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Marlins Stadium Update No. 515 million
I have been asked repeatedly if the new agreement forged by the Marlins, Miami-Dade County, the city of Miami, and Major League Baseball for a ballpark at the site of the Orange Bowl spells the end of the team’s years-long quest for a home of its own.
The simple answer is: I don’t know. As many of you know, I have followed this saga for eight and a half years. I have read numerous Memorandums of Understanding, been at press conferences with smiling officials who proclaimed the day had finally come to build a stadium. I've followed the goings-on in Tallahassee six times in eight years.
So for me to believe that the $515 million, 37,000-seat retractable roof ballpark will finally be built, I will need to see the shovel put in the ground -- something team officials hope will happen by year’s end.
That said, here’s why this agreement is different from all previous proposals: On paper the ballpark is fully funded without a gap.
It is a binding 35-year agreement that includes penalties should any side breach its responsibility or terminate the deal. (It’s a complex formula, but it ensures that all sides will essentially be out the same amount of money if the deal fails). It lays out specific time frames for every element of the deal -- from environmental reviews of the Orange Bowl site to definitive financing documents.
City and county commissioners are now being briefed on the deal. Historically, the commissions have supported the ballpark project – although rarely unanimously – and there should be interesting debate at Thursday’s 9 a.m. city meeting and 1 p.m. county meeting.
This is a significant amount of public money, but officials will take pains to stress that the $297 million of county dollars and $13 million of city dollars are derived from tourist taxes that can only be used for convention centers, sports venues and related projects and to attract conventions and tourists -- not schools, roads or social services.
The additional $50 million comes from a general obligation bond that county voters approved in 2004 to renovate the Orange Bowl. With the OB coming down, the county has moved those dollars to the ballpark project.
County lawyers believe they have followed proper procedure to move the money (they had a citizens advisory panel review it and held a public hearing). But a lawsuit by luxury auto dealer Norman Braman challenges the move, among other issues, saying it violates the state constitution.
(Braman is also challenging the city and county’s decision to expand Miami’s Community Redevelopment Agencies to generate millions of property tax dollars to pay for $3 billion worth of city projects. Some CRA dollars are to be used to pay down debt on the performing arts center, freeing up millions in hotel-bed tax dollars for other projects. Braman’s lawsuit says changing the form of the bond repayment breaches the contract with bondholders, of which he is one.)
The city will pay $10 million for demolition of the Orange Bowl and preparation of the site. This figure is not included in the $515 million ballpark project cost because the city will have to do the work regardless of whether a stadium is built there. The city will oversee the building of a $94 million 6,000-space parking garage, but it will get help from the team, which will pay for most of the parking spaces annually and then re-sell them.
The rest of the money is to come from the Marlins -- $155 million the team is mostly privately financing, but $35 million of that is in the form of rent payments of $2.3 million a year for the life of the deal. The rent part has been included so that the team will be able to contribute to the $2 million annual maintenance fund that is also being supported by the county and city. The team has agreed to cover cost overruns, unless delays are caused by the city or county.
At the very least, Braman’s lawsuit could hold up plans for the ballpark. There are any number of other ways to delay and derail the project.
But people close to the project think this is the closest they’ve ever come to realizing a ballpark.
As I always say: stay tuned….
Comments
So that Team is only contributing $120 million and the other $35 million comes in the form of annual rent payments of $2.3 million. Maintenance cost is estimated at $2.0 million.
The city is contributing about $121 million not taking into account the cost of the land.
County contributing $347 million.
I say let the Marlins leave, or all county and city residents have to be allowed to attend the games for free, if there is such a thing.
Posted by: Ernesto | March 14, 2008 5:16 PM
Congratulations on the Marlins getting their own stadium. The Marlins are the only team that has not lost in a World Series. I can't wait to go to opening day April 2011. 2 WORLD SERIES IN 15 YEARS OF EXISTENCE IS DARN GOOD.
Posted by: Eddie | February 19, 2008 5:49 PM
This piece of crap should be built in Broward, a.k.a. the suburban dump.
Posted by: Alex | February 19, 2008 3:07 PM
Tu liras les commentaires à la fin, Luria n`est pas accepté partout.
Posted by: Jean | February 19, 2008 7:35 AM
The Orange Bowl site??? Haven't we been there, done that? Few will come to a stadium in a very bad part of Miami, not to mention it's almost impossible to drive there anytime, but anywhere near rush hour - crazy! I live in North Broward and have attended Marlins games over the years (and did so even when I lived in northern Palm Beach County), but to have to drive in a traffic nightmare, park /walk in a very bad part of Miami, and probably pay a premium for the “privilege” too? Forget it! Let them move, or build a stadium in a place that makes sense to the public, not to the politicians, Marlins, and/or builders. I can almost hear the excuses now when attendance isn’t what was “expected” - but it’ll be too late, both the Marlin’s and the public will be stuck. Everyone involved has one chance to do this right, and they are about to blow it…
Posted by: Mike C | February 19, 2008 1:02 AM
If Sarah read the agreement more closely, she would see that about $125 million of the tourist tax money comes from convention development and visitor development taxes. This is NOT money that is restricted in use to building of sports facilities. It is money designed to attract conventions and tourists to the area as a means of putting dollars into the cash registers of hotels and restaurants. The amount Sarah refers to that is limited to sports facilities construction is about $125 million as well. But it not the whole as she mistakenly reports.
Posted by: Ted | February 19, 2008 12:18 AM
The last thing we should be dropping money on is a baseball stadium.
build a basketball arena or something.
