Credit Toyota Studium
Frisco City Council approved agreements yesterday to extend the lease term for FC Dallas, the Major League Soccer team in the city, and to fund up to $182 million in improvements for Toyota Stadium.
The renovations include, but are not limited to, 3,400 more seats, a structure for shaded seating and upgrades to the club and luxury suites, as well as new broadcast booths and press box areas, a city press release stated.
Mayor Jeff Cheney also praised FC Dallas’ owners Clark and Dan Hunt for “being part of an already successful public-private partnership that will span the next 30 years.”
“This stadium was built more than 20 years ago on an empty field which, at the time, seemed to be in the middle of nowhere,” Cheney stated. “Today, Toyota Stadium is synonymous with championships, marquee events and youth development leagues…”
The stadium improvements are possible through a public-private partnership involving the city and the Hunt family, as well as Frisco Independent School District and the Frisco Community Development Corporation.
FCDC will issue sales tax revenue bonds to fund $182 million and contribute $40 million for its share, the release stated. The city and FISD are using a tax increment reinvestment zone to fund its shares supporting stadium improvements. The Hunt family is responsible for up to $65 million, as well as any cost overruns exceeding the $182 million. The development agreement also extends the stadium lease more than 30 years.
In addition, the city, FCDC and the Frisco Economic Development Corporation (FEDC) will provide separated material sales tax grants. FEDC Board of Directors voted yesterday to incentivize the first phase of a mixed-use private development that includes:
Phase 1A – Hotel, Multifamily and Retail
- A 200-room upscale hotel
- 30,000 square feet of retail / restaurant space
- A multifamily luxury, high-rise building, 200 units minimum
Phase 1B Office and Parking Garage
- Class A office space, 200,000 square feet
- Parking garage
Following the completion of all phases, more than $1 billion in private investment is anticipated.
The FEDC performance-based incentives include a $25 million Qualified Infrastructure Grant, applied in two phases in $12.5 million increments, according to information provided by the city. To receive the incentives, the Hunt family must complete Phase 1A projects by Dec. 31, 2035; Phase 1B projects must be finished by Dec. 31, 2037.
“This investment highlights our dedication to enhancing Frisco as a top destination for residents, businesses, and tourists, driving sustainable economic growth and enhancing our culture of unrivaled performance in Sports City USA,” said Jason Dudley, chair of FEDC’s board.
The city will continue to benefit from Toyota Stadium improvements in the form of increased sales tax and tourism revenues, athletic facilities, job creation and reinvestment of a public asset.
The vote is an important step in providing the community with a modern, world-class sports venue, Dan Hunt, FC Dallas’ president stated in the release.
“I am grateful for the leadership of Frisco Mayor Jeff Cheney, the Frisco Independent School District, Frisco “The new Toyota Stadium will set the standard for modern hospitality and will continue to be a cornerstone of the Frisco community,” he stated.