Nashville as MLB Expansion/Relocation Market

[samsonh]

8 hours ago, lmc123 said:

I could see them doing a sales tax TIF or TDZ similar to the new Titans stadium deal. The TSU site currently generates $0 in sales tax. 

Then they just need $2 billion for an expansion fee and maybe $1.5 billion for a stadium. Nearly there

[nashvylle]

23 minutes ago, samsonh said:

Then they just need $2 billion for an expansion fee and maybe $1.5 billion for a stadium. Nearly there

if a relocation, only $1.5BN left! 

[smeagolsfree]

The problem I see is if they use TSU land and TSU still wants it to be tax free as an educational institute. If TSU just does a land lease it will complicate the issue. This could messy. I guess it would be like the Church doing the land lease where they are building the hotel on Rosa. They hotel would be responsible for taxes.

Again, how many state legislators will go along with this??? More money for Nashville or what they perceive as more money for Nashville. 

I am just bringing up questions and I suggest you guys do as well.

[Bos2Nash]

Ground leases are pretty common for Universities around the country actually. Here is a quick google searched article regarding taxes and ground leasing.

https://www.goulstonstorrs.com/publications/tax-considerations-for-ground-leases/#:~:text=For some owners%2C ground leases,subject to a ground lease.

Here is a quote specifically where universities utilize ground leases to their benefit. I think a ground lease is the actual way to go in order to possibly launch a baseball program that can utilize an MLB stadium as a recruiting tool.

Quote

For instance, some universities that own vacant land or own unused student housing have turned to ground leasing, creating a new revenue stream to fund campus programs and initiatives. Family businesses may opt for ground leases to keep a property in the family, even if they don’t have the funds or the desire to develop it. For some owners, ground leases can generate higher returns on a property than they would get from its appreciation over time.

Although ground leases can offer many advantages to investors, there are also tax considerations. The tenant must pay the property taxes when the property is subject to a ground lease.

Combine a ground lease (and it's subsequent revenue for the university) and a great place for a Special Tax District (better than say the Titans stadium) and this could do amazing things from a sense of possible revenue, but also a sense of neighborhood pride.

[smeagolsfree]

You are a wealth of knowledge. Thanks for answering the question and as I had assumed it would be on the group leasing.

[PillowTalk4]

Let me be very clear before I make this statement... TSU has not made any formal statements or announcements regarding the MLB stadium.  That being said, it did come up in conversation between a TSU official ( someone who would have knowledge of any plans) and a small group of alumni during the TSU National Alumni Associations Annual Convention which was held in Miami Beach, FL in early June.  When asked how would such a deal work with a state funded university, it was stated that it is being examined as a possible land lease to the MLB ownership group and/or contingencies that include specific facilities for TSU and shared revenue with various components of the overall project, and possibly funding the return of a baseball team at TSU.   That same TSU official was asked if that would be discussed during their presentation at the convention and they stated no, because the discussions are not at a stage to present information publicly.   The TSU official did say that the MLB ownership group continues to reach out to TSU to discuss next steps and knows that they have eliminated other sites, which the TSU official would not disclose.  The TSU official  couldn't comment on what other sites are still under consideration.

[Nathan_in_DC]

I was unaware that Nashville was at least interested in exploring the idea of bringing in an MLB team as early as 1984. Pretty neat article from the May, 1984 issue of Nashville Magazine (also has a pretty hilarious article on new and interesting beer...like Heineken, Dos Equis, and Fosters) : https://archive.org/details/sim_nashville_1984-05_12_2/page/n35

[PillowTalk4]

The group looking to bring MLB to Nashville recently met with the Board of Trustees at Tennessee State University.  I believe the meeting took place on November 16th.  During the meeting the ownership group indicated the MLB is looking to expand by 2 teams.  One in the east the other in the west.  They indicated that because of issues being worked out with the Oakland A's and the Tampa Bay Rays that MLB has delayed expansion.  It is anticipated that the expansion will take place in 3-4 years.  They did state that they are not looking to move an existing franchise to Nashville.  Also during the meeting the ownership group re-established their interest in developing land on the TSU campus to include a stadium and other development  that will lend to growth in the area.  They indicated that they are very much aware of the flooding issues of the property and have reviewed existing flood mitigation studies but recognize that none included utilizing the land in the manner they intend to use it .  They indicated that they want to have a new study conducted that not only addresses the use of the land for a stadium but also mitigates flooding in the area, making it open for TSU to do more with the land.  Finally, they stated that they want to TSU to an integral partner in the overall development of the land.

TSU did indicate that they would obviously have to approve any plans for developing the land and work with the SBC, etc.   One board member actually brought up a question regarding revenue sharing  not just from developing the land but also from the team and other events.  The BOT also indicated that they are evaluating other proposals for developing the land.  However, the BOT did vote to approve for TSU's President to work with the ownership group to study and evaluate the site.  One board member stated that they want to optimize the overall use of the land that will include the universities plan to develop more research facilities on campus with private sector partnership.

[markhollin]

NBJ confirms what Pillowtalk4 shared. Music City Baeball has singed an agreement with TSU to begin assessing the 100+ acre tract along the Cumberland River at Ted Rhodes Park on the corner of Walter Davis Boulevard and Ed Temple Boulevard.

The roughly $150,000 TSU site survey, funded by Music City Baseball, will be led by Pillars Development LLC with the goal of better understanding the site and what needs to happen to make it ready for construction.

Positioned along the river and in a floodplain, it will also include cooperation with the Army Corps of Engineers and the state, as some environmental concerns are managed at the state level. 

