Knoxville TN, October 22, 2025
News Summary
Knoxville is set to enhance its urban landscape with the construction of a new plaza at the Gay Street Bridge, alongside multiple new apartment complexes and hotel developments. A $2 million stabilization repair for the bridge will allow limited access for pedestrians and cyclists by 2025. Additionally, the former Hyatt Regency will transform into Vision at Knoxville, featuring 375 units. A new seven-story complex, 701 E. Hill Knoxville, will cater to professionals. The local hotel market has also expanded significantly, reflecting Knoxville’s thriving real estate scene.
Knoxville’s Downtown Development Update: New Plaza, Apartment Complexes, and Hotel Transformations Underway
Knoxville is undergoing significant urban development with the construction of a new plaza at the north end of the Gay Street Bridge, set to reopen for pedestrian use by the end of 2025. This renovation includes a $2 million stabilization repair on the bridge, allowing limited access for pedestrians and cyclists. The entrance of the bridge will be narrowed to 16 feet and landscaped, removing the need for turn lanes.
In anticipation of traffic changes due to the bridge’s closure in June 2024, the City Council has approved a $96,100 traffic study to analyze the impacts on surrounding areas. The stretch of waterfront from Gay Street along East Hill Avenue to where James White Parkway crosses the river has been named the RiverHill neighborhood.
In further developments, 501 E. Hill Avenue, the former Hyatt Regency, is in the process of being converted into an apartment complex named Vision at Knoxville, which will feature 375 units and retail space. This property was acquired in 2020 for $16.8 million by Melrose Knoxville, LLC, led by California billionaire Neil Kadisha. The University of Tennessee has shown interest in leasing some units for student housing.
The current renovations at Vision at Knoxville are updating the lobby, though completion timelines remain unspecified. Additionally, a new seven-story apartment complex called 701 E. Hill Knoxville is under construction, featuring 194 apartments. This complex is designed primarily for professionals and empty nesters and will include amenities such as a state-of-the-art fitness center, co-working spaces, and an oversized pool with views of the Tennessee River. Groundbreaking for this project took place in July 2024.
In a noteworthy change, the plans for a $100 million science museum at the former Knoxville Police Department headquarters were scrapped in April 2025, leading to the city regaining ownership of the site. The area is now clean and build-ready, featuring newly planted flowers to enhance the community’s aesthetics. A natural area bustling with wildflowers has surfaced at the former site, stirring local curiosity about its origin.
Knoxville’s real estate market is witnessing further transformations with a historic 13-story office building at 607 Market St. now up for sale, offering 123,000 square feet of space. Meanwhile, a 12-story Crowne Plaza hotel has recently been sold for $30.3 million to local developer Sachchidanand Hotel Summitt LLC. The local hotel market has added 1,178 hotel rooms from 2015 to 2024, with room rates rising from $84.84 to $126.15.
Ongoing hotel development in the area includes a Tempo by Hilton project, although some projects are currently halted due to land acquisitions and local decisions. Overall, Knoxville is experiencing steady growth, leading to new properties and evolving urban landscapes.
FAQ Section
What construction is taking place at the Gay Street Bridge in Knoxville?
A new plaza is being constructed at the north end of the Gay Street Bridge as part of the City’s plan to reopen the bridge for pedestrian use.
What is the cost and purpose of the stabilization repair on the Gay Street Bridge?
A $2 million stabilization repair is expected to allow its reopening by the end of 2025 for limited pedestrian and cyclist access.
What traffic study is the City Council funding, and how much will it cost?
The City Council approved a $96,100 traffic study to analyze traffic impacts following the bridge closure in June 2024.
How many apartments will the Vision at Knoxville complex have?
The Vision at Knoxville complex will feature 375 units and retail space.
Who purchased the former Hyatt Regency property, and for how much?
The property was purchased in 2020 for $16.8 million by Melrose Knoxville, LLC, led by California billionaire Neil Kadisha.
What amenities will the 701 E. Hill Knoxville apartment complex feature?
The complex will feature amenities like a state-of-the-art fitness center, co-working spaces, and an oversized pool with views of the Tennessee River.
What was the decision made regarding the proposed science museum project?
Plans for a $100 million science museum were scrapped in April 2025, and the city has regained ownership of the site.
How has the hotel market in Knoxville changed from 2015 to 2024?
The local hotel market has seen the addition of 1,178 hotel rooms from 2015 to 2024, with room rates increasing from $84.84 to $126.15.
Key Features of Knoxville’s Downtown Development
| Feature | Details |
|---|---|
| Gay Street Bridge Renovation | $2 million stabilization repair to reopen for pedestrian and cyclist use by end of 2025 |
| Vision at Knoxville Apartments | 375 units, retail space; Purchased for $16.8 million by Melrose Knoxville, LLC |
| 701 E. Hill Knoxville | New seven-story complex with 194 apartments and various amenities |
| Crowne Plaza Sale | Sold for $30.3 million to local developer Sachchidanand Hotel Summitt LLC |
| Local Hotel Market Growth | Added 1,178 hotel rooms from 2015 to 2024; room rates rose from $84.84 to $126.15 |
Deeper Dive: News & Info About This Topic
HERE Resources
University of Tennessee at Knoxville Announces Major Renovation
Petition Gathers Support for Professor Amid Controversy
Theatre Knoxville Downtown Presents ‘The Birds’
Victorian Séance Experience Comes to Knoxville
Blount County’s Public Art Scene Enhances with New Sculptures
Hyatt Place Opens in Historic Downtown Knoxville
University of Tennessee Extension Receives Funding for Workforce Development
New Sculptures Unveiled in Charles Krutch Park
Independent Cafés Flourish in West Knoxville
Water Service Restored in Knoxville After Major Break
Additional Resources
- Inside of Knoxville: Downtown Development Updates – RiverHill on the Rise
- Multi-Housing News: Braxton Lands $76M Financing for Knoxville Project
- Knox News: Crowne Plaza Hotel in Downtown Knoxville Sold
- Wikipedia: Urban Development
- WBIR: 13-Story Downtown Knoxville Building Up for Sale
- Google Search: Knoxville Development News
Author: STAFF HERE KNOXVILLE WRITER
The KNOXVILLE STAFF WRITER represents the experienced team at HEREKnoxville.com, your go-to source for actionable local news and information in Knoxville, Knox County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Dogwood Arts Festival, Big Ears Festival, and Knoxville Asian Festival. Our coverage extends to key organizations like the Knoxville Area Chamber Partnership and United Way of Greater Knoxville, plus leading businesses in healthcare, education, and energy that power the local economy such as Covenant Health, University of Tennessee, and Tennessee Valley Authority. As part of the broader HERE network, including HEREBristol.com, HEREChattanooga.com, HEREMemphis.com, and HERENashville.com, we provide comprehensive, credible insights into Tennessee's dynamic landscape.
