Another day, another team with a stadium not yet of drinking age seeking public funds for upgrades. Today’s contestant: F.C. Dallas, who are set to get $182 million in sales tax money from the city of Frisco for upgrades to their “aging” stadium, which opened all the way back in 2005.
When last we checked in on this back in May, it was just $130 million, and the source of the public money wasn’t yet known. But things have escalated quickly, to the point where the Frisco city council is set to vote today on issuing $182 million in sales tax revenue bonds, 64% of which would be paid off by the city and 36% by team payments on an extended lease through 2057. (Much of the money could go to build a canopy to provide shade for fans, but it would also add 3,400 seats and new restaurants and other revenue-generating opportunities, all of the revenue from which would go to the team.)
But F.C. Dallas owners the Hunt family, of Kansas City Chiefs fame and $24.8 billion net worth, are holding out a carrot of sorts:
Hunt Sports Group has proposed a “mixed use vision” that, according to city documents, would include 1.2 million square feet of class A office space, a 180,000-square-foot upscale hotel with 200 rooms and a 200-unit multifamily high-rise with retail and restaurant space on the ground floor. The development would also include 30,000 square feet of additional retail and restaurant space, parking structures and complimentary civic spaces and urban streetscape.
Adding mixed-use districts to stadium projects is all the rage, as it both creates new profit opportunities for the team owners and provides a way to show they’re making an “investment” in their city that they can use to justify the stadium subsidy. Which is fine, so long as the ancillary development doesn’t require subsidies of its own—
For the mixed-use improvements, Hunt Sports Group has requested economic development incentives “that are similar in scale and structure to what has been provided for other major mixed use partnerships in Frisco,” according to city documents. The incentives would be provided as reimbursements for infrastructure expenses incurred during the first phase of the mixed-use improvements.
Council documents reveal that subsidies for the stadium district would include a $25 million “Qualified Infrastructure Grant,” plus a kickback of 50% of sales tax on construction materials and services, provided the first phase of the development is underway by the end of 2037. The ancillary development would also require use of a city-owned parking lot, the land value of which isn’t given.
Add it all up, and you have somewhere between $141 million and who knows in order to let multi-billionaires upgrade a stadium that cost $80 million to build 19 years ago and which just received $55 million in upgrades in 2018. Today’s council meeting is set to kick off at 5 pm CT; it looks like we’ll be able to watch along here, if anyone wants to see if there’s any discussion of how much all this will cost or why the city should be paying for it.
“… and complimentary civic spaces and urban streetscape.“
They may mean “complementary,” although complimentary is very apropos.
100% on-brand for the self-described “Sports City USA,” you can see their negotiating position a mile away…..
Billionaire team owner, hat in hand before the City: “Gimme $100,000,000.” Frisco City Council, School District, Economic Development Corporation, et al: “Oh no no no. Here’s a Big Ceremonial Check for $150,000,000. Thank you, come again!”
Most of that $55,000,000 upgrade in 2018 was to bolt a “Soccer Hall of Fame” onto the south end of the stadium. A proven money loser, the original New York version of it was shuttered in 2010 after 11 years of operation until they found the perfect marks to build them a brand new one. Sports City, USA, you know….
Tl;dr: Jerry Jones Inc got his, now Silver King Lamar Hunt Inc wants his too. Swap the names in 4-5 years and it’ll hold just as true as the cycle never ends.
Are these the same Hunt brothers that blew up the silver market in 1980? They should get a new business, making Texas license plates.
Yup
https://en.m.wikipedia.org/wiki/Silver_Thursday
The Hunt brothers were notoriously cheap when they owned the Columbus Crew. Though Crew fans hold in high esteem the late Lamar Hunt, but not so much for his sons.
Also, weren’t the Chiefs, despite being highly successful, given a low rating (like a D) in the recent NFL player rankings of team facilities, travel, food, etc.?
Regarding Toyota Stadium, as @Gary said above, the renovations in 2018 were mainly for the Soccer Hall of Fame, which incidentally was closed when I attended a match there last September (Crew at FC Dallas). Perhaps it is not open during stadium events?
That said, from a soccer fan perspective, the stadium in it’s current form (outside of the soccer hall of fame) is very basic.