HDLC Approves Sugar Mill Site Demolition for Omni Project

By Kelly Hite

March 11, 2026

NEW ORLEANS – The Central Business District Historic District Landmarks Commission (HDLC) voted March 11 to approve a recommendation for demolition of the former Sugar Mill site across from the Ernest N. Morial Convention Center along Convention Center Boulevard, clearing an early hurdle for the planned Omni New Orleans headquarters hotel project.

The former Sugar Mill site is named for a historic sugar refinery once operated there by American Sugar Refining Co., known for its Domino Sugar brand, during New Orleans’ 19th-century sugar trade era, though the industrial facilities were demolished decades ago and the parcel has remained largely undeveloped.

In a statement, the New Orleans Ernest N. Morial Convention Center said the vote marks “an important step forward for the redevelopment of the site into the Omni New Orleans.”

Convention Headquarters Hotel – Omni New Orleans

The proposed Omni New Orleans would serve as a large convention headquarters hotel located across from the Ernest N. Morial Convention Center, a development long viewed by tourism and hospitality leaders as critical to strengthening the city’s competitiveness in the national meetings and convention market.

Current plans call for a hotel with roughly 1,000 rooms, making it one of the largest hotels in New Orleans. The development is expected to include about 100,000 square feet of meeting space, multiple restaurants and bars, a rooftop pool deck, a spa and a parking garage.

Supporters say the headquarters hotel would allow the convention center to attract more large-scale events that require substantial room blocks located immediately adjacent to meeting facilities.

Economic Impact

Economic projections associated with the project estimate it could support approximately 1,400 permanent jobs once operational while generating about $213.6 million in annual economic impact and roughly $25 million per year in state and local tax revenue.

Industry estimates also suggest the additional hotel capacity could enable roughly 27 additional conventions or major events annually at the convention center.

The Ernest N. Morial Convention Center is tied for the sixth-largest convention center in the United States, offering 1.1 million square feet of exhibit space on one level. Since opening in 1985, convention center events have generated approximately $93.2 billion in economic impact for the region, including about $6.2 billion in state and local tax revenue.

HDLC: Timeline and Approvals

Construction has not yet begun. Current projections suggest groundbreaking could take place before the end of 2026, with the hotel potentially opening around 2029.

The demolition recommendation approved by the CBD Historic District Landmarks Commission is one of several regulatory steps the project must complete before construction can move forward. Additional approvals related to zoning, variances and other development requirements are still expected as the project advances through the city review process.

Financing and Policy Review

The proposal has also drawn attention from policy analysts. A Dec. 2025 report from the Bureau of Governmental Research examined the project’s financing structure, noting that the development could receive significant public subsidies and tax rebates over time while recommending that some incentives be reevaluated.

Convention Center Authority

The Ernest N. Morial New Orleans Exhibition Hall Authority finances, constructs and operates facilities designed to attract conventions, trade shows and other events that support the economy of both Louisiana and the New Orleans region. The authority is governed by a 13-member board of commissioners, with 10 members appointed by the governor of Louisiana and three appointed by the mayor of New Orleans.

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