I learned long ago never to be surprised by anything that happens in the stadium world, but this is just bizarre:
The Maricopa County Board of Supervisors is contemplating selling Chase Field in downtown Phoenix to private, out-of-state investors, and will meet Wednesday to vote on initiating negotiations.
The starting point for the proposed deal, made public Tuesday, is a $60 million sales price. It would include keeping the Arizona Diamondbacks at the stadium through 2028 — the remainder of the team’s contract with the county — and potentially longer. A draft contract showed the county would retain a handful of perks like a stadium suite and premium parking, despite no longer owning the building.
Okay, let’s walk this back. Maricopa County, you may recall, is in the middle of a big-as fight over whether the public will pay for at least $187 million in improvements to the Diamondbacks‘ 18-year-old stadium, as the team owners want, or the team will pay for them if it wants them, as the county’s study that identified the wishlist spells out. Now, it appears, the county is preparing to wash its hands of the whole place and sell it to a shadowy investment group called Stadium Real Estate Partners II LLC, which has ties to investment banker Sorina Givelichian and Fannie Mae board chair Egbert Perry.
Givelichian and Perry don’t sound certifiably insane, so it’s hard to say why on earth they’d want to take on the stadium, since it’s unlikely they’d earn back even a $60 million investment, especially if the Diamondbacks make trouble with their lease, which they’re already doing. The investors issued a letter saying they hoped to create “a sports and entertainment district surrounding the facility [that] would further complement and enhance the downtown area and increase tax revenues within such sports and entertainment district,” which is a lot of nice verbiage but doesn’t exactly explain where the district would go or how big it would be — it’s a pretty tight squeeze around the ballpark, so does this mean them buying adjacent parcels or what? (The buyers’ letter of intent says the purchase would include stadium parking areas, but the page that’s supposed to show a map of the parcels is blank.) And does that “increase tax revenues” line presage a request for TIF tax kickbacks, or is it just a way to sweeten the pot for county board members voting on this?
It’s all extremely weird, and almost feels like a gambit by the county — keep threatening to sue us and we’ll just go ahead and sell your stadium — except then what’s in it for Givelichian and Perry? I really hope there’s more info after today’s county board meeting, because so far this doesn’t make a whole lot of sense.