Kansas City Invites Developers to Revitalize Arabia Steamboat Museum Site with Boutique Hotel and Retail Spaces

Kansas City Seeks Developers for Arabia Steamboat Museum Site

In an exciting twist for residents and visitors alike, Kansas City has put out a call for developers to breathe new life into the iconic Arabia Steamboat Museum site. Located at 400 Grand Blvd., this initiative aims to create a chic boutique hotel and vibrant retail spaces that not only enhance the area but also celebrate its rich history.

Plans in Motion

This week, the City Market Oversight Committee formally issued a request for proposals (RFP), marking a significant shift in plans for the site as the museum approaches the end of its lease. With less than two years to go, the museum’s founder, David Hawley, has already indicated that the museum will not be renewing the lease come November 13, 2026.

The idea behind the new development is to construct a three-star hotel or higher that will cater to tourists, helping to jam-pack Kansas City with overnight visitors. The project also emphasizes the creation of street-level retail spaces designed for local businesses, providing much-needed foot traffic for the bustling community. To keep things convenient and accessible, there are plans for underground parking to accommodate market visitors, tenants, and hotel guests.

Embracing the Charm

City officials made it clear that any new construction must reflect the area’s Art Deco architecture and its distinct industrial vibe. “City Market has been a cornerstone of Kansas City for more than 165 years, offering a dynamic marketplace for local entrepreneurs, farmers, and artisans,” they said in a statement. The redevelopment of the Steamboat Arabia Museum site is seen as a unique chance to blend modern retail and hospitality offerings with the historic charm of the area.

The request for proposals suggests that developers can build into the site’s existing structures, possibly adding two to six stories above the museum’s current space, with a stylish lobby facing Grand Boulevard. They also have the option to extend above the historic 1940s buildings both north and south of the museum, as long as they renovate the existing glass walkways and ensure that retail tenants can stay operational during construction.

Space for Everyone

A detailed study included with the solicitation proposes a 75-space parking garage beneath the new structures—an essential inclusion for boosting ease of access to the River Market area. Furthermore, the attraction of the site, the Vision Fountain, will be relocated from the museum’s entrance to possibly enhance the space along Walnut Street.

This mixed-use project will be subject to a ground lease with Kansas City, which retains ownership of the City Market property. The city’s pursuit of this hotel and retail combination stems from a recent exploration of community interests that ran from late 2023 into early 2024. Their previous call for expressions of interest included ideas for apartments or office spaces, showing just how open they are to creative and innovative proposals.

Looking to the Future

The Arabia Steamboat Museum has been a beloved feature of the City Market since its opening in 1991, showcasing artifacts from the legendary Steamboat Arabia that sank in the Missouri River in 1856 and was rescued in 1988. With its impending departure, there’s a condition of excitement and nostalgia in the air as potential developers look to seize the moment and honor the past while paving the way for contemporary attractions.

As the clock ticks down to the submission deadline of January 24, the City Market Oversight Committee plans to select a project that aligns with its mission of nurturing local entrepreneurs and promoting community engagement. They aim to present their top pick to city officials by February 7, hoping to get construction underway by December 2026. Meanwhile, another boutique hotel in the River Market is set to open in early 2026 with plans for 52 rooms in a charmingly converted building at 417 Delaware Street.

As Kansas City gears up for these big changes, it’s a transformative time for the River Market—we can’t wait to see how these new developments will shape the city’s future while celebrating its rich history!