the "Convention Hotel", and create the ability for someone to check off that box on their decision sheet on where to have their next event.


For the few days a couple of times a year where the hotels are too full, why don't we do what we did for the Olympics? We have brand new condos right next door. How many would rent them out for a few days twice a year? That would have to be coordinated, but could help.


For those that really want the 5 Star Hotel, we already have one of the best, The Grand America, within a free TRAX ride, or coordinated private transport from the Convention Center.

We don't need to pump $100 Million (or even $33 M)  of tax payer money into a new Hotel to compete with the private sector, or provide that kind of funding for a private hotel competing unfairly.