Wizards and Caps could be moving to Potomac Yard

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Can someone please explain to me what's so bad and outdated about the current arena?

Nothing. The initial lease expires in 2027, so Ted either needs to re-up, and he is asking for improvements which the city has pledged $500M oir he needs a new place for his teams to play.

The arena itself is fine and has had numerous city financed improvements over the 25 years it has been occupied.

This. The entire issue for Ted is that his sweetheart lease with the city of DC expires in 2027. He's been paying a below-market rent this entire time for the ground under the arena according to a formula. The final annual rent for the land will be around $900K per year in 2026. After that, the contract is up and DC gets to renegotiate rent payments with Monumental.

It's actually kinda crazy that DC is offering him $500M to improve the arena. When does your landlord offer you money to upgrade the place you rent? Never, of course.

More than anything, I think Ted is psychologically triggered by being powerless in 2027 when the lease expires. He will then have to negotiate with DC from a position of weakness and the current political environment in cities are not friendly to billionaire sports owners. It's not the same as 25 years ago when a billionaire could get a subsidized stadium and buy off all the local pols. There's a lot more class consciousness and scrutiny over where tax dollars are flowing.

25 years ago, Abe Pollan built the arena with his own money. He didn't take a DC subsidy to move the teams into town. The only reason he built the Capital Centre in Landover was because he had to move quickly to have a venue ready for the Caps in 1973 and PG County at the beltway was the only place he could do it. He said many times that if he had had a few more months in the early 1970's when the NHL awarded the franchise, he would have built downtown.

Moving the teams out is just stupid and shortsighted.

D.C. did still spend $79 million on improvements to the land and set up Pollin with a below-market rent. I'm glad he didn't try to get the city to pay even more, but let's not pretend he took no subsidies.

[Anonymous]

That would be money the city was going to spend regardless of whether an arena was going there, or three more office buildings. Sewer, electric and public space infrastructure. I suppose the expansion of the metro station would count there as well, but that will need to be done, somehow, in PY as well.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Can someone please explain to me what's so bad and outdated about the current arena?

Nothing. The initial lease expires in 2027, so Ted either needs to re-up, and he is asking for improvements which the city has pledged $500M oir he needs a new place for his teams to play.

The arena itself is fine and has had numerous city financed improvements over the 25 years it has been occupied.

This. The entire issue for Ted is that his sweetheart lease with the city of DC expires in 2027. He's been paying a below-market rent this entire time for the ground under the arena according to a formula. The final annual rent for the land will be around $900K per year in 2026. After that, the contract is up and DC gets to renegotiate rent payments with Monumental.

It's actually kinda crazy that DC is offering him $500M to improve the arena. When does your landlord offer you money to upgrade the place you rent? Never, of course.

More than anything, I think Ted is psychologically triggered by being powerless in 2027 when the lease expires. He will then have to negotiate with DC from a position of weakness and the current political environment in cities are not friendly to billionaire sports owners. It's not the same as 25 years ago when a billionaire could get a subsidized stadium and buy off all the local pols. There's a lot more class consciousness and scrutiny over where tax dollars are flowing.

25 years ago, Abe Pollan built the arena with his own money. He didn't take a DC subsidy to move the teams into town. The only reason he built the Capital Centre in Landover was because he had to move quickly to have a venue ready for the Caps in 1973 and PG County at the beltway was the only place he could do it. He said many times that if he had had a few more months in the early 1970's when the NHL awarded the franchise, he would have built downtown.

Moving the teams out is just stupid and shortsighted.

D.C. did still spend $79 million on improvements to the land and set up Pollin with a below-market rent. I'm glad he didn't try to get the city to pay even more, but let's not pretend he took no subsidies.

Right. He still got a lot of taxpayer funding and subsidies. But I guess not putting the taxpayer on the hook for the entire arena somehow makes him a saint compared to the rest of free-loading dirtbag sports team owners lol

[Anonymous]

Anonymous wrote:That would be money the city was going to spend regardless of whether an arena was going there, or three more office buildings. Sewer, electric and public space infrastructure. I suppose the expansion of the metro station would count there as well, but that will need to be done, somehow, in PY as well.

