FRISCO, Texas — This article was originally published by our content partners at the Dallas Business Journal. You can read the original article here.
Plans to upgrade FC Dallas' Toyota Stadium and make it the centerpiece of a large sports and entertainment district are moving forward after Frisco City Council unanimously voted Oct. 15 in favor of issuing $200 million in bonds to finance the project.
Hunt Sports Group, which owns the Major League Soccer team, intends to complete a $182 million renovation of the city-owned Toyota Stadium that will include canopies to add shade, more seating and improved amenities.
After the renovations, Hunt plans to develop more than 1 million square feet of office space, a 200-room hotel and a 200-unit multifamily tower around the stadium. The project carries an estimated total cost between $1.1 billion and $1.3 billion.
This week's council vote authorizes the Frisco Community Development Corp. to issue $200 million of sales tax revenue bonds. The amount covers the $182 million in upgrades as well as the costs of issuing the bonds, in addition to a reserve fund for each series of bonds including the purchase of a surety bond, according to a city memo.
City officials expect to complete the sale of the bonds in November, according to the memo.
City council, the Frisco Community Development Corp. board, the Frisco Economic Development Corp. board and Frisco Independent School District trustees gave the deal initial approval in mid-September, making the vote on the bonds largely a formality. There was no discussion prior to the vote, and no one testified in opposition.
Frisco CDC will pay $40 million to cover 20% of the debt service. The City of Frisco and Frisco ISD will pay $77 million, or 44% of the debt service, using a tax increment reinvestment zone. Hunt will pay the remaining 36% of debt service, or $65 million, as well as cover any cost overruns.
The city will also provide an economic incentives package to Hunt, including a $25 million qualified infrastructure grant from the FEDC, for the mixed-use portion of the project.
Hunt's planned upgrades at Toyota Stadium will increase the 20,500-seat venue's capacity by almost 17% by adding 3,400 seats to the underutilized north end. A fabric canopy will also be built over the east and west seating areas, as well as the majority of the north end, to add much-needed shade — critical during summer matches in Texas.
Frisco approves $182 million Toyota Stadium renovations
Other renovations will include upgraded club spaces and seating, luxury suites and new broadcast booths and press box areas. The reconstructed concourse structures will also include new public restrooms, concessions and retail outlets. The club also plans to install a new LED sports lighting system, along with major audio and visual upgrades.
Dan Hunt, president of FC Dallas, has previously said Toyota Stadium will get a 6,000-square-foot LED video board, the largest video board for a soccer-specific stadium in MLS.
The upgrades will increase club seating capacity by 175% and add 58% to suite capacity by adding two new suite levels.
Toyota Stadium will also increase concession points-of-sale by 59%, expanding the game-day menu and offering quicker service for attendees. A roughly 25% increase in restrooms is also projected.