snapshot
data she e t
kalamazoo event center
major tenants
live Expos and
sports community events
why now?
As the Kalamazoo County Commission
proceeds with the development of the
new Justice Center, the opportunity
exists to adjust the site one block to the
east. This adjustment would allow for
the two blocks to the west to be utilized
for a parking structure that could be
integrated into an events center. For if
the current plan for sitting the Justice
Center moves forward, the opportunity
to site an event center in the urban core
will be lost.
Having rebounded from the last
recession, the Kalamazoo County
economy continues to outperform
most counties throughout the state of
Michigan and the U.S. With an April
2018 jobless rate of 3.4%, the county
enjoys an unemployment below the
state average of 4.0% and national
average of 3.7%. In addition, the county
continues to realize major growth from
its anchor institutions. The one metric
where the state, region and county
continue to struggle is population
growth. To attract and retain young
people, Kalamazoo County must have
the kind of amenities appreciated by
the younger generations. Past polling
8,000
SEATS:
Approximately 6,000 for sporting events
with an additional 2,000 for live events
$110 million
ESTIMATED COST:
Live
Entertainment
indicates a strong desire from this
demographic for a live entertainment
and sporting venue. MAJOR SOURCES
OF FUNDING:
Both the Southwest Michigan • FOOD AND BEVERAGE EXCISE TAX
First Board of Directors and the • PRIVATE SECTOR SPONSORSHIP
organization’s Next Generation Task • STATE OF MICHIGAN
Force, comprised of more than 40 • Private endowment
emerging leaders under the age of 35,
have both voiced support for an event
center as the top priority for the region
in terms of talent attraction and growth.
fast fact
216,000
SQUARE FOOTAGE:
The Kalamazoo Region
is the largest region in
the Midwest without a
modern events center. Approximately five acres
or two city blocks
The positive impact of downtown
event centers is being felt throughout
the country. From the recent
development of Little Caesars Arena
in downtown Detroit to similar
infrastructure constructions in Kansas
600
PARKING SPACES:
City and Toledo, communities are
reaping the benefits of job creation
and economic vitality that an event
center can breathe into a downtown.
Joint use with county
ownership structure
*to be updated based on county legal review
Kalamazoo County
50-year
rent
lease
event center authority board
(owns event center)
taxes proceeds
from sale
bonds
30-year
series 1 $110 million
secured by tax + interest
series 2
unsecured
community
Investors
current public funding options
State law allows a county to levy a
Stadium and Convention Facility Surcharge
on food and beverage from restaurants
of up to 1% to fund the construction and
management of a facility.
In order to levy the surcharge, a simple
majority of the citizens of the county must
approve a ballot measure.
other funding options
The Transformational Brownfield Program
would allow the project to capture the
construction sales tax and income tax
within the zone. The project must exceed
a $50 million investment.
Most similar facilities sell private
naming rights for the facility, suites,
and special sponsorships.
timeline
1
County board authorizes a ballot
proposal for the voters of the
county to approve new excise
50-year rent payable from taxes on food and beverage
and accommodations.
sublease net proceeds
operating ENDOWMENT
501(c)(3)
2a
County board creates a new
building authority that will own
the event center and issue bonds
professional manager to finance the cost of the project.
promoter
sports
live
events expos 2b
County corporate counsel, in
collaboration with building
authority, will determine ballot
language and payment of bonds.
3
Ballot initiative will appear on
the May 2019 ballot.
4
Construction begins
winter 2019.
frequently asked questions
Q: Where is the proposed site for the event center?
A: Arcadia Commons West would have the most opportunity for collaboration with the
county in terms of shared parking and the greatest impact on retail spending. There are
potential other sub-optimal locations.
Q: How many jobs will the project create?
A: It is estimated the project will result in 700 construction jobs and 200 permanent jobs.
Q: Will the county be responsible for any of the debt of the facility?
A: The bond repayment will be met through the food and beverage surcharge.
Kalamazoo County will have no additional obligation or liability. Operating costs
will be met through fees and sponsorships.
What are we asking for?
The commission’s support to place this issue on the ballot:
We understand that individually you may not support this project, but we
ask that you allow the people of Kalamazoo County’s voices to be heard.