The Atlanta Journal-Constitution has obtained draft copies of some of the Braves‘ pending agreements with Cobb County via the Georgia Open Records Act, and … most of it says things we more or less already knew:
- The maximum construction cost will be $672 million, but could go as low as $622 million;
- The county will pay $368 million up front, and get $92 million of that back via annual rent payments from the Braves;
- The Braves will put in between $230 million and $280 million in up-front cash, depending on the ultimate total cost.
The one piece of significant new information, according to the AJC, is that “the stadium operating agreement also makes clear that the team will collect all stadium and parking revenues once operations begin in 2017.” So, Cobb County will get bupkis from the stadium it will pay $276 million (mostly in increased property taxes and taxes on stadium-area businesses) to build.
What the AJC article doesn’t specify is answers to some of the most important remaining questions: Who will pay operating costs on the stadium, the Braves or the county? Are the Braves going to be locked in to playing in Cobb for the entire length of the lease, or will there be opt-out clauses? And is there any sign of that transportation document, and how much the county could be on the hook for new roads?
More details as they arrive…
Cobb is getting property tax revs on the development around the stadium, assuming the Braves follow through.
Cobb already has full rights to property taxes on the land in Cobb. That is not something the Braves are in a position to “give” them.
Meanwhile at the current home of the Braves, Georgia State University, which charges all students $46.17 per registered academic hour to subsidize sports, wants $300 million to turn Turner Field into a football stadium and maybe some additional student housing. They pinky swear that they won’t need to raise student fees even more to cover the cost of this new home for a football team that is 1-22 over the past two years. Like all such schools, they see it as a good investment since any day now they’ll get in one of the big name bowl games, which will rain money down on the program.
Atlanta must be the richest city in the world to be able to afford to dedicate so much money to sports stadiums. It’s truly mind boggling.
What about upgrades who is going to be responsible for them in 5 years when they deem the Stadium outdated?
Right, that’s why assignment of operating costs is important. As is any opt-out clause, since that’s what team owners typically use as leverage to get upgrades.
Currently, the land the Braves are acquiring generates almost no property taxes. It will rise in value when/if the Braves develop it. Since there’s no TIF, the county gets extra money.