Quote:
Originally Posted by combusean
I didn't realize they were also issuing bonds, which are a terrible idea for a private project. Cities only have so much bonding capacity and it's foolish to tie it up for this.
|
Quote:
Originally Posted by xymox
How did Tempe not learn from Glendale about doing business with the team? They're going to wind up in the same spot in about 10 years...
|
Yeah, are the basic details:
https://www.coyotesintempe.com/the-details
Glass half full version is that they're spending $200m to clean up a city landfill to make it developable land, and the bonds are being repaid from tax/parking revenues from the entertainment district, so no increase in property taxes to repay the bonds. Unlike Glendale, the team will otherwise privately finance and build the arena, leaving the City less tied to the team long term, other than owning a parking garage in the project.
Opinions about whether the City should be contributing even $200m to a proposed $2.1b project, however, and whether the City should be giving away tax revenue to repay those bonds given that at least some of spending at the entertainment district will be drawn away from other parts of the city, will vary.