Title
Spectrum Center Agreement Revision
Action
Action:
A. Authorize the City Manager, or his designee, to negotiate and execute an agreement between Charlotte Arena Operations, LLC and the City of Charlotte in an amount not to exceed $30,000,000 for additional Spectrum Center improvements and $30,000,000 for the City's investment in a new practice facility development,
B. Adopt a budget ordinance appropriating $30,000,000 in proceeds from Certificates of Participation in the Tourism Capital Projects Fund for additional arena improvements and repairs,
C. Adopt a budget ordinance appropriating $30,000,000 in proceeds from Certificates of Participation in the Tourism Capital Projects fund for the City's contribution to a new practice facility development, and
D. Authorize the City Manager to negotiate and execute contracts necessary to amend agreements for the Spectrum Center renovations and advance construction of the new practice facility related to the City's agreement with Charlotte Arena Operations, LLC.
Body
Staff Resource(s):
Tracy Dodson, City Manager's Office
Teresa Smith, Finance
Explanation
* Current Hornets ownership, Charlotte Arena Operations, LLC, requested a change in city investment and the location of a proposed practice facility.
* The revised proposal has two primary changes from the agreements approved by Council in June 2022:
* The practice facility is proposed to be built on 60% of the 501 East Trade Street gravel lot adjacent to the Spectrum Center and will be an expanded facility including medical office.
* The city would provide development rights on the remaining 40% of the gravel lot that can be used for district vision supported uses such as a hotel or expansion of the practice facility development. If this portion of the site is not developed within 5-years, the development rights expire.
* The city will divert $30,000,000 initially planned for practice facility development construction to the Spectrum Center ($245,000...
Click here for full text