“With the survey, we will start really understanding the site itself, the topography, areas that are not only in the floodplain, but how they are on a day-to-day basis …” said Edward Henley, principal and project executive of Pillars Development. “That ultimately sets our template for which we will use to start our design work. It’s step one. Check the boxes, make sure we’ve got all of those authorities that have certain jurisdictions communicated with and make sure they have an understanding of our efforts.”

The site assessment will begin very soon and take around six months, Henley told the Business Journal.

The next step will be conversations with the community and TSU as well as preliminary design work to figure out how the site could be developed. Afterward, Music City Baseball would present its findings to TSU who could begin having conversations with the state about development. During this time, Music City Baseball would continue both working on a vision plan with TSU as well as conversations with the MLB. 

TSU could not immediately be reached for comment Monday afternoon.

Music City Baseball's goal is to have construction — site preparation work such as utilities and grading work — begin in 2024. John Loar, managing director for Music City Baseball, said in a previous interview that the group’s timeline is focused on the potential Nashville Stars playing their first season in 2027.

The group previously identified the Texas Rangers' Global Life Field in Arlington, Texas, and the Atlanta Braves' The Batter in Atlanta as projects comparable to what they are hoping to bring to Nashville. Both serve not only as baseball stadiums, but also entertainment and event venues. The project cost for Global Life Field was around $1.2 billion.

More at NBJ here:

https://www.bizjournals.com/nashville/news/2022/11/21/music-city-baseball-begins-site-assessment-for-fut.html

[PaulChinetti]

Big ole chunk of land that looks like it's main feature is a goat & cattle farm. 

[MLBrumby]

That looks like it would be very tough to get in/out of on gameday. 

[PaulChinetti]

Based on attendance numbers, and how they've been declining I wonder how big they would want to build the stadium? Seems like smaller with many options would be better. 

[markhollin]

31 minutes ago, PaulChinetti said:

Based on attendance numbers, and how they've been declining I wonder how big they would want to build the stadium? Seems like smaller with many options would be better. 

New MLB ballparks in the last decade range from 35,00-42,000 capacity.  I can't foresee MLB allowing anything less than that.

[FrankNash]

I'm starting to warm up to this location.  I love the amount of riverfront and the history that could be made here.  I see a large marina and hotel on the river maybe located where the Exxon tanks are now.  The hotel would have a golf course view on the eastside and baseball stadium on the west.  The land along the river is  going  to be  in high demand IMO.

[jjbradleyBrooklyn]

2 hours ago, FrankNash said:

I'm starting to warm up to this location.  I love the amount of riverfront and the history that could be made here.  I see a large marina and hotel on the river maybe located where the Exxon tanks are now.  The hotel would have a golf course view on the eastside and baseball stadium on the west.  The land along the river is  going  to be  in high demand IMO.

Great points. I am warming up to this spot, as well.

Could be a super location once infrastructure and improvements to the surrounding area are made.

[PaulChinetti]

12 hours ago, FrankNash said:

The land along the river is  going  to be  in high demand IMO.

We are pretty bad as a city at addressing and using the river. This could change that for sure. 

[chc3]

12 hours ago, FrankNash said:

The land along the river is  going  to be  in high demand IMO.

I also dream of a light rail connection along the river, through Metro Center, then linking up with the existing tracks on Cement Plant Road and into downtown. That would tie in the East Bank, Germantown’s Neuhoff development and downtown. Perhaps run down a revitalized First Ave N.

[WebberThomas4]

I still think First Horizon Park could be renovated/remodeled/expanded for an MLB team.  There’s space to add seats and other MLB requirements . In fact, Target Field in Minneapolis was built on just 8 acres. FHP sits on a 10.47 acre lot. It  would be pricey but likely less than a brand new stadium once you factor in infrastructure, etc.  

And it’s a much better location. 

Edited November 22, 2022 by WebberThomas4

[nashville born]

20 hours ago, MLBrumby said:

That looks like it would be very tough to get in/out of on gameday. 

Hopefully, if this ends up being the location, infrastructure (roads) would be added and/or upgraded to allow for efficient traffic flow in and out.

[PillowTalk4]

21 hours ago, MLBrumby said:

That looks like it would be very tough to get in/out of on gameday. 

Probably no worse than GEODIS Park at the fair grounds once infrastructure issues are addressed.  As I said previously, if people don't all try to use the I-40 exits and entrance ramps for Jefferson Street and Ed Temple Blvd, traffic issues can be managed.  That area is accessible from Centennial Blvd.  from the west and Ed Temple Blvd via Metro Center/Clarksville Pike from the North.  Not to mention Buchanan from the east.

[Winter Panda]

TSU has been trying to develop this space for a while. I image the issue they ran into was the likelihood of flooding. MKSK, TSU’s original development partner, released renderings some time ago. It seems as though they were aiming to develop something akin to UTK’s Cherokee Farm, but with a mixed use component. https://www.mkskstudios.com/projects/tennessee-state-university-cumberland-shores-innovation-district

[Winter Panda]

For those interested in listening to the TSU Board of Trustees meeting regarding the Nashville Stars from back in November, the audio can be found here. The relevant portion begins at 1:44:20. https://www.youtube.com/watch?v=iAObHf-LH7Y&t=6835s

[nashville born]

Thanks, and welcome to the forum. @Winter Panda.

[smeagolsfree]

Don Mattingly joins Music City Stars group.

https://www.14news.com/2023/01/10/mattingly-joins-nashville-stars-push-mlb-franchise/

[MLBrumby]

Literally... a heavy hitter.