3/10/09 - BASEBALL DEAL GOES BEFORE COUNCIL TOMORROW - So as I wrote in a previous post, Sk Baseball/Nevada Land are looking for a more money from their agreement with the Redevelopment Agency, in order to construct an attached entertainment zone to the stadium which would feature 3 bars, 3 restaurants, and an elevated 2nd floor open plaza. Because one of the largest mall developers in America is involved, the baseball folks don't foresee a problem filling up the 6 spaces with retail.
Currently, I think developers would retain a minimum of $500,000 a year in property tax, and a maximum of $2 million a year in taxes over 20 years, and the Reno Aces must stay in Reno at least 10 years. I don't have the numbers in front of me, I am pulling from memory so correct me if I am wrong. Developers want to change that and increase that to a minimum of $1 million a year guaranteed and up to a maximum of $2.5 million a year over 20 years from downtown redevelopment district property taxes to fund the new add-on for the stadium. It's important to note this is NOT the area where the Mizpah once stood. This entertainment-addon is connected directly to the stadium. The Mizpah lot is a future phase. In exchange for this, Developers would agree to reimburse the Reno Redevelopment Agency $6.6 million for buying the RTC Citicenter bus station and also agree not move the Reno Aces minor league baseball team for 15 years, even due to economic hardship. This is a HUGE deal, because the purchasing of the Citicenter Property by the redevelopment agency has been a sort of thorn in their side, trying to figure out where to come up with the money to actually do it (either from tax increment funds from RDA2 or the Sewer Fund). As part of the original deal, SK Baseball will receive the RTC Citicenter Property to develop retail. It was mentioned in a prior council meeting that RTC will be using the money from the sale of the current RTC Citicenter, to help fund the construction of the new 4th Street Station Transit Center just north of the stadium...something that is sorely needed. If the baseball folks agree to reimburse the redevelopment agency for this purchase, then whatever funds were used to purchase RTC Citicenter from RTC can be replaced with the reimbursement by the baseball folks.
The other big plus to this deal is...it keeps a construction crew working on-site. If this deal is approved, SK Baseball would be able to immediately start construction on the entertainment add-on right after the stadium is finished, with no break in between. Keeping people working should be a priority in this economy.
I realize many think the baseball folks have been given too many concessions already - I have posted previous commentaries on this subject. However, if the baseball folks are willing to reimburse the city for the Citicenter purchase, and the team must stay here 15 years, that definitely softens the blow a bit.Your thoughts
I read that it will keep 245 people employed longer to do this. I say do it just for that reason. My husband would scream for me saying that, he is one of those 'government should never help private enterprise' people. I agree more with you, DTM guy, that public/private partnerships are the key.