nashvylle

@Bos2Nash the $760mm will be revenue bonds, not general obligation bonds. I watched the presentation to the sports authority, and metro stated there would not be a backstop for the entire $760mm, but a portion, and that amount to be presented on the 28th. It would be for just the potential shortfall of debt service for that year, and it would have to be a situation where no revenue was coming in from any source (hotels, ticket tax, sales tax, etc.) for a long time (like years).

Thank you Kevin Rhoten!!

So South Bank is just... SoBro?

NES has had a huge backlog of meters, throughout the city. It has delayed some items for everyone.

The East Bank TIF was going to happen in either scenario (new stadium or renovation). madison TIF was privately owned land, correct? We can get a lot more affordable housing (walking distance to downtown CBD!) since it will be metro owned land

So essentially metro is going from sales and real estate tax of $0 (not including gas station and shoneys) to half of whatever is generated in future sales tax and 100% of future real estate taxes. the titans, not metro general fund, are backstopping the “first class condition” of the new lease, meaning if the area surrounding the stadium is never developed and does not generate any income, metro is not on the hook, the titans are. The 90 acres of vacant parking lots will be utilized for parks, affordable housing, and private development. The metro general fund is taken off the obligation for a renovation (at least $600mm+) and hotel guests will fund the majority of the interest payments, and NEW sales tax. Any general obligation bonds issued outside of the new stadium would have been issued for a stadium renovation. The $40mm in paid stadium expenses owed by metro’s general fund and future ~$20mm in remaining Nissan expenses also owed by general fund are now capped at $42mm and can be paid by sales tax on PSLs, not general fund… please approve this deal!

Yes- keeps us excited!

A shocking amount of Americans have disabilities now, be it from old age, veterans, or another disability. Nashville needs to become a city where you can get around.

Well said, and I’m not saying everyone just needs to walk. I think this situation will for Nashville and Nashvillians to utilize at least efficient bus transit in the beginning. RMR’s and River North’s developments will have parking too in addition to the 2,000 spaces in the stadium campus.

Not going to argue that we have mass transit in Nashville (we don’t as you state), but there are thousands of parking spaces across the River in downtown and the current plan maintains 2,000 parking spaces for the new stadium. If anything, getting people to walk a little will help with traffic in the area instead of everyone parking in the same place.

All the stadiums that were built we more private money are surrounded by hundreds of acres of parking because it’s so lucrative to the teams. I think we can all agree we’d rather redevelop these parking lots, finally collect sales and real estate tax revenue, build affordable housing and parks, etc.. and have metro’s portion be mainly paid by hotel guests

