Today, the El Paso City Council approved incentives for the redevelopment, rehabilitation and renovation of the historic building commonly known as 1 Texas Tower, located at 109 N. Oregon Street, owned by El Pasoan, Jim Scherr.
The City authorized a $2.1 million performance-based incentive funded through the provision of rebates on new tax revenue created by the developer’s investment. In addition to the City’s incentive, the project could receive a 10-year 100 percent rebate on the State’s Hotel Occupancy Tax and Sales and Use Tax, generated from hotel operations through the State Convention Center Hotel Program.
“We are very pleased about the City’s support to rehabilitate the 1 Texas Tower that will become instrumental in enhancing our Downtown core,” said Scherr, who plans to renovate the more than 100-year-old landmark building into a modern, urban Hampton Inn & Suites by Hilton. Elma Carreto is the developer of the project who also worked on the Double Tree and Courtyard Marriott in Downtown.
Scherr has committed to invest a minimum of $18 million into the project. The ground floor will include retail and restaurant space. The beloved Café Central will remain.
“Our city is fortunate to have remarkable support from the community and commitment from the El Paso City Council for reactivation of historic buildings. 1 Texas Tower is the seventh renovation of a notable structure supported by City Council through financial incentives,” said Senior Deputy City Manager, Tracey Jerome. “The total investment in all these projects is more than $224 million.”
Other historic renovations made possible by City investments include the Plaza Hotel, Paso del Norte Hotel, Bassett Tower, Martin Building, Stanton House, and Kress Building.
The City is currently working with the private sector on additional preservation projects including the De Soto Hotel. Jerome said all the previous and current actions demonstrate the Council’s resolve to restore our community’s treasured historic structures.