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Lexington Government Pursues New City Hall Development

Architectural design of the proposed city hall in Lexington

Lexington, October 14, 2025

News Summary

The Lexington city government has begun exclusive negotiations with the Lexington Opportunity Fund to build a new city hall at the former BB&T Bank site. This initiative addresses decades-long efforts to enhance government services and accessibility. The current city hall, situated in the outdated Lafayette Hotel, requires significant repairs. The proposed location aims to improve public access and parking, marking a significant step forward in city governance.

Lexington city government has initiated exclusive negotiations with the Lexington Opportunity Fund to establish a new city hall at the site of the former BB&T Bank building. This development presents a significant advancement in the city’s long-standing effort to create a new government center, a goal that has been pursued for several decades.

The proposed location for the new city hall is situated at the intersection of Vine and Upper streets. City officials are currently deliberating whether to renovate or demolish the existing BB&T building to accommodate the new government center. This site is viewed as potentially more accessible for residents, addressing long-standing concerns regarding parking and public access to city meetings.

Current Mayor Linda Gorton, who is the fifth mayor to pursue the establishment of a new city hall, expressed that the current government building, located in the former Lafayette Hotel at 200 E. Main St., has become outdated and no longer meets the needs of the city’s growing population. Since being repurposed as a city hall in the 1980s, this building was originally intended to serve as a temporary solution.

Mayor Gorton noted that there is an urgent need for housing in the community, suggesting that the Lafayette Hotel should revert to its original function or be converted into apartments. City Council member James Brown echoed these sentiments, stressing the necessity for improved parking availability and accessibility for public meetings at the new facility.

The current city hall has faced a myriad of maintenance issues over the years, leading to repair costs that are projected at approximately $22 million. A recent study conducted by Ernest & Young concluded that relocating to a new city hall would be more economically viable than continuing to maintain the existing structure. The city has already invested over $450,000 in studies to support the need for a new facility.

The Lexington Opportunity Fund, which comprises local real estate firms including Greer Companies and The Webb Companies, owns the former BB&T building and an adjacent parking garage. Dudley Webb, co-owner of the Lexington Opportunity Fund, articulates that the proposed site offers both parking availability and better public access, enhancing the overall functionality of city services.

However, Lexington still has several procedural steps to navigate before securing a new city hall. The negotiations with the Lexington Opportunity Fund could span several months, and any contract agreement reached will ultimately require approval from the city council. Previously, the city council had allocated $43 million for the construction of a new government center, although those funds could be redirected if the new plan does not materialize. Councilmember Tyler Morton has emphasized the importance of managing repair costs efficiently while ensuring fiscal responsibility during this process.

Previous attempts to establish a new city hall have encountered challenges, with former proposals failing to progress. The Lexington Opportunity Fund was also involved in the development of the City Center in downtown Lexington—a project that took over a decade to reach completion.

The outcome of this new negotiation could significantly reshape city governance and public service accessibility in Lexington, making it a notable development in the city’s future.

Frequently Asked Questions

What is planned for the former BB&T building?

The city plans to either renovate or demolish the existing BB&T building to create a new city hall.

Where will the new city hall be located?

The new city hall will be located at the intersection of Vine and Upper streets in Lexington.

How long has the city been pursuing a new city hall?

The city has been aiming for a new city hall for several decades and has invested over $450,000 in studies to support this effort.

What is the current condition of the existing city hall?

The current city hall, located in the former Lafayette Hotel, has significant maintenance issues and is estimated to require $22 million in repairs.

What steps are still needed to finalize the new city hall?

The city must complete negotiations with the Lexington Opportunity Fund and obtain city council approval for any agreements reached.

Key Features Summary

Feature Description
Location Vine and Upper streets, former BB&T Bank building.
Construction Cost $43 million allocated for new city hall.
Current Building Former Lafayette Hotel, potential $22 million in repairs needed.
Negotiation Timeline Negotiations may take several months.
Public Benefits Improved parking and accessibility for public meetings.

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Additional Resources

Lexington Government Pursues New City Hall Development

STAFF HERE LEXINGTON KY STAFF
Author: STAFF HERE LEXINGTON KY STAFF

The LEXINGTON STAFF WRITER represents the experienced team at HERELexingtonKY.com, your go-to source for actionable local news and information in Lexington, Fayette County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Woodland Art Fair, Crave Food and Music Festival, and Railbird Festival. Our coverage extends to key organizations like Commerce Lexington and Blue Grass Community Foundation, plus leading businesses in education, manufacturing, and technology that power the local economy such as University of Kentucky, Toyota Motor Manufacturing, and Lexmark. As part of the broader HERE network, including HEREBowlingGreen.com and HERELouisville.com, we provide comprehensive, credible insights into Kentucky's dynamic landscape.

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