The Marietta Daily Journal – Lee predicts unanimous Braves vote

MARIETTA — County Chairman Tim Lee on Thursday released the details of how the county and Atlanta Braves would pay for a $672 million stadium that would serve as the Braves new home beginning in 2017.

Lee said he believes all commissioners will vote in favor of the 30-year “memorandum of understanding” at the board’s Nov. 26 meeting.

“I am confident it will pass with a unanimous vote,” Lee said. “As an economic development project this small investment by the residents will bring back and yield a significant growth in our digest, in our sales tax, in our economic viability, it is a relatively small investment for a huge return not only for the Cumberland area but all of Cobb County.”

The Braves organization intends to buy a 60-acre wooded parcel off Interstates 75 and 285, where it would move from Turner Field, off of Interstate 85 near downtown Atlanta. The new stadium and parking spaces would sit on 15 of those 60 acres. The Braves have an option to buy the site from Bethesda, Md.-based B.F. Saul Co.

After buying the tract, the Braves would immediately deed the 15-acre footprint for the stadium to the Cobb-Marietta Coliseum and Exhibit Hall Authority. The Exhibit Hall Authority would then enter into an agreement with the Braves, allowing it to build on the site and manage the stadium’s business. While property taxes would not be paid on the 15-acre piece, taxes would be paid on the remaining 45 acres, which the Braves plan to develop into a strip of restaurants, hotels, shops and other entertainment venues.

Braves pay 55 percent

The total budget for the stadium, which includes parking and related infrastructure, is about $672 million. Lee estimated that includes 2,000 parking spaces.

The proposal is for the Braves to pay 55 percent of the stadium cost, or $372 million. The Braves’ upfront commitment is $280 million or a minimum of $230 million, according to a draft of the agreement. The Braves’ total contribution of $372 million over the 30-year life of the deal consists of $280 million paid by opening day 2017 and $92 million financed over the 30 years and paid by the Braves’ guaranteed revenues of $6.1 million in non-ticket revenue per year.

“They will guarantee them,” said Jim Pehrson, the county’s finance director. “If there’s a strike (by Major League ballplayers), for instance, they will guarantee those payments.”

via The Marietta Daily Journal – Lee predicts unanimous Braves vote.