Kalahari Resorts Eyes $1 Billion Investment in Allen, Texas
February 21, 2025
Updated February 23, 2025 at 4:40 p.m. CST
Allen, Texas, is courting Wisconsin-based Kalahari Resorts and Conventions to build a massive 1.2-million square-foot water park and resort center in the city, just weeks after a wakeboarding park closed in the area. The proposed plans include an indoor and outdoor water park, a family entertainment center, a convention center, and 900 hotel rooms, according to the city. This new resort could employ up to 1,000 people and would be a nearly $1 billion investment.
The Potential Economic Impact
In its first 10 years of operation, the new resort could add more than $5 billion to Allen’s local economy, according to a feasibility study paid for by the city.
Incentive Package
The Allen City Council will consider an incentive package for Kalahari Resorts on Tuesday. The package is expected to include a deal that gives back Kalahari Resorts a percentage of the sales tax it generates in the city, with rebates dependant on certain performance goals, such as those related to employment.
Key Details
- The city is seeking to offer property on the southwest corner of State Highway 121 and Stacy Road, which is under contract with the city’s economic development corporation.
- The project has not yet gone through the city’s planning and zoning procedures.
- Approval of the incentive package and lease agreement would not ensure Kalahari Resorts’ expansion to Allen.
Response from Kalahari Resorts
"We do not have finalized plans at this time, but we are encouraged by the positive discussions with the city and state representatives we’ve had up to this point," Todd Nelson, founder of Kalahari Resorts, said in a statement.
Background
In December, the city terminated a land lease agreement with Hydrous Wake Parks in Allen, citing breaches in the contract. The wakeboard park, which still operates in Little Elm, has said the decision to close was not theirs.
Frequently Asked Questions
Q: What is the proposed project?
A: The proposed project is a 1.2-million square-foot water park and resort center in Allen, Texas.
Q: What is the potential economic impact of the project?
A: The project could add more than $5 billion to Allen’s local economy in its first 10 years of operation.
Q: What is the incentive package for Kalahari Resorts?
A: The incentive package is expected to include a deal that gives back Kalahari Resorts a percentage of the sales tax it generates in the city, with rebates dependant on certain performance goals, such as those related to employment.
Q: What is the status of the project?
A: The project has not yet gone through the city’s planning and zoning procedures. Approval of the incentive package and lease agreement would not ensure Kalahari Resorts’ expansion to Allen.
Q: What is the background on the wakeboarding park?
A: The city terminated a land lease agreement with Hydrous Wake Parks in Allen in December, citing breaches in the contract. The wakeboard park still operates in Little Elm and has said the decision to close was not theirs.
