Dubuque plans major hotel expansion to boost tourism

The Dubuque City Council has taken a significant step towards enhancing local hospitality with the approval of a development agreement with Kinseth Hospitality Company, Inc. The agreement, discussed during a recent public hearing, proposes the construction of two new hotels in the port of Dubuque, aimed at bolstering the city’s tourism and event hosting capabilities.

City Manager Mike Van Milligan and Economic Development Director Jill Connors presented the proposal, highlighting Kinseth's extensive experience in the area, having already developed three hotels in Dubuque, including the Hampton Inn and the Downtown Holiday Inn. The new project will consist of a Courtyard by Marriott or AC Marriott Hotel and a Residence Inn by Marriott, featuring approximately 160 rooms combined. The total investment for this development is projected at $30 million.

The city will sell approximately two acres of land for $800,000, with Kinseth required to complete the project by December 31, 2026, or face penalties. The agreement includes a 10-year tax increment financing rebate to support the development, which is expected to generate additional hotel room demand, particularly for events at the Grand River Center and other local attractions.

The need for more hotel accommodations has been underscored by the anticipated increase in tourism, driven by new projects in the area, including the Field of Dreams site, which is expected to generate significant hotel room demand through youth sports events and other activities. Estimates suggest that the Field of Dreams project alone could create up to 100,000 new hotel room nights annually.

The council's decision reflects a strategic move to enhance Dubuque's appeal as a destination for larger events and conferences, ultimately aiming to boost local economic growth and support the hospitality sector. With no competing proposals submitted, Kinseth's established presence and success in the market position them as a strong partner for this initiative.