The Kentucky Tourism Development Finance Authority has approved incentives for a 105-room hotel development in Somerset.
Somerset Center Hotel plans to develop a Courtyard by Marriott adjacent to the Center for Rural Development in the southern Kentucky city.
State officials said Wednesday that the $11.5 million project qualifies for incentives of $2.55 million in the form of a tax rebate over 10 years.
The officials said a consultant's report on the Somerset project found it met the requirements necessary to receive incentives.
The proposed hotel will have an indoor pool, business center and reception area.