The Nevada Independent

Your state. Your news. Your voice.

The Nevada Independent

Vegas stadium officials hope to wrap A’s ballpark contracts by December

LVCVA boss Steve Hill said the team’s private financing plan could be revealed two months earlier. “That’s certainly a possibility.”
Howard Stutz
Howard Stutz
A's stadiumEconomySports
SHARE

Las Vegas Stadium Authority officials expect that all four contractual agreements with the Oakland Athletics covering a $1.5 billion ballpark on the Strip will be wrapped up by early December, giving Major League Baseball enough time to sign off on the documents.

The A’s hope to break ground on the stadium by April 2025.

In brief comments following a less-than-one-hour meeting Thursday, Stadium Authority Chairman Steve Hill said the A’s may present the team's still-in-the-works private financing plan to the board by its Oct. 17 meeting.

“That’s certainly a possibility,” Hill said. “That’s needed in order to approve everything that needs to happen.” 

Last month, A’s representative Sandy Dean told the Las Vegas Stadium Authority the team was in “good shape” on securing financing for the ballpark. But he didn’t offer specific details on how the franchise will fund its expected $1.2 billion share of the construction costs. 

The public financing for the stadium includes $180 million in transferable tax credits from the state (which the team could sell to other businesses for cash), an estimated $120 million in Clark County bonds and a $25 million credit from the county for infrastructure needs around the stadium. The bill stipulates that the bonds are to be paid off through revenues generated by the stadium.

Dean said last month the team would use about $350 million of the $380 million in public financing. He said the team will offset a portion of the public money through debt financing.

He said the team intends to borrow $300 million, but a lender or lenders weren’t named. Sports financing company Galatioto Sports Partners has reportedly been retained to find investors.

Dean said the A’s are seeking equity investors to help offset a portion of the $850 million that team owner John Fisher needs to secure for the 33,000-seat, retractable-roof ballpark project.

Dean attended but didn’t participate in the meeting on Thursday.

Hill was optimistic, saying the October meeting would allow the A’s and the stadium authority to have everything finalized by December.

“[It] will allow the public and the board and everybody to review and have any input,” Hill said. “We're rounding third and headed for home. There are not many open issues left.”

Stadium authority officials discussed the second draft of a 30-year, 130-page lease agreement covering the ballpark that is planned for 9 acres on the southwest corner of the Strip and Tropicana Avenue.

Ed Finger, chief financial officer for the Las Vegas Convention and Authority, listed fewer than a dozen provisions and minor language modifications in the draft lease agreement that have been changed since last October.

“We protected the things that Major League Baseball [wanted],” Finger told the board. “Various definitions have been modified, added or deleted to conform to the other agreements.”

The Stadium Authority approved the team’s community benefits agreement in March, which requires the A’s to contribute $500,000 annually in cash and in-kind contributions until a year after the team begins play in the new stadium in April 2028.

At that point, the team’s financial commitment will be whatever is larger — $2 million, or 1 percent of the ballclub ticket sales revenue for the calendar year. Those contributions are required under the special session legislation that granted the team more than $380 million in funding to help with stadium construction costs.

Discussion on the non-relocation agreement took place last month, with the most contentious point concerning how many regular season home games out of the 81 scheduled the A’s would play away from Las Vegas in any given season.  

The A’s agreed to reduce the maximum number of out-of-market home games from eight a year to seven games over two seasons, with a maximum of four off-site home games in one season.

The development agreement, which was discussed last year, has also not been approved.

SHARE
7455 Arroyo Crossing Pkwy Suite 220 Las Vegas, NV 89113
© 2024 THE NEVADA INDEPENDENT
Privacy PolicyRSSContactNewslettersSupport our Work
The Nevada Independent is a project of: Nevada News Bureau, Inc. | Federal Tax ID 27-3192716