Council members unanimously approved the public-private financing plan in a final vote.
NASHVILLE, Tenn. - The Metro Council unanimously voted Tuesday night to approve a financing plan for the proposed Omni Hotel.
The 25-story structure will be built on Fifth Avenue South, sitting next to the Music City Center convention center and directly behind the Country Music Hall of Fame.
The project which was originally estimated two months ago to cost $250 million, is now expected to cost $273 million.
Council members voted 33-0 in a final reading of a public-private financing plan, which has Metro giving Omni $25 million in financing for the hotel.
The city would then pay $103 million over 20 years. All of this money would come from tourism taxes.
Some Metro council members said it's a good deal considering the need for another hotel and Omni's investment.
"Omni's coming in and writing a $250 million check to build the hotel, so this is a tax incentive that they would be getting," said Councilman Rip Ryman.
The 800-room Omni Hotel is scheduled to open in 2013, just a few months after the Music City Center is expected to open.
The $585 million 1.2 million square-foot convention center is already under construction downtown just south of the Sommet Center, in an area bordered by Demonbreun Street to the north, Korean Veterans Parkway to the south, 5th Avenue to the east and 8th Avenue to the west.