Title
Future of Phoenix Convention Center Department's South Building
Description
This report provides an update to the Economic Development and the Arts Subcommittee on the Phoenix Convention Center Department (PCCD) conceptual redevelopment master plan.
THIS ITEM IS FOR DISCUSSION AND POSSIBLE ACTION.
Report
Summary
On December 10, 2025, PCCD and Visit Phoenix staff presented a Convention Market Update to the Economic Development and the Arts Subcommittee. The update described the recent success of the PCCD while also listing the competitive cities that are currently investing in their convention and hospitality assets. At the December 10, 2025 meeting, staff was asked to return to the Subcommittee to have further dialogue regarding a potential future expansion of the Phoenix Convention Center.
In October 2022, staff presented the findings from a Market Feasibility Study conducted by the consulting firm Conventions, Sports & Leisure International (CSL). The study assessed convention industry trends while also evaluating the competitive landscape. The study’s findings included a recommendation to explore expanding the Phoenix Convention Center (PCC) in the next six to ten years. On June 13, 2023, the Phoenix City Council's Economic Development and Equity Subcommittee formally adopted the Phoenix Convention Center's Expansion Master Plan. The master plan outlines the future facility needs of the Phoenix Convention Center in addition to highlighting the need for more convention hotel rooms and an entertainment district.
The master plan concentrates on the redevelopment of the South Building site as it is the only viable option for contiguous growth. The South Building opened in 1985 as part of an expansion of the then Phoenix Civic Plaza. Since that time, the building has undergone two major renovations: the first in 1996, and most recently, in 2008 at a cost of $18.5 million as part of the overall $600 million convention center expansion project. On May 7, 2019, the Planning and Economic Development Subcommittee heard information about the South Building and directed staff to bring forward a community outreach plan. The PCCD and Community and Economic Development departments held a series of community outreach meetings to discuss and collect feedback about the future of the Convention Center South Building site. City staff presented information to the community on the history, use and future options of the South Building and site. Feedback collected was presented to the Phoenix City Council in the Fall of 2019.
In fall 2025, PCCD worked with Visit Phoenix to commission Hunden Partners, a national real estate development, tourism, and entertainment consulting firm, to conduct a financial feasibility and economic impact analysis for the PCCD's conceptual expansion master plan. The analysis projects the future demand and financial implications of the proposed expansion and additional hotel rooms as described in the conceptual master plan. The draft report was completed in February 2026. Based on preliminary findings, Hunden Partners analysis projects an expanded PCC with supportive hotel development would result in a seven percent growth in convention attendees and a 20 percent increase in hotel room nights based on historical comparisons. A cumulative impact over 30 years would produce an additional 2.1M hotel room nights and 1.1M convention attendees.
Staff Recommendation
Staff recommends the Economic Development and the Arts Subcommittee authorize staff to pursue updated concepts and cost estimates for the PCC South Building redevelopment.
Department
Responsible Department
This item is submitted by Deputy City Manager Cynthia Aguilar and the Phoenix Convention Center Department.