Posted by: Evan Rowe | February 18, 2008 11:25 PM
Wrong place. Wrong place. Wrong place. Little Havana. High crime. Very dangerous at night Anybody listening? Build it and no one will come.
Posted by: Gary | February 18, 2008 10:11 PM
Mr. Luria and his millionaire players aought to pay for it. My taxes will not go to this idiocy!
Posted by: R B Quinn | February 18, 2008 9:40 PM
Boy, there are some really silly people on here.
"Use the money on other things!" The money CAN'T be used on other things. That's why they did it this way. This money, BY LAW, can only be used on stadiums and other venue building.
"Let the team move!" Yeah, because that's going to make the city of Miami look really great. Can't even keep a baseball team. One of the biggest and BEST cities in the USA, with no baseball team? Forget it!
"Let them buy their own stadium!" First of all, not even billionaires can really just plop down $515 million of their own money. Second, teams all over the country have gotten tax-subsidized stadiums. Why should the Marlins be held to a different standard? Besides, the city and county benefit! Jobs. Tourism. A venue the county can use in the offseason. A retractable roof stadium can be used a hurricane shelter.
Those that benefit should contribute. Everyone in the city and county will benefit even if they don't attend a single game. So stop complaining about the Marlins FINALLY getting what other teams get and start embracing positive change!
Posted by: Seab | February 18, 2008 8:28 PM
PLEASE take my money and build a stadium already. let the long time miami resident whiners suk it up.
they should have built it 5 years ago in that fetid patch of grass called Bicentennial "Park"
Rather pay for that than for your fat kids to go to public school . . . only to dropout and take up lawn maintenance.
No free education for losers!
Posted by: Concerned | February 18, 2008 8:08 PM
Just tell them NO... NO.....NO...
Posted by: Roberto | February 18, 2008 7:11 PM
So you want my tax dollars to pay for a place for someones team to play in so they can make millions and it will cost me at least a hundred bucks for me and my wife to go and see something we have already paid for. Wake up Dade county, THIS IS STUPIDITY. IF THEY WANT A STADIUM, LET THEM BUY IT.
Posted by: Marlins Go Away | February 18, 2008 6:15 PM
Now let me understand this. $2.3 million in rent? How does that size up to my apartment complex. Average rent $1500.00 per month x 200 units x 12 months = $3.6 million. Seems a bit low for all the money these crooks make. Let 'em move. What city would have them? Let's see, Columbus, Charlotte, Phoenix? If everyone said no, tehn maybe our societal priorities would start to match our needs, not the mega rich owners and business men.
Posted by: pete | February 18, 2008 5:46 PM
If they build in Miami, we will never go. Once again, brilliant politicans building where during rush hour or almost any time of day, you cannot drive south on 95 to Miami. How about letting them leave, save some money, build up our football, hockey, and car racing! Also, fix the roads too!
Posted by: No Way | February 18, 2008 5:36 PM
Will the environmental assessments include testing for toxic levels of spilled beer at the OB site? I mean, we're talking about SEVENTY YEARS of spillage here ...
Posted by: tgd | February 18, 2008 4:03 PM
The city and county should no more build a stadium for a millionaire owner of a ball team than they should build a car dealership, grocery story or shopping mall for millionaire businessmen. It's not a function of government to get involved in this kind of enterprise.
Posted by: Boots | February 18, 2008 3:53 PM
The city and county should no more build a stadium for a millionaire owner of a ball team than they should build a car dealership, grocery story or shopping mall for millionaire businessmen. It's not a function of government to get involved in this kind of enterprise.
Posted by: Boots | February 18, 2008 3:53 PM
If MLB (Bud Selig and those other brilliant minds) is so hell-bent on having a suck-a.s.s. juiced team like the Marlins, then why don't they ante-up the money to pay for this debacle?
Posted by: Paul | February 18, 2008 3:23 PM
Hey, Sarah, just wanted to let you know you've done a great job with this story all this time. You must be relieved to see something finally come to fruition.
Posted by: Perry | February 18, 2008 2:13 PM
I am against tax money being used to build anything to support people who earn millons of dollars a year. Let them build ther own stadiums. A fair number of these so called athletes are no more than criminals,drug users,robbers and even murders.You name it and one of them has done it.
Posted by: HANK | February 18, 2008 2:01 PM
I am against tax money being used to build anything to support people who earn millons of dollars a year. Let them build ther own stadiums. A fair number of these so called athletes are no more than criminals,drug users,robbers and even murders.You name it and one of them has done it.
Posted by: HANK | February 18, 2008 1:59 PM
It's about time. I would have preferred Broward (Next to Panther arena) but this is what we have. I'm excited!
Posted by: Steve | February 18, 2008 1:56 PM
Shoul dbe built in Broward but then got flushed after they dissed Waynes offer. Ego drove it to Miami. I guess if its in Miami then the Marlins stay? Better then them leaving. So, I guess this is better than nothing. Too bad it's in a horrible part of town. Don't count on Broward being there anytime during the work week.
Posted by: Oh Well, I guess | February 18, 2008 1:35 PM
too bad the city/county and state couldnt see the value in spending this money on maintaining the OB as home of the Hurricanes football program. Alot of history flushed down the toilet........
Posted by: PISSED OFF | February 18, 2008 1:08 PM
When Braman owned the Philadelphia Eagles, they were already in a publicly funded Veteran's Stadium. Without that venue being publicly funded, I don't believe Mr. Braman could have completed the transaction. He obviously has some other motives here.
Lets all remember that it's not just a 515 million dollar ballpark. it's a 515 million dollar construction job that will employ 515 million dollars of local labor.
Posted by: Duke | February 18, 2008 1:07 PM