Texas Rising February 2010

Good Seats Available

Communities partner with developers to build arenas, stadiums

By Clint Shields

If at first you don’t succeed, try, try again. That’s how the saying goes, and that’s what Cedar Park officials did. Two previous attempts at building a multi-purpose arena failed before the project finally moved forward in November 2006.

“Funding issues had always seemed to stop it,” says Phil Brewer, economic development director for the city of Cedar Park. “The city council decided to make another run at this type of project and put it on the November 2006 ballot. It passed with more than 58 percent in favor.”

 

Tools that made a difference

Strong Partnerships

Cedar Park and Frisco both benefited from a strong vision by city leaders and involvement with professional partners.

Cedar Park on Map

Cedar Park voters approved the Cedar Park Center project in November 2006, and the city considered project bids in May 2007.

“One of the proposals had the Dallas Stars as the anchor tenant and they were real interested in the project,” says Phil Brewer, president of economic development in Cedar Park.

The Cedar Park Center, which seats 6,800 for hockey, was financed with:

  • $43 million from Cedar Park’s Type A sales tax; and
  • $12 million from the Hicks Sports Group, parent company of the Dallas Stars.
Frisco on map

In Frisco, the city, its economic development corporation and commercial development corporation secured a partnership with the Southwest Sports Group for the Dr Pepper Ballpark, which was funded by:

  • $12 million from the city; and
  • $5 million from the economic development corporation through the city’s Type A sales tax.

Find out what type of projects cities can fund with Type A sales tax revenue.

Voters approved a $55 million project that included 48 acres for an arena, parking, mixed-use retail and office development and a planned hotel. Next, the city needed a professional partner to help build it. The National Hockey League’s Dallas Stars franchise stepped forward and filled that role.

“We were really looking for a partner to bring $12 million to $15 million to the deal so we could build a bigger and better facility,” Brewer says.

The Cedar Park Center, which opened in September 2009 to a packed house for country music legend George Strait, hosts numerous other concerts and events and is scheduled to house several high-school graduations this spring. In its 6,800 fixed-seat hockey configuration, the building is home to the Texas Stars, the Dallas Stars’ American Hockey League minor-league affiliate. The partnership has proven to be a good match.

“The city has supported us in everything we’ve asked for,” says Rick McLaughlin, Texas Stars president. “We’re trying to reciprocate by putting a good product on the ice. When the city made the investment, they wanted excitement, job creation and ticket sales, and I think that’s happening.”

In Frisco, meanwhile, the latest public/private partnership venue debuted early in 2009 when FieldhouseUSA, a 150,000-square-foot facility that includes indoor basketball courts and an indoor soccer field, opened its doors. It is the latest in a string of projects in Frisco, which has grown in population from 6,100 in 1990, to more than 107,000.

“Less than 10 years ago, Frisco didn’t even have a visitor industry,” says Jim Gandy, president of the Frisco Economic Development Corporation. Today, that industry accounts for more than 9,400 jobs, 4.3 million visitors and $1.2 billion in visitor spending annually.

The crown jewels of Frisco’s arena partnerships are the Dr Pepper Ballpark and Pizza Hut Park. Dr Pepper Ballpark – a $28 million project financed by the city through certificates of obligation and by the Southwest Sports Group – seats 10,000 and is home to the Frisco RoughRiders, the class-AA affiliate of Major League Baseball’s Texas Rangers.

“The Frisco RoughRiders have made it a priority to be an excellent community partner,” says Scott Sonju, the RoughRiders’ general manager. “The city’s leadership has been outstanding to work with and it is a privilege to serve this great community.”

The baseball stadium opened in 2003 and is part of a 75-acre complex. It contains a 6,000-seat hockey arena that also hosts concerts and other events and a public ice rink.

“It’s a great family venue for a ballgame and entertainment, it’s right here in our community and is a great quality of life addition,” Gandy says.

Pizza Hut Park, opened in 2000 and is home to Major League Soccer’s FC Dallas. The city, Collin County, Frisco Independent School District and the Hunt Sports Group collaborated on the $85 million, 117-acre complex that features a 21,000-seat soccer stadium, and 17 tournament soccer fields that host local high school games and amateur soccer tournaments throughout the year.

Collin County, Frisco ISD and the Hunt Sports Group collaborated to build Pizza Hut Park, a 117-acre soccer complex that includes a 21-000-seat stadium where the MLS’s FC Dallas plays its home games.

“It boils down to a sports investment strategy, developed for youth, pro and amateur,” Gandy says. “Part of that was to differentiate the city from others, and to attract interest and tourism to our city. But we also felt it would be an addition to our residents’ quality of life, in that they could not only attend sporting events, but also use the venues to play.” TR

Find more information about Cedar Park’s and Frisco EDC’s projects and available incentives.

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