The New Orleans City Council has approved a 45-year tax incentive deal for the proposed Omni Hotel near the convention center.
The payment in lieu of taxes agreement, also known as PILOT, is based on the tax rates at nearby hotels.
The deal is projected to bring in about $3 million annually for the city.
The Louisiana State Bond Commission moved forward with the plan in September after giving the go-ahead on an $80 million loan.
The planned 27-story, $600 million hotel will feature 1,000 rooms and be built across from the Morial Convention Center at the old Sugar Mill site.
The Morial Exhibition Hall Authority has committed $120 million in funding for the project.
READ MORE:New Orleans City Council approves tax incentives for Omni Hotel
