STA DI U M CO ST $ 6 7 2 M
OVERALL INVESTMENT ATLANTA BRAVES: $372 MILLION LOCAL CONTRIBUTION: $300 MILLION
$672 MILLION TOTAL
[PERCENTAGES BASED ON NET PRESENT VALUE]
LOCAL COBB TRANSPORTATION CONTRIBUTION: CUMBERLAND CID CONTRIBUTION: LOCAL ANNUAL CONTRIBUTIONS:* EXISTING HOTEL/MOTEL TAX REALLOCATION OF EXISTING REVENUES** RENTAL CAR TAX CUMBERLAND DISTRICT TAX CUMBERLAND DISTRICT CIRCULATOR FEE
**NO INCREASE IN PROPERTY TAXES TO COBB HOMEOWNERS.
ATLANTA BRAVES $14 MILLION $10 MILLION $940,000 $8.67 MILLION $400,000 $5.15 MILLION $2.74 MILLION $17.9 MILLION PER YEAR ATLANTA BRAVES UPFRONT CONTRIBUTION: $280 MILLION ATLANTA BRAVES ANNUAL CONTRIBUTIONS:* RENT $3 MILLION NAMING RIGHTS REVENUE $1.5 MILLION PARKING REVENUE $1.5 MILLION ADVERTISING REVENUE $100,000 $6.1 MILLION PER YEAR
*ANNUAL CONTRIBUTIONS COVER PRINCIPAL AND INTEREST OF BOND ISSUANCE.
ECONOMIC IMPACT • 5,227 construction jobs with $235,000,000 in construction earnings, $35,000,000 of which will be in earned in Cobb County. • 3,141 ongoing ballpark jobs, resulting in $35,800,000 in earnings, with 1,617 of those jobs in Cobb County, resulting in earnings of $6,232,500 in Cobb County. • Visitor spending, resulting in 873 jobs which provide $25,000,000 in earnings, of which $8,906,754 will be earned in the county.
These numbers do not include the anticipated tax revenues from the planned Braves-owned mixed-use development around the stadium.
Atlanta Braves and Cobb County Major Deal Points Summary 1. Overview. The Atlanta Braves, Cobb County and the CobbMarietta Coliseum and Exhibit Hall Authority will be executing a Memorandum of Understanding (MOU) that sets forth their respective rights and obligations for development of the Atlanta Braves stadium in Cobb County. 2. Term. The term of the MOU is thirty years, commencing with the 2017 Atlanta Braves season. The Atlanta Braves will have the right to extend the term for an additional five years through the 2051 major league baseball season. 3. Stadium Project Budget. The total budget for the stadium is approximately $672,000,000. This includes stadium, parking and related infrastructure. 4. Allocation of Total Stadium Project Cost. Atlanta Braves Contribution: $372,000,000 – 55% The Atlanta Braves’ upfront commitment is up to $280,000,000 (minimum contribution of $230,000,000). The Atlanta Braves’ total contribution of $372,000,000 over the life of the stadium project consists of $280,000,000 paid by Opening Day 2017 and $92,000,000 (Net Present Value) being financed over the 30year term of the stadium operating agreement, and paid via Atlanta Braves’ annual guaranteed revenues ($6,100,000 annually), as detailed below: 1. 2. 3. 4. Rent: $3,000,000 Naming Rights Revenue: $1,500,000 Parking Revenue: $1,500,000 Marquee Advertising Revenue: $ 100,000 Total: $6,100,000 Local (Cobb County/Cumberland CID/Authority) Contribution: $300,000,000 – 45% $14,000,000 – The local commitment includes a transportation improvement contribution of approximately $14,000,000. $10,000,000 – The commitment of the Cumberland Community Improvement District includes a contribution of approximately $10,000,000. $276,000,000 – The CobbMarietta Coliseum and Exhibit Hall Authority will issue $368,000,000 of thirty (30) year revenue bonds of which the Atlanta Braves’ annual financial commitments will cover $92,000,000 of the bond issuance. Annual payments on the remaining $276,000,000 will be paid
from the following sources (projected totals): 1. Existing Hotel/Motel Tax – (Cobb County Portion): $940,000 2. Reallocation of existing Property Tax Revenues (no increase in property tax millage rate for Cobb County homeowners): $8,670,000 3. New three percent Rental Car Tax: $400,000 (to be approved by County) 4. New Cumberland Special Service District Tax: $5,150,000 (Consists of approximately three mills property tax increase in approximately the footprint of the Cumberland CID. This equals about $120 annually on $100,000 market value property.) 5. New Cumberland Special Service District Hotel Circulator Fee: $2,740,000 ($3 per room per night charge for hotels and motels in district footprint) 5. Stadium Design and Construction. The Atlanta Braves organization will serve as the design and construction manager for the project. The Atlanta Braves will be responsible for any cost overruns. 6. Operation and Management of Stadium. Except for the County’s right to conduct a limited number of special events, the Atlanta Braves have exclusive rights to use and operate the Stadium and permit third parties to do the same. 7. Stadium Revenues. Except for the County’s share of naming rights revenues, parking revenues and marquee advertising revenues, the Atlanta Braves will retain all revenues associated with the Stadium. 8. Stadium Expenses. The Atlanta Braves are responsible for all operating expenses of the Stadium. The Atlanta Braves and the County will be jointly responsible for all capital maintenance expenses of the Stadium. 9. Additional Agreements. The MOU also sets forth that the parties will execute more definitive agreements in connection with the Stadium Project including a Stadium Operating Agreement, Development Agreement, NonRelocation Agreement, Transportation and Infrastructure Agreement and any other agreements that the Parties deem necessary.