Tennessee officials are once again trying to speed up the process of choosing a developer for state-owned land near the Capitol in Nashville, a decision that could shape the future of a valuable stretch of public property downtown.
At issue are several Capitol-adjacent parking lots, one above the first stretch of Elon Musk's Boring Company tunnel for Tesla vehicles, as the state seeks to speed its choice of a developer. That effort has drawn questions from state Sen. Heidi Campbell, a Nashville Democrat, over plans to sidestep the legislative disclosure process.
Here's what to know
According to Tennessee Lookout, the Department of General Services is trying to secure a master developer for a mixed-use project combining housing, a hotel, retail space, and parking for state employees. To move faster, the department is asking for a waiver instead of following the usual legislative disclosure process.
The State Building Commission ended in a 3-3 split after hearing public comments and opted to delay another vote to give members more time to review the proposal.
During the public comment period, Campbell argued against waiving the disclosure requirement. She later said in an interview that she does not object to redeveloping the lots but questioned why the state would depart from its normal process.
Along with the waiver, the department wants to use a request for qualifications, or RFQ, instead of a request for proposals. That approach would leave the department with more discretion in selecting the developer.
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For public-private partnerships, state law says the Department of General Services must present its plans during the budget cycle, with lawmakers typically approving them each April.
The department did not submit anything in the 2026 legislative session.
What's being done?
According to Michelle Parks, a Department of General Services spokesperson, the RFQ process allows the department to "identify developers with the experience and financial capacity to complete this long-term project."
With this proposed arrangement, the property would remain state-owned and be leased to the master developer.
"This is 10 acres of potentially the most valuable land in the state," Campbell said. "Why aren't we going through the normal process?"
Where can I learn more?
Questions about the Nashville Capitol lots also tie into bigger debates over public land, transportation projects, and Musk-backed development. These stories track The Boring Company's activity in Nashville and other government-backed efforts involving rail, highways, parking lots, and EV charging.
• In Nashville, The Boring Company made its latest land purchase as the tunnel project advanced.
• In the United Kingdom, BAM and Ferrovial secured a $3 billion contract for HS2 rail work.
• In Colorado, state officials enforced a controversial highway rule limiting road expansion and new construction.
• In France, a national law requires solar canopies over parking lots at many large sites.
• On the Pennsylvania Turnpike, planners added EV charging at service areas to prepare for future demand.
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