Lawrence, Kan., has agreed to a $94.6 million tax incentive package to help phase two of the University of Kansas’ (KU) Gateway Project come to fruition. The project aims to transform the stadium area into a mixed-use development worth approximately $800 million.
Phase one, valued at $448 million, will include significant renovations and construction of a 55,000 square foot conference center, which was funded by a state contribution of $85 million. The phase is expected to be completed this month.
The incentives approved for phase two will cover rebuilding the east side of the stadium and adding a mixed-use development adjacent to it. KU Chief Financial Officer Jeff DeWitt believes the conference center alone will bring in significant revenue, as attendees often visit local restaurants during conferences.
Phase two plans include a parking garage, student housing, retail, restaurants, an outdoor entertainment plaza, and a hotel. Vice Mayor Brad Finkeldei expressed support for the hotel, citing its importance in making the convention center successful.
However, not everyone is convinced about the project’s impact on the neighborhood. Some residents worry that the development will destroy the local community, while others praise the incentives package, noting that private developers receive similar funding mechanisms.
The city’s incentives include multiple types of bonds: STAR bonds (71% of bond funding), TIF (23%), and CID (6%). These projects redirect sales tax revenue towards paying off the bonds. The remaining cost will be covered by the university or private developers, with an estimated $346 million needed for phase two.
The approval of these incentives marks a significant step forward in the Gateway Project’s development, as it addresses concerns about funding and brings the project closer to completion.
Source: https://www.kctv5.com/2025/08/13/lawrence-approves-946-million-tax-incentive-package-ku-stadium-development