Kansas City, Missouri – For years, the Country Club Plaza has been one of Kansas City’s most recognizable destinations. But behind the familiar storefronts and historic streets, the district has been losing ground: since 2020, it has shed nearly half of its appraised value, while dozens of businesses have closed and long-running special events have disappeared.
Now, a redevelopment plan that has been debated for months is moving forward, with Port KC backing a 15-year effort that could reshape 19 blocks of the century-old commercial district.
The Board of Commissioners of the Port Authority of Kansas City voted to advance the proposal, which calls for nearly 1,000 new residential units, 1.7 million square feet of commercial and retail space, and new and modern hotel options. The vote also authorizes Port KC’s intent to issue bonds for the project.
The decision follows more than 10 months of negotiations involving Kansas City Public Schools, city and Port KC staff, and other taxing jurisdictions. A central issue was how to redevelop the Plaza without reducing money flowing to schools and other local governments.
“The Plaza is a crown jewel of our region, but so are our children,” said Mayor Quinton Lucas.
“Today’s action finally moves the Country Club Plaza into the 21st Century, ensuring that the Plaza will be positioned to compete for the finest commercial, residential, and convention opportunities in the Midwest. It also ensures our schools and libraries will share in the Plaza’s growth and redevelopment.”
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Under the proposed financing structure, known as a PILOT, or payment in lieu of taxes, payments would begin in 2027. The agreement is designed to maintain revenue for affected jurisdictions during construction while allowing those payments to grow as new development is completed.
Over the life of the agreement, schools and other taxing jurisdictions are expected to receive more than $234.5 million in guaranteed base payments, with annual growth built in. Another estimated $46.5 million would come as new buildings are completed, bringing projected total payments to more than $281.1 million for schools, the city, the county and other jurisdictions.
The plan also includes a $5,000 contribution to Kansas City’s Housing Trust Fund for each residential unit built.
The redevelopment is not yet at the construction-financing finish line. Port KC will continue negotiating a Master Memorandum of Understanding with the developer, and formal bond approval for each construction phase must return to the board. The first phase is expected to come before commissioners this fall.