That may be true, but I still wish private sports team owners would be expected to cover those kinds of costs, too.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Can someone please explain to me what's so bad and outdated about the current arena?

Nothing. The initial lease expires in 2027, so Ted either needs to re-up, and he is asking for improvements which the city has pledged $500M oir he needs a new place for his teams to play.

The arena itself is fine and has had numerous city financed improvements over the 25 years it has been occupied.

This. The entire issue for Ted is that his sweetheart lease with the city of DC expires in 2027. He's been paying a below-market rent this entire time for the ground under the arena according to a formula. The final annual rent for the land will be around $900K per year in 2026. After that, the contract is up and DC gets to renegotiate rent payments with Monumental.

It's actually kinda crazy that DC is offering him $500M to improve the arena. When does your landlord offer you money to upgrade the place you rent? Never, of course.

More than anything, I think Ted is psychologically triggered by being powerless in 2027 when the lease expires. He will then have to negotiate with DC from a position of weakness and the current political environment in cities are not friendly to billionaire sports owners. It's not the same as 25 years ago when a billionaire could get a subsidized stadium and buy off all the local pols. There's a lot more class consciousness and scrutiny over where tax dollars are flowing.

25 years ago, Abe Pollan built the arena with his own money. He didn't take a DC subsidy to move the teams into town. The only reason he built the Capital Centre in Landover was because he had to move quickly to have a venue ready for the Caps in 1973 and PG County at the beltway was the only place he could do it. He said many times that if he had had a few more months in the early 1970's when the NHL awarded the franchise, he would have built downtown.

Moving the teams out is just stupid and shortsighted.

D.C. did still spend $79 million on improvements to the land and set up Pollin with a below-market rent. I'm glad he didn't try to get the city to pay even more, but let's not pretend he took no subsidies.

Right. He still got a lot of taxpayer funding and subsidies. But I guess not putting the taxpayer on the hook for the entire arena somehow makes him a saint compared to the rest of free-loading dirtbag sports team owners lol

It is a shame that the bar is so low that taking "only" $79 million in improvements to an area you control and getting below market rent is considered a "deal" to taxpayers

[Anonymous]

Anonymous wrote:

Anonymous wrote:That would be money the city was going to spend regardless of whether an arena was going there, or three more office buildings. Sewer, electric and public space infrastructure. I suppose the expansion of the metro station would count there as well, but that will need to be done, somehow, in PY as well.

That may be true, but I still wish private sports team owners would be expected to cover those kinds of costs, too.

Why? The city would be spending it either way; same with Nats Park. You wouldn't expect a developer building a new building inside the district to handle all of the municipal infrastructure.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:That would be money the city was going to spend regardless of whether an arena was going there, or three more office buildings. Sewer, electric and public space infrastructure. I suppose the expansion of the metro station would count there as well, but that will need to be done, somehow, in PY as well.

That may be true, but I still wish private sports team owners would be expected to cover those kinds of costs, too.

Why? The city would be spending it either way; same with Nats Park. You wouldn't expect a developer building a new building inside the district to handle all of the municipal infrastructure.

Same with Audi Field, too, for the record. Though the city paid the full cost of Nats Park, unlike the other stadiums.

I guess I wish rich people who own sports teams could be expected to pay for more of the cost of their stadiums than the norm just because it seems like we'd all be better off if they did? I attend a lot of events at all three stadiums, so I'm not anti-sports, but I think it's ridiculous how much public support is now considered routine.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:That would be money the city was going to spend regardless of whether an arena was going there, or three more office buildings. Sewer, electric and public space infrastructure. I suppose the expansion of the metro station would count there as well, but that will need to be done, somehow, in PY as well.

That may be true, but I still wish private sports team owners would be expected to cover those kinds of costs, too.

Why? The city would be spending it either way; same with Nats Park. You wouldn't expect a developer building a new building inside the district to handle all of the municipal infrastructure.

