Style Weekly is reporting that a study produced by a consultant that specializes in convention centers and sports facilities concluded that a project similar to SportsQuest proposed in 2002 at the same plot of land in Chesterfield County wouldn’t break even without local tax support.
Bass reports: “The study, paid for in part by the county and the project’s developers, concludes that the cash flow generated by a $50 million, 9,000-seat sports arena and a $10 million soccer complex over the course of 30 years would be in the neighborhood of $1 million to $3 million a year, falling considerably short of the projected $3.9 million yearly mortgage payment.”
SportsQuest’s proposal isn’t identical, but the study is enlightening.
Chesterfield Country has said it plans on renting some artificial turf fields from SportsQuest in exchange for an upfront payment of $2.3 million plus an economic development grant of $2 million.
Aaron Kremer is the BizSense editor. Please send news tips to [email protected].