The City of Henderson has notified Hunt Properties, Jackson, of a breach in contract in connection with the Hampton Inn construction at West Main St. and US Highway 45. According to Mayor of Henderson, Terry Bell, the official notice of breach was recently given as required by the agreement and allows for a 30-day window for Hunt Properties to respond.
The City Industrial Development Board first entered into a commercial development Tax Increment Financing agreement (TIF) with Hunt Properties in June of 2020, with plans including a Hampton Inn. The Oct. 5, 2023 Chester County Independent noted an apartment complex was also included in the plans. As of March 2026, a Casey’s convenience store has been completed and is open for business on Eric Bell Drive, just across from the hotel construction.
Groundwork began in October of 2023. In 2024, the TIF agreement was extended with a deadline for completion requiring certificate of occupancy set for December 31, 2025. The April 18, 2024, edition of the Independent reported, “Following the April 2 City of Henderson Industrial Development Board meeting, a motion was unanimously approved by roll call vote, adopting a resolution extending the tax increment financing (TIF) agreement…The date was extended due to difficulty with environmental challenges. Details will primarily remain the same and will include no additional properties. The maximum reimbursement is $2 million, over twenty years, must still be approved through county commission and comptroller.” TIF agreements allow for project financing through diversion of future property taxes.
With the December deadline having elapsed, the hotel property is still under construction. The written notice, dated March 23, 2026, advises of the breach and states the following:
“Consequently, the IDB hereby declares that you have breached the Project Agreement. Pursuant to Section 6(a) of the Project Agreement, a Company Breach ‘shall occur if the Company does not cure such failure within thirty (30) days after receipt of written notice from the Board; provided that if (i) such breach cannot be cured within such thirty (30) day period, (ii) the Company notifies the Board in writing stating the reasons for delay prior to expiration of such (30) day period, and (iv) the Company thereafter diligently and continuously pursues cure efforts, then the period for cure shall be extended for such period of time as shall reasonably be required under the circumstances, except that the Company shall not be entitled to any extension if the breach is monetary in nature.”
“We hope that the Hotel will be completed, and all the parties find a mutually beneficial agreement,” said Mayor Bell. “The City of Henderson appreciates the development of the property which includes the Caseys Convenience Store. We look forward to hearing from the developer and seeing the project finished. The addition of a hotel to our community will be beneficial to Freed-Hardeman and other organizations.”
The Independent reached out to David Hunt, of Hunt Properties, who was unavailable for comment prior to press time. Updates will be provided as this story develops.
The Industrial Development Board of the City of Henderson entered a Tax Increment Financing agreement (TIF) with Hunt Properties with the goal of seeing a commercial development that included a Hampton Inn Hotel. Due to the economic impacts of the covid epidemic the project we delayed. The TIF agreement was extended to allow more time for the project to be completed. That second agreement required the project to be finalized by December 31, 2025. Clearly the project has not been finished and therefore Hunt Properties is now in breach of the contract. The Industrial Development Board has sent a letter as required by the TIF agreement presenting the breach of contract and seeking a response as to how the breach will be cured by Hunt Properties. Hunt Properties now has thirty days to respond to this letter.
"We hope that the Hotel will be completed, and all the parties find a mutually beneficial agreement. The City of Henderson appreciates the development of the property which includes the Caseys Convenience Store. We look forward to hearing from the developer and seeing the project finished. The addition of a hotel to our community will be beneficial to Freed-Hardeman and other organizations."
The Independent reached out to David Hunt, of Hunt Properties, who was unavailable for comment prior to press time. Updates will be provided as this story develops.
