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Economic Impact of the Dickson Street Hotel

By: Jenna Swope

FAYETTEVILLE, Ark. (UATV)  — A new hotel is being constructed on Dickson Street. The hotel will be one of the new additions to the Civic Plaza. The civic plaza is the space that used to be a parking lot on West Avenue. The changes to the Civic Plaza are in part of the renovations to create The Ramble. The Ramble is a project by the City of Fayetteville to create innovative and useful spaces around the downtown area. 

The construction of the Dickson Street Hotel began November 2023. The project is being funded by the city of Fayetteville through a $226 million dollar infrastructure bond passed in 2019. The hotel will be the south building of The Ramble renovations. The north building is the parking deck across from the construction site.

The Director of Economic Vitality for the city of Fayetteville Devin Howland said, “By having a hotel on that site, we’re bringing in visitors from out of town that are actively looking to spend money on dinner, actively looking to purchase and spend their dollars in downtown Fayetteville.” 

Howland said this construction site will bring more business and foot traffic to the Dickson Street area. 

“We’re going to have a rippling economic impact because folks are going to spend money in the area,” said Howland. “Folks are going to come and stay that want to walk to the Wall Art Center or walk to TheatreSquared, to enjoy an evening walk to Dickson Street or even beyond.”

There are currently only two hotels located near Dickson Street in downtown Fayetteville. 

Howland said, “We’re adding just to the overall density of out of town folks that are able to stay down there.”

While the Dickson Street Hotel’s goal is to provide more business and stimulate economic growth, some restaurants near the construction site are currently feeling an impact. 

Jason Collins, the owner of Grub’s Bar and Grille said, “Obviously people are accustomed to parking across the street from here and coming in here, and there’s not much construction going on right now. They’ve been working on it for the last four months.”

Grub’s Bar and Grille is located directly across from the construction site on West Avenue. Collins said the lack of immediate parking is currently hurting his business. 

“Our lunch sales have gone down, our dinner sales have gone down but I am hoping they will climb back up eventually,” said Collins. 

Collins said that he didn’t understand the removal of a parking lot. 

“Now when people want to come in here they have to park two blocks away, another parking deck,” said Collins. “We do see an impact on that already.”

Despite the current situation the construction site might be causing Grubs Bar and Grille, Collins said he expects the hotel to benefit his business. 

“When it’s finished it’ll definitely be a positive impact compared to what it is now,” Collins said.

The construction of the Civic Plaza and the Dickson Street Hotel are expected to be finished in a couple years. The hotel plans to hold around 120 guests. 

“It’s not just this hotel, we’re going to see more. This won’t be the only one we put downtown.You’ll see another one within the next five years. I’m very confident about that, ” said Howland.