KISSIMMEE, Fla. – Kissimmee leaders are continuing their push to make the city a premier destination for tourists and professionals by approving an $180 million-plus redevelopment of the civic center site, transforming it into a luxury hotel and a state-of-the-art convention center.
“We already have people calling to see if they could book three years from now,” Kissimmee Mayor Jackie Espinosa told News 6 a day after the city commission unanimously approved the move.
The agreement, with Azure Hotel International, is one Espinosa is sure is a generational investment in the city.
“I think it’s going to change our dynamics, our landscape, forever and a day,” she said.
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The project will replace the existing Kissimmee Civic Center with a 10-story, 300-room luxury hotel, part of the Preferred Hotels & Resorts portfolio. Amenities will include restaurants, a rooftop pool and bar, spa facilities, retail space and direct shuttle service to Kissimmee Gateway and Orlando International airports.
The developer will also deliver a new 45,000-square-foot convention center constructed without public debt. The city and community will have designated days to use the space at no cost.
Azure guarantees an annual lease payment of $2.5 million with yearly escalators, ensuring the city recoups its contributions within five years. The agreement also includes a 5% profit share of the hotel’s net operating income and free access to meeting space for the city.
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“I think it’s going to be a great economic boost for our downtown merchants and storefronts. So I think it’s going to be a win-win for everyone,” Espinosa said.
Local business owners feel the same.
“I completely love it. I’m in agreement with it. It’s going to bring a lot of business to those who want it. And we’re ready for it,” Owner of TiTi Jessica’s New Yorican Restaurant Jessica Lorenzi said. “It made me really excited because I know that’s going to be a plus for my business and more so for the community. I’m also opening up a deli down the block, so that’ll help us out also.”
The development is expected to generate $5 million to $6.5 million annually in property taxes, create 400 construction jobs and provide between 150 and 250 permanent hospitality jobs for local residents.
“I believe our big thing, going into this term, is Kissimmee is open for business. And we’re definitely letting people know we are open and that the future looks bright,” Espinosa added.
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News 6 reached out to the Puerto Rican Chamber of Commerce, which represents hundreds of local businesses, to discuss the news. Chamber President Jorge H. Figueroa said this development represents not only growth but also new opportunities for local small businesses to participate, contribute and benefit.
“I am especially proud that this vision was born from our very own Chamber Vice President, Ricardo Vélez, Founder and CEO of VELZ Group Development Company. As Mayor Espinosa highlighted in [Tuesday’s] City Commission meeting, Ricardo’s leadership, professionalism, and excellence, and that of his team set the tone for what this project will mean for Kissimmee,” Figueroa said in a statement.
“The success of the Azure Hotel project is a testament to the effectiveness of the Puerto Rican Chamber of Commerce of Central Florida. It shows how far our entrepreneurs can go when they take full advantage of the platform, resources, and opportunities the Chamber provides. This is a proud moment for our community, and we look forward to seeing the positive ripple effects this project will create for years to come.”
Construction is expected to take about 36 months once it begins, with the goal of opening in 2028.