Chiefs & Royals commit to Jackson County



Linkedin
Twitter

Royals and Chiefs committed to Jackson County Image: Coliseum GSVA

The NFL’s Kansas City Chiefs and MLB’s Kansas City Royals have announced their commitment to remain in Jackson County, where their stadiums are located, if voters approve an extension of the sales tax that pays for their upkeep.

KRCGTV said the Arrowhead and Kauffman stadiums, which opened in the early 1970s and are located at the Truman Sports Complex, have been tied to each other through lease agreements with the county for 50 years.

However, with the current lease expiring in 2030-31, both teams are planning for the future of their facilities, and the Royals have indicated they want a new downtown ballpark.

As part of the proposed agreement between the teams and Jackson County, the teams have agreed to provide more than $200 million in new economic benefits to Jackson County over 40 years in a new lease agreement, alleviating the County’s obligation to pay stadium insurance premiums as well as the park levy to the teams.

Under the agreement, the Chiefs will conduct an extensive renovation to iconic Arrowhead Stadium. The Royals will build a new downtown stadium and privately fund a $1 billion ballpark district.

The Coliseum Summit US 2024 will be held at Arrowhead Stadium, June 5+6.

Citing AP, KRCGTV further stated that the Royals have been considering bids from Jackson County, where a new ballpark would be built close to the existing T-Mobile Center and Power & Light entertainment district, and a competing offer from Clay County, which sits across the Missouri River.

The Chiefs and Royals will attempt to get the tax on the April ballot. If approved, that would clear the way for both teams to begin planning for construction and renovations.

The teams stressed that they have not sought any increase in the existing sales tax and have committed to providing the County with significant additional benefits by:

  • Paying for insurance coverages for their respective facilities – costs currently paid by the County – for the extension term of the Chiefs’ lease and new term of the Royals’ lease. This will result in a cost savings to the County of approximately $80 million to $100 million over the course of the extended and new term of the leases.
  • Providing the County the ability to reallocate each team’s share of an existing park property tax for other County uses for the extension term of the Chiefs’ lease and new term of the Royals’ lease. This will allow the County to utilize approximately $140 million for other County purposes over the course of the extended and new term of the leases.

 
The teams also said they are committed to entering into a robust community benefits agreement similar to agreements provided by other NFL and MLB teams for other venues providing for various initiatives that will benefit the citizens of Jackson County.

The teams said, “The partnership between Jackson County, the Chiefs and Royals has been a tremendous success over the past 50 years, and directly responsible for much of the great momentum our hometown has built.

“The framework described here is a significant financial benefit for Jackson County, collaboratively built around concerns expressed by the county executive and other local leaders and provides a further boost to Kansas City and the region for decades to come.”

Continue to follow Coliseum for latest updates on venues business news. Coliseum is dedicated towards building the best global community of sports and entertainment venue executives and professionals creating better and more profitable venues.

Become a member of the only Global Sports Venue Alliance and connect with stadiums, arenas and experts from around the world. Apply for membership at coliseum-online.com/alliance and make use of the 365Coliseum Business.

Watch 250 member-exclusive videos with valuable tips for your venue



« Previous News:
» Next News:


Advertisement Coliseum Summit News Banner - SGL System
Advertisement Coliseum Summit news banner - NEXO