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City authority created to own Cleveland Browns new stadium

Formation approved of a public entity to own the new Cleveland Browns stadium

Image: HKS

Brook Park City Council has voted to establish a special community authority to own the Cleveland Browns new Huntington Bank Field domed stadium and lease it back to the team.

Cleveland.com said the City would then raise money through special fees on restaurants and hotels in the neighboring mixed-use development.

The 6-0 vote, with one council member absent, came after a 30-minute public hearing in which only three residents spoke, asking just general questions while voicing no opposition.

Rather than transferring ownership directly to the NFL franchise, state and local leaders have pursued a model in which a dedicated public body will hold title to the stadium while leasing it to the Browns under a long-term agreement.

This approach reflects a common financing structure used for major U.S. sports venues, allowing governments to issue tax-exempt bonds, retain oversight of a significant public asset, and establish clear accountability for the management of public investment.

The new Huntington Bank Field enclosed stadium and surrounding district is being developed by the Haslam Sports Group (HSG) alongside a joint venture of AECOM Hunt and Turner Construction Company and HKS.

Ground was broken earlier this year on the 67,500-seat ‘Super Theater’ development which will be capable of hosting premier, large-scale events year-round beyond the Browns games.

The Brook Park New Community Authority (NCA) will be governed by four appointments from the Browns’ parent company Haslam Sports Group, and five by the city of Brook Park, including the mayor.

The NCA will be much more than the team’s landlord. It will have the power to issue bonds to help cover the cost of constructing the $2.6 billion stadium.

It will have the ability to tack fees onto concert tickets, restaurant tabs, hotel bills and other spending across the 178-acre entertainment district.

To help pay for development, the NCA could add a surcharge of up to 10% on purchases at restaurants and stores across the district.

Documents submitted to council also show a possible charge of up to 3.5% on admission to concerts and other ticketed events there, with a carve-out for NFL games. Hotel guests could see an NCA charge of up to 8%.

Those are maximum potential fees. The actual amounts haven’t been set.

This is similar to the arrangement in Columbus for the home of the Crew soccer team, which is partially owned by HSG.

Caleb Bell, an attorney representing the city, said, “Right now the stadium site doesn’t have anything on it. When it gets built there will be nice retail area, a plaza, there will certainly be the stadium. Your use of those areas is really where some of the funding comes from.

“As you buy a ticket you pay a ticket tax a little bit of that tax goes into fund the stadium construction, so in a way all of us who are going to go to the games we’re going to pay a little bit into how the stadium gets funded.”

Bell said the city of Brook Park would not be responsible if revenue shortfalls occur.

He added, “Things like capital repair, capital replacement — things like that — they’re covered in the lease where those are obligations of the team, not of the citizens of Brook Park.”
 
Inspired by Lake Erie and the City of Cleveland, the new Huntington Bank Field will deliver an immersive experience for visitors of all ages, including:

 
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