In January 2000, Lancaster County Commissioners imposed a 3.9% tax on hotel room rentals to generate the funding necessary to construct and market the convention center.
Twenty percent of the revenue from this tax is used to fund campaigns aimed at attracting convention center visitors and tourists.
In March 2000, local hoteliers filed the first of several lawsuits challenging the constitutionality of the hotel room tax.
As a result of litigation, the LCCC was put on hold for three years.
In April 2003, the project was substantially redesigned and enlarged, and a new marketing report was completed in 2006.
In early 2006, Penn Square Partners sold the former Watt & Shand property to the Redevelopment Authority of the City of Lancaster.
The building, which originally sold for $1.25 million, was purchased by the city for $7 million.
Construction bonds are expected to be repaid with lease payments from future earnings of the hotel.

Although original proposals for the convention center project focused on the adaptive reuse of the historic Watt & Shand building, which was listed on the National Register of Historic Places, only the façade was retained and the entire building was demolished in 2006 and 2007.
The reason given by the LCCCA, and Tom Smithgall of High Industries, master planner for the project, was that the building could not be rehabilitated.
In January 2000, Lancaster County Commissioners imposed a 3.9% tax on hotel room rentals to generate the funding necessary to construct and market the convention center. Twenty percent of the revenue from this tax is used to fund campaigns aimed at attracting convention center visitors and tourists. In March 2000, local hoteliers filed the first of several lawsuits challenging the constitutionality of the hotel room tax. As a result of litigation, the LCCC was put on hold for three years. In April 2003, the project was substantially redesigned and enlarged, and a new marketing report was completed in 2006. In early 2006, Penn Square Partners sold the former Watt & Shand property to the Redevelopment Authority of the City of Lancaster. The building, which originally sold for $1.25 million, was purchased by the city for $7 million. Construction bonds are expected to be repaid with lease payments from future earnings of the hotel.
Although original proposals for the convention center project focused on the adaptive reuse of the historic Watt & Shand building, which was listed on the National Register of Historic Places, only the façade was retained and the entire building was demolished in 2006 and 2007. The reason given by the LCCCA, and Tom Smithgall of High Industries, master planner for the project, was that the building could not be rehabilitated.
Lancaster County Convention Center