courtesy Gensler/MLS2ATX

Term sheet released for MLS stadium at McKalla Place

July 28, 2018 - 10:20 am
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AUSTIN (KJCE) -- City officials released a term sheet Friday night, outlining a proposed deal to build a Major League Soccer stadium on city-owned land at McKalla Place.

City Council will debate the deal, with public comment, in a special-called meeting on Wednesday, August 1, as well as its regularly scheduled August 7 work session and August 9 meeting.

Also on August 9, developers with alternative proposals for the McKalla site will get a chance to make their pitch to City Council.

The proposed deal calls for Precourt Sports Ventures, owner of the Columbus Crew, to build the stadium in time for the 2021 MLS season, paying for construction and financing. PSV will then donate the stadium to the city upon completion, and PSV will lease the stadium from the City.

The initial lease is proposed to be 20 years, with three 10-year renewal options. After 5 years of free rent, the team would pay $550,000 per year. Over the initial 20 year lease, that adds up to $8.25 million.

The team will be required to enter into a non-relocation agreement, according to the proposed deal.

The proposed deal calls for one acre of the 24-acre property to be set aside for up to 130 units of affordable housing. Eight acres of green space, open space, and performance areas that are accessible to the public year-round are also included.

The term sheet estimates the community benefits of the deal at $95.9 million over 20 years.

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