Work to turn Andrew Johnson Building into hotel may soon begin, developers say

KNOXVILLE, Tenn. (WATE) — Work to revert the historic Andrew Johnson Building in Downtown Knoxville back to a hotel may soon resume, developers told county officials last month.

Knox County officials sent a letter in March to BNA Associates, the firm that acquired the property in 2022 , informing them that they must provide an updated project schedule by the end of June or risk being declared in default of the development agreement.

In a response from BNA Associates dated June 18, the group cited a downturn in the commercial real estate transaction market triggered by interest rate hikes and construction cost inflation for project delays.

According to the letter, their current plan is to start demolition and building preparation before full construction drawings are completed in the fall with a target opening date in the first quarter of 2026. However, the timeline is contingent on multiple factors including permit reviews and the finalization of the Payment in Lieu of Tax (PILOT) agreement with the county.

BNA Associates said in the last two months that they have selected a construction lender and are finalizing legal investment documents. They said the delays did allow them to improve the overall design concept and room count. The group said they will provide the county with monthly updates on the project going forward.

A request for comment from the Knox County government had not been returned at the time of publication.

The original “Hotel Americana” plan called for 143 guest rooms, multiple food and beverage venues, a parlor room for billiards and other games, as well as a space for live music .

Completed in 1929 as the Andrew Johnson Hotel, the structure was the tallest building in the city for decades. It hosted musical guests like Duke Ellington, Hank Williams Sr., and Russian composer-pianist Sergei Rachmaninoff. Amelia Earhart also stayed at the hotel in 1936 during a trip to the Smokies, just a year before she disappeared during her circumnavigation flight around the world.

It housed administrative offices for Knox County Schools before it was sold. KCS headquarters have since been moved into the TVA East Tower.

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