Some items to point out that Mendes fails to mention in his article- 1.) If no deal is done and Titans decide to leave town, Nashville’s general fund is on the hook for at least $100MM. $30mm for stadium maintenance paid by titans but not yet reimbursed (to be waived by Titans in new lease), $30mm for remaining general obligation debt from existing lease (to be waived by Titans in new lease), plus $40mm in projected repairs over the remaining lease term ($11mm paid by titans in 2022 alone). Believe this number is not realistic? How well do you think metro would do in litigation against a billionaire? It would cost metro millions just to litigate the titans. Metro would then own Nissan Stadium and all concert vendors (and CMA) would require proper maintenance upgrades, which would then be metro’s liability 100%. 2.) If no deal is done and titans decide to renovate stadium, Mendes admits that $760MM is a fair estimate of metro’s true lease obligation (not the $300mm report from 2017 which excluded… labor!) however, Mendes’ article fails to mention that per state law, the hotel/motel tax can only be applied to a new stadium. Therefore, $760mm in revenue and/or general obligation bonds will be backstopped by property taxes (Even JC Bradbury admitted to this). Do we want that? Of course not! 3.) Mendes’ is using the proposed state legislation to his argument advantage, when he needs to apply it both ways. He assumes that the state would take away tax collections in a new stadium, but then later assumes the state won’t take current, existing tax collections away for a new renovation. The state comptroller has said it’s illegal to go back on existing contracts, which is great, but Mendes can’t assume the state acts nefariously only in the new stadium scenario. 4.) there are many, many articles from 2019 on talking about how the titans and metro wanted to activate the surrounding, metro owned area when a renovation was contemplated. Metro was going to issue new debt for their metro owned land in either a renovation or new stadium scenario, and for Mendes to claim that metro was only going to issue additional debt for the new stadium is irresponsible. Therefore metro backed debt would be the ~$760mm MORE in the renovation scenario bc the hotel motel tax would now not apply. 5.) Stadium parking lots giving back to the city in the new deal absolutely have more value than Mendes is implying. It sits on a higher elevation than the nearly $300mm of land Oracle just paid for, as well as River Landings, and RMR Station East. Property is developed in the floodplain all the time. 6.) Mendes fails to mention this stadium is not the highest public contribution, by percentage. The percentage is the correct comparison to make because total construction costs increase over time, especially when we have record inflation. plus, all the other stadiums which have more private money also are surrounded by hundreds of acres of parking lots, which are huge revenue generators for the owners. No one here wants that. We want affordable housing, which will be built (Envision Cayce down the street and a great model). 7.) The chart showing recent renovations by other stadiums is in no way a close estimate of what should be done for Nissan stadium. The lease obligates metro to keep the stadium in first class condition, and the stadiums in the chart include NRG stadium, Indianapolis, Detroit, Miami… all of which have hosted super bowls and final fours… meaning when they were completed they were leaps and bounds ahead of Nissan Stadium and therefore require less renovation. 8.) nowhere have the titans stated the 2,000 parking spaces have to be built via garage immediately. This is a scare tactic by Mendes. There are currently 7,500 parking spaces… the titans have stated they could utilize some existing parking spaces as the surrounding area develops over time (Look how long the 10 acres at Nashville SC is taking to develop), and perhaps could be incorporated into private developments.

Is that even legal? Bond holders were promised to have certain revenue streams, and there has to be some protection from this type of action?

No.

If the State of Tennessee donates the land where the current 1-story tech warehouse is located, you could renovate or just demolish and build a new stadium. 5th avenue would have to end there (or go underground).

I am sure as soon as the western line is completed with buildings, the decision to cap the interstate will be made!

just repaint it all black EIFS and hopefully it looks similar to The Harlowe.

Some news could be coming early next year

I'll try and find it. I do believe it was in an interview.

I read somewhere that the architect has allowed for capacity to be expanded, either permanently if decided or for specific events.

I believe they are u/c, but @smeagolsfree could verify

Let's get added height further south by the interstate loop and we can have a canyon within SoBro and CBD.

This project is seeming to take forever, but it will be nice addition to the area.

Correct, although I believe that will just be for the parking lots the sports authority owns, and I am not sure if that will include the stadium village + 66 acres metro has reclaimed + private development, or just private development (like Market Street is Master Developer of The Gulch).

This situation is different from the sound stadium. Metro issued bonds for the sounds stadium construction and site acquisition, with bond interest paid back solely from NEW real estate taxes from new development built by the sounds management. No money was available day 1 of bond issuance, and the sounds had no clock to commence development, which was delayed for years. The new titans stadium relies on 1% hotel tax collected once approved by council, existing metro and state in-stadium sales tax at Nissan stadium, existing ticket taxes at Nissan stadium, existing pilot taxes (which will be phased out in 2032), plus in the future- team rent at new stadium and future sales tax from development you mentioned. On day 1 of issuing bonds, there will be approximately $40mm per year collected for interest payments, and this grows each year as more hotels are built(The 1% hotel tax can only be implemented for a new stadium, FYI). The 1% hotel tax and in stadium ticket and sales taxes plus titans will cover the interest for metro’s debt, with funds being collected and ready day 1 of bond issuance. The stadium village was going to happen whether we did a new stadium or renovation, and I think is more for “activation of the stadium” than necessity or metro protection. The sales tax from surrounding development will add to collections for interest for sure, but metro could delay the stadium village and we still have sufficient collections. whatever the infrastructure costs to metro outside of the stadium will be less than the 50% sales tax + 100% real estate tax collections. as part of the new deal, the titans are also waiving $27mm in Nissan stadium repairs paid by titans and owed by metro and $30mm in remaining G.O. Debt on the existing stadium.