New Downtown Arena

[warreng88]

Proposal coming by the end of the summer. Vote by the end of the year.

[Pete]

Nothing new other than they "are close" and there will be a public vote before the end of the year.

Also a "significant financial contribution" by Thunder ownership.

End of summer they will have a finalized plan.

Will extend sales tax and use some MAPS 4 funds but not levy additional taxes.

[BoulderSooner]

That will be good. I did not know that

70 mil of the paycom arena renovation money was put on "hold"

[citywokchinesefood]

I wonder how many of the 110 people currently viewing the stream are from OKCTalk?

At least two or three I imagine

[Canoe]

David Holt is good at rhetoric. I support the new Stadium.

[Pete]

You can be sure most of this is already decided.

They just have to finalize the agreement with the Thunder ownership, whip up some flashy renderings, create the budget with the sources of funds, then present it to the public probably in September for a December vote.

I still expect it will be on the Cox site and cost about $1 billion. This has been the consensus of everyone that knows anything about this project and it hasn't changed in the last year.

[AnguisHerba]

Since there is no tax increase, do we think this will be an extension of the MAPS 4 tax?

[Pete]

Since there is no tax increase, do we think this will be an extension of the MAPS 4 tax?

Yes as MAPS 4 collection ends in 2028.

Plus the allocated MAPS 4 funds, plus Thunder ownership dollars.

I'm sure they'll use the MAPS 4 money to hire the architect and get the plans shovel-ready.

[April in the Plaza]

since there is no tax increase, do we think this will be an extension of the maps 4 tax?

maps 4.5

[Laramie]

Since there is no tax increase, do we think this will be an extension of the MAPS 4 tax?

Yes, and since the tax collections have increased it will probably allow MAPS a few less years to make it debt free.

Won't know anything until we get the final price tag budgeted for the new arena development which includes demolition
of the four square block PSM site and the significant contribution from the ownership group.

[Canoe]

You can be sure most of this is already decided.

They just have to finalize the agreement with the Thunder ownership, whip up some flashy renderings, create the budget with the sources of funds, then present it to the public probably in September for a December vote.

I still expect it will be on the Cox site and cost about $1 billion. This has been the consensus of everyone that knows anything about this project and it hasn't changed in the last year.

I wonder if the 1 billion includes inflation costs for 10 years out.

[BoulderSooner]

I wonder if the 1 billion includes inflation costs for 10 years out.

i think the plan is to have the building open before 2030 ..

my guess is that construction on the arena starts in 2025

[Laramie]

MAPS 4 Expires April 2028, extension of the MAPS 4 tax vote will come in September or December of 2027.

Earliest construction could begin would be May 2028 with an architectural firm's design already in place and
the awarding of the construction bid.

Meanwhile the $70 million + interest on hold, some of the funds could be used for demolition of the 4-square block PSM site.

[Pete]

i think the plan is to have the building open before 2030 ..

my guess is that construction on the arena starts in 2025

Yes, Holt alluded to it being open "before the end of the decade".

[chssooner]

MAPS 4 Expires April 2028, extension of the MAPS 4 tax vote will come in September or December of 2027.

Earliest construction could begin would be May 2028 with an architectural firm's design already in place and
the awarding of the construction bid.

Meanwhile the $70 million on hold, some of the funds could be used for demolition of the 4-square block PSM site.

Won't be done through MAPS, most likely. No way in Hades they are waiting til then.

[Laramie]

Won't be done through MAPS, most likely. No way in Hades they are waiting til then.

If not thru MAPS, then bonds are the only alternative I can think would be used. Have or city and/or county reached its bonded indebtedness.

[BoulderSooner]

Won't be done through MAPS, most likely. No way in Hades they are waiting til then.

they can if they first get a loan from the team owners and they are paid back with the "maps" extension money ..

[Laramie]

Too many missing variables on funding like the amount the arena development will cost, the ownership's contribution and the site plan funding--will it be bonds or a MAPS extension.

[Canoe]

If not thru MAPS, then bonds are the only alternative I can think would be used. Have or city and/or county reached its bonded indebtedness.

Building it without debt is a core selling point. Using Bonds will sour the momentum.

[warreng88]

The main question I would have is if this is an extension of MAPS 4, where does it fall in terms of construction? Will other projects get pushed to the back since collections will go toward the new arena or will all of it be taken care of on the back end?

[Laramie]

Building it without debt is a core selling point. Using Bonds will sour the momentum.

Then you're not getting construction started before 2026. You won't see a major ownership contribution because they are going to hold on to that amount of funds to continue to grow interest.

[Pete]

Won't be done through MAPS, most likely. No way in Hades they are waiting til then.

What will happen is they'll use MAPS 4 money for the planning and prep work.

Then MAPS 4 collections expire in 2028 and the vote will be to extend that for a number of years to fund the public part of this.


Holt specifically said they could do it "by keeping the current sales tax rates". Whether you call it MAPS or something else, it's going to work exactly the same way.

Also, expect a big chunk of TIF money.

[Teo9969]

I would assume MAPS 4 is going to blow the original collection estimates put of the water. Between growth and inflation, I wouldn't be surprised if we saw $200M in excess of original estimates. While some of that will need to go to projects that will now cost more, I think excess plus original allocation to Paycom Center represents an easy $200M, then add at least $350M from owners.

That's halfway there and then every year after 2028 adds probably $160M, we'd be at $1B by 2031 and if this is a $1B+ project, there will be at least $200M+ of work that can be completed after the stadium is open to the public.

And Pete also mentioned it, bit the city is sitting on a huge amount of TIF funds.

[gopokes88]

I would assume MAPS 4 is going to blow the original collection estimates put of the water. Between growth and inflation, I wouldn't be surprised if we saw $200M in excess of original estimates. While some of that will need to go to projects that will now cost more, I think excess plus original allocation to Paycom Center represents an easy $200M, then add at least $350M from owners.

That's halfway there and then every year after 2028 adds probably $160M, we'd be at $1B by 2031 and if this is a $1B+ project, there will be at least $200M+ of work that can be completed after the stadium is open to the public.

And Pete also mentioned it, bit the city is sitting on a huge amount of TIF funds.

Bingo.

Holt rolled it out last year, has been working behind the scenes with all parties, the support is there and this will fly through.

[Pete]

The main question I would have is if this is an extension of MAPS 4, where does it fall in terms of construction? Will other projects get pushed to the back since collections will go toward the new arena or will all of it be taken care of on the back end?

This will be separate from MAPS 4 -- the arena collections won't start until MAPS 4 expires in 2028. The sales tax will expire then but project construction typically stretches out beyond that date.

There is MAPS 4 money already allocated for the new arena. Most of it came from plans to improve Paycom which are generally now on hold.