Quote:
Originally Posted by BrianSac
As I understand it, this parking deal involves city garages only, not parking meters.
Parking rates can go up regardless of who controls the rates whether it be the city or a private company. But this deal includes rate setting mechanisms.
The Arena parking deal involves a guaranteed piece of any revenue increases not anticipated at the time of the lease.
The term sheet earmarks $5Mil from MOPA funds for legal fees. (Kings and AEG are putting in 6.5M for legal fees). David Taylor is a construction partner for the Arena. I doubt he will let 800 K street suffer. The two projects can benefit each other in the long run.
After taking a walk on the east side of the arena project today, I really think the railyards is the right place for the arena. I really think it will have a very positive impact on the immediate 5 block area, but also the K street Mall, Downtown Plaza, the River Front, and Old Sac. I think its great that the inter-modal station will sit right along side it with light rail. I like mixing the new Arena with the historic train depot and the historic Southern Pacific buildings. Having 18,500 people descend upon the area nightly will have huge positive impact on downtown.
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Unfortunately, I see the lease of parking by the city over 60 years and the
selling of city land as generational theft. If this happens the city will have
lost one of its biggest revenue generators with the rosy hopes of backfilling
the $9 million annual loss into the general fund. What I have noticed over
many, many years is that nearly all revenue projections generated by the
city are nearly always to high and missing the mark by underperforming.
This term sheet has rosy revenue projection where as they should be on
the more conservative side. I’d rather be pleased to see revenue beat
expectations on the conservative side than watch the city cut services
again because we were lied to another time.
Pure and simple, in the long run, spending all this money now is generational
theft at the expense of the next three generations. The city is about to
mortgage its future parking revenue to build a new arena now. Has anyone
seen data on how much the city will lose in revenue over 60 years if this
goes through? I bet is over a billion, and that’s just a conservative guess.
When I was a young guy, I learned a few lessons about how short term
gratification endeds up costing me in the long run. This will be no different
except that several generations will wonder why their getting the shaft with
few city services.
Quote:
Originally Posted by BrianSac
The term sheet earmarks $5Mil from MOPA funds for legal fees. (Kings and AEG are putting in 6.5M for legal fees). David Taylor is a construction partner for the Arena. I doubt he will let 800 K street suffer. The two projects can benefit each other in the long run.
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That’s quite an assumption to think Taylor will follow through on 800 K when nearly
every project he has done downtown has needed subsidies from the city.
In this case, the land is still free but I don’t think that’s enough for him to
take a loan out and build the project himself.