· Context
Council approves a Chapter 380 agreement with Herring Hotel Partners, 4-0
Before the TIRZ #1 board took up its own Herring Hotel incentive in January 2026, the council approved a City Chapter 380 economic development agreement with Herring Hotel Partners, LLC for the historic hotel at 311 SE 3rd Ave. The vote was 4-0, after Councilmember Tim Reid had left the meeting. The agreement rebates the City's hotel occupancy tax (100% for five years, then 50% for five) and, subject to State approval, the State's sales and hotel occupancy taxes for 10 years. Payment depends on at least $90 million in private investment and completion of a hotel of about 200 rooms.[1][2][3]
Les SimpsonDon TippsCole StanleyDavid PrescottAndrew FreemanTim ReidHerring Hotel Partners, LLC
What the sources say
- ✓ Verified
Deputy City Manager Andrew Freeman presented the item. The minutes note that Tim Reid left the meeting at 9:05 p.m. and did not return. Les Simpson moved and Don Tipps seconded to approve the Chapter 380 agreement 'as presented'. Cole Stanley, Don Tipps, David Prescott and Les Simpson voted aye, with none opposed; the minutes record 'Motion with a 4:0 vote' and omit the word 'passed'.[1]
- ✓ Verified
Under the staff memo, the agreement rebates 100% of the City's share of hotel occupancy tax for five years and 50% for the next five years. Subject to State approval, it also rebates 100% of the State's share of sales tax and of hotel occupancy tax for 10 years. The building permit fee is capped at $200,000. The developer would transfer the east-side property to the City for 50 years and lease it back, a step the memo says is needed to qualify for the State rebates, and the City grants a four-year option on the property to the south. The developer commits to at least $90 million of investment, about 200 rooms in a four-star or higher soft-brand hotel, and at least 100 permanent jobs with a minimum payroll of $4 million. The memo says the incentives would be paid from revenue generated by the property.[2]
- Min investment
- $90,000,000
- Permit fee cap
- $200,000
- Min jobs
- 100
- Min payroll
- $4,000,000
- ✓ Verified
Todd Harmon, Herring Hotel Partners (quote); ABC 7 Amarillo (figures): ABC 7 reported on November 4, 2025 that the council had recently approved an agreement for a $100 million restoration of the Herring Hotel into a 226-room hotel targeted to open in 2029, financed by investors, loans, private equity and city incentives. Todd Harmon, managing member of Herring Hotel Partners, said: 'No one else is having tax revenues affected or used on this project.'[3]
- ⚠ Sources differ
Sources give different figures for the project's size.