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Kennewick council approves hotel transfer, parking and development agreements for 3 Rivers project
Summary
On May 6, 2025 the Kennewick City Council unanimously approved three contracts that assign hotel purchase rights, establish reciprocal parking, and set construction obligations for the 3 Rivers Entertainment District hotel and related convention center expansion.
The Kennewick City Council on May 6 unanimously approved three agreements to advance a hotel tied to the city’s 3 Rivers Entertainment District and the convention center expansion.
The council approved a sixth addendum to a purchase-and-sale agreement that assigns Parcel A’s purchase rights to A13 Rivers Hotel LLC; a reciprocal parking licensing agreement among the city, the Kennewick Public Facilities District and A13 Rivers Hotel LLC for shared spaces; and a development agreement that lays out construction responsibilities and cost allocations. All three motions passed 7-0.
Why it matters: the approvals formalize who will develop the hotel parcel, how parking will be shared once retail associated with the hotel is built, and which party is responsible for overlapping on-site construction costs and timing. City staff told council the hotel developer has secured financing and created A13 Rivers Hotel LLC to take over the purchase rights previously held by A1 Pearl Development Group.
Details of the agreements: city staff said the reciprocal parking agreement anticipates roughly 94 shared parking spaces tied to the hotel’s retail component and the convention center; it assigns maintenance responsibilities and clarifies that, when the convention center is not holding events, the hotel entity would handle snow removal or similar duties for those shared areas. The development agreement allocates pre-site and on-site development costs among the parties and includes a timeline intended to align project construction.
Council process and votes: staff presented each report, council members asked clarifying questions about the developer entities and timeline, and motions were made and seconded before each vote. Mayor Pro Tem Torelli moved the addendum and the reciprocal parking agreement; Council member Anderson seconded the addendum and Council member McShane seconded the parking agreement. Council member Milbauer moved the development agreement; Mayor Pro Tem Torelli seconded it. The roll calls returned unanimous approval on all three items.
Votes at a glance - Sixth addendum to purchase-and-sale agreement (agenda item 5A): motion to approve assignment of purchase rights to A13 Rivers Hotel LLC. Mover: Mayor Pro Tem Torelli. Second: Council member Anderson. Outcome: approved, 7-0. - Reciprocal parking licensing agreement (agenda item 5B): motion to approve shared-parking agreement among City of Kennewick, Kennewick Public Facilities District and A13 Rivers Hotel LLC. Mover: Mayor Pro Tem Torelli. Second: Council member McShane. Outcome: approved, 7-0. (Staff described ≈94 shared spaces tied to future retail.) - Development agreement for transfer of Parcel A (agenda item 5C): motion to approve construction and cost-allocation agreement among the City of Kennewick, Kennewick Public Facilities District and A13 Rivers Hotel LLC. Mover: Council member Milbauer. Second: Mayor Pro Tem Torelli. Outcome: approved, 7-0.
What's next: staff indicated the agreements are intended to keep the project on a coordinated timeline; council and staff did not set specific contract-implementation dates during the meeting. The council scheduled a tentative groundbreaking for the convention center expansion for May 20, according to the city manager's later remarks.
Sources: staff reports and council motions presented at the May 6, 2025 Kennewick City Council meeting.