Same with Audi Field, too, for the record. Though the city paid the full cost of Nats Park, unlike the other stadiums.

I guess I wish rich people who own sports teams could be expected to pay for more of the cost of their stadiums than the norm just because it seems like we'd all be better off if they did? I attend a lot of events at all three stadiums, so I'm not anti-sports, but I think it's ridiculous how much public support is now considered routine.

And they tax their businesses for that cost! I own a company based in DC and if you have revenues over $5 million, you pay a hefty "Ballpark Tax" every year. Ours is a five-figure annual tax. One reason why companies base their headquarters in Virginia - more business-friendly.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:That would be money the city was going to spend regardless of whether an arena was going there, or three more office buildings. Sewer, electric and public space infrastructure. I suppose the expansion of the metro station would count there as well, but that will need to be done, somehow, in PY as well.

That may be true, but I still wish private sports team owners would be expected to cover those kinds of costs, too.

Why? The city would be spending it either way; same with Nats Park. You wouldn't expect a developer building a new building inside the district to handle all of the municipal infrastructure.

Same with Audi Field, too, for the record. Though the city paid the full cost of Nats Park, unlike the other stadiums.

I guess I wish rich people who own sports teams could be expected to pay for more of the cost of their stadiums than the norm just because it seems like we'd all be better off if they did? I attend a lot of events at all three stadiums, so I'm not anti-sports, but I think it's ridiculous how much public support is now considered routine.

And they tax their businesses for that cost! I own a company based in DC and if you have revenues over $5 million, you pay a hefty "Ballpark Tax" every year. Ours is a five-figure annual tax. One reason why companies base their headquarters in Virginia - more business-friendly.

LOL, it won't be when taxpayers, including businesses are on the hook for the GlennDome.

[Anonymous]

As a taxpayer and nearby resident, I want to know what the financial outcome/projections will be if the people do not come.

We KNOW that Potomac Yards is much less accessible than the current arena. We KNOW lots of people won't make the trek.

So what happens then? If the people don't come, don't buy the tickets, don't spend dollars at a new night district?

Ted/Glenn/Justin are only boasting ultimate best case scenarios. What happens if they're significantly more lackluster in actuality?

[Anonymous]

Anonymous wrote:As a taxpayer and nearby resident, I want to know what the financial outcome/projections will be if the people do not come.

We KNOW that Potomac Yards is much less accessible than the current arena. We KNOW lots of people won't make the trek.

So what happens then? If the people don't come, don't buy the tickets, don't spend dollars at a new night district?

Ted/Glenn/Justin are only boasting ultimate best case scenarios. What happens if they're significantly more lackluster in actuality?

Well if the numbers collected do not raise enough money to pay off the debt service on the bonds, Youngkin wants the full faith and credit of Virginia to back those bonds which means the Commonwealth of Virginia is required to step in and pay. This has been discussed several times on this thread and people just gloss over it. VIRGINIA WOULD HAVE TO PAY.

[Anonymous]

Anonymous wrote:As a taxpayer and nearby resident, I want to know what the financial outcome/projections will be if the people do not come.

We KNOW that Potomac Yards is much less accessible than the current arena. We KNOW lots of people won't make the trek.

So what happens then? If the people don't come, don't buy the tickets, don't spend dollars at a new night district?

Ted/Glenn/Justin are only boasting ultimate best case scenarios. What happens if they're significantly more lackluster in actuality?

The Virginia taxpayers are on the hook for the debt obligation on the bonds, for any amount that the concession tax, ticket sales tax and other taxes don't cover. The total obligation is closer to $5B, not the 1.5/2 publicly touted in December.

[Anonymous]

Not to nitpick but the renderings of the project look lame. Another homogenized soulless conglomeration for “entertainment”. Directly under the Reagan National take off runway. With a horrible basketball franchise and a fading hockey franchise with one cup in 50 years.

[Anonymous]

[Anonymous]

$75 for parking and $731 hotel rates are not conservative.