News Summary
Knoxville is set for significant downtown changes with new hotel projects from Vector Hospitality, Inc., including the AC by Marriott and Moxy Hotel. The Tempo by Hilton project has been scrapped due to land acquisition by St. John’s Episcopal Church, raising concerns about urban growth and tax revenue. While the AC by Marriott is on track for a winter 2026 opening and the Moxy Hotel moves forward with a winter 2027 timeline, community sentiment reflects disappointment over the halted Tempo project, highlighting the importance of maintaining hospitality growth in Nashville.
Knoxville Announces New Hotel Developments Amid Setbacks
Knoxville is set to undergo significant changes in its downtown landscape with the announcement of three new hotel projects by Vector Hospitality, Inc. The hotels include the AC by Marriott, the Tempo by Hilton, and the Moxy Hotel, each contributing to the area’s growth and tourism potential.
The AC by Marriott is currently under construction on Walnut Street, sticking to its original timeline, with a projected opening date in winter 2026. The hotel will feature seven stories, offering a total of 162 rooms, along with a rooftop lounge and kitchen accessible to the public. Construction progress is visible, including a substantial retaining wall, footers, and rebar installation, which indicates that foundational work is well underway.
Tempo by Hilton Project Scrapped
In a notable setback, the proposed Tempo by Hilton project has been halted after St. John’s Episcopal Church purchased the building site at the corner of Church and Walnut for over $11 million, primarily for parking purposes. This acquisition has raised concerns among community members, as the loss of a large hotel could have provided increased tax revenue and enhanced downtown vibrancy.
There is speculation about a potential “backup plan” for the Tempo project, although the specifics remain undisclosed. As it stands, the church’s decision has sparked disappointment, particularly among those who believe the revitalization of downtown should include new hospitality offerings.
Progress of the Moxy Hotel
Despite rumors about its cancellation, the Moxy Hotel project is moving forward. Designed to be seven stories tall with 175 rooms, the hotel will also include various beverage outlets, such as a rooftop lounge. The anticipated opening for the Moxy Hotel has shifted to winter 2027, providing a glimpse of optimism amid the recent changes in plans for other developments.
Economic Implications of Recent Changes
The recent acquisition of land by St. John’s Episcopal Church has raised concerns about lost tax revenue and increased surface parking in downtown Knoxville. Local residents and city planners are particularly worried about the possible rise in urban heat due to more surface lots. These developments could impact the long-term vitality of downtown as it seeks to balance the need for parking with the desirability of new hotels and hospitality ventures.
Additional Developments in the Area
In addition to the hotel projects, Knoxville is seeing ongoing development activity with a new Home 2 Suites hotel currently under construction in the 1100 block of Clinch Avenue, aimed at bridging the gap between downtown and the University of Tennessee. This new hotel further signifies the city’s commitment to expanding its hospitality offerings. Furthermore, Yassin’s Falafel House has temporarily relocated to Marble City Market as their original Walnut Street location is being transformed into a Holiday Inn Express.
Community Sentiment
The overall sentiment in the Knoxville community reflects disappointment regarding the halted Tempo by Hilton project. Residents express concern about the city’s direction in urban growth, especially in light of ongoing housing challenges. The opportunity for significant hotel developments is seen as critical for enhancing the local economy and meeting the needs of a growing population.
With the AC by Marriott under construction and plans for the Moxy Hotel still on track, Knoxville’s downtown may still see substantial hospitality growth. However, the impact of the Tempo project cancellation remains a point of contention as the city navigates its future development strategy.
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Additional Resources
- Knox News: Knoxville Construction Near World’s Fair Park
- Inside of Knoxville: Downtown Development Updates
- WBIR: Gay Street Hotel Development Goals
- WATE: Knoxville Andrew Johnson Building Hotel Update
- Knox News: Downtown Knoxville Yassin’s Falafel Restaurant Construction
- Wikipedia: Knoxville, Tennessee
- Google Search: Knoxville hotel developments
- Google Scholar: Knoxville hotel projects
- Encyclopedia Britannica: Knoxville
- Google News: Knoxville hotels
Author: STAFF HERE KNOXVILLE WRITER
KNOXVILLE STAFF 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.
