ASM Global-GreenCity deal on greenest US venue

Article posted by Coliseum, February 16^th, 2023

Image: ASM Global

The mixed-use eco-district development GreenCity Partners and the leading venue management company of the world – ASM Global – announced on February 13^th that they have entered into an agreement for the development and operation of the proposed 17,000-seat GreenCity Arena in Henrico County in Virginia planned to be the greenest venue in the United States.

Design for the arena will be finalized in the Fall. Construction is expected to begin in early 2024 with completion in 2026.

‘ASM Global’ stated that the venue will be designed for touring concerts, family shows, sports and tournaments, and will be a central feature of the $2.3 billion development.

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Los Angeles, California (US)-based ASM Global is the world’s leading producer of entertainment experiences. It is the global leader in venue and event strategy and management – delivering locally tailored solutions and cutting-edge technologies to achieve maximum results for venue owners. The company’s elite venue network spans five continents, with a portfolio of more than 350 of the world’s most prestigious arenas, stadiums, convention and exhibition centers, and performing arts venues.

GreenCity is a $2.3 billion private, mixed-use eco-district development that includes a 17,000-seat arena for major concerts, sporting events and other entertainment. GreenCity would be designed around principles that promote environmental sustainability, civic engagement and inclusion. The development would integrate extensive parks, trails and open spaces, and include two million square feet of office space, 280,000 square feet of retail space, 2,400 housing units, hotels, and the arena.

Located along interstates 95, 64 and 295 in Virginia’s capital region, Henrico County is a diverse, highly educated community of about 340,000 residents and one of Commonwealth’s top localities in public and private sector employment as well as visitor spending. Henrico holds an AAA bond rating from the three major rating agencies, and its commitment to fiscal management is matched by its leadership in economic development and environmental stewardship.

‘ASM Global’ further stated that the above agreement also provides for ASM Global to partner in other components of GreenCity, including its main street retail and hospitality uses that developers believe will provide additional district synergies.

GreenCity Partners Principal Michael Hallmark said, “What we wanted in an arena-development partner is someone that also understood district programing. The arena may well be the main attraction, but GreenCity is much more.”

Henrico first announced GreenCity in December 2020 as a mixed-use development featuring office, residential, retail and hotel uses designed to high-sustainability standards as an eco-district. The arena is being planned as a net-zero energy project, with additional design features and practices that developers believe will make it the greenest arena in the United States.

Added Hallmark, “A growing list of touring artistes as well as corporate sponsors are viewing climate change action strategies as key factors in their decision process. They can go anywhere. We want them to come here. Developing Science-based targets and net-zero goals is just good business.”

Board of Supervisors Chairman Frank J. Thornton of the Fairfield District stated, “The Henrico County is thrilled to welcome ASM Global as another key partner in GreenCity. The company has a stellar record operating hundreds of premier sports and entertainment venues throughout the world, including the 63,400-capacity State Farm Stadium in Glendale, Arizona. With our Community Development Authority in place and ASM Global added to our all-star team, GreenCity has tremendous momentum and is ready for takeoff.”

The arena construction will be largely paid for by bonds issued through the GreenCity Community Development Authority, which was established by the Henrico Board of Supervisors on January 24^th. The Community Development Authority will be overseen by a separate board. The American multinational financial services company JPMorgan Chase & Co. is expected to lead the underwriting effort.

Added Susan Eastridge, GreenCity, “Through most of last year, we had been focused on the formation of the Community Development Authority and the arena financing. With the development entitlements in place and development agreements signed with the county, partnering with a world-class arena development and management partner was one of the last remaining pieces to advancing the arena design and construction.”

The arena site, located along Interstate 95 between East Parham Road and Interstate 295, is seen as the best location for a major arena in Virginia.

ASM Global Executive Vice-President of Development Liam Thornton said, “We believe this location is optimal within the greater region, as the I-95 corridor connects touring shows from Boston to Miami. It will be a tremendous venue for us as well as Central Virginia. “Additionally, the extensive work already done by the Henrico County in terms of completing planning approvals, the development agreement and the formation of the Community Development Authority demonstrate their track record of successfully partnering with the private sector on consequential projects.”

The mixed-use nature of the development, the creation of a district around the arena and its extensive focus on sustainability standards also were draws for ASM Global.

ASM Global President and head honcho Ron Bension stated, “It’s a beautiful development plan, impressive at every level. GreenCity offers tremendous synergies for the talent we hope to attract as well as the corporate partners we believe will be eager to be a part of this exciting project.”

JPMorgan Chase & Co. is an American multinational financial services company headquartered in New York City (US) and incorporated in Delaware. It is the largest bank in the United States and the world’s largest bank by market capitalization.

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