Wednesday, February 13, 2013

Maybe a Stadium Wouldn't Cost $600M?

There hasn't been a comprehensive stadium study in Tampa since the ABC Coalition estimated in 2009 that a retractable-roof facilitiy would cost between $500 million and $600 million.  And while the Rays haven't indicated anything less than a "state-of-the-art" facility would suffice, one thing has changed in the last four years that could affect a new stadium's pricetag: interest rates.

Depending on the product, interest rates have fallen approximately two percentage points in the last five years, meaning it would be cheaper to finance a stadium.

Of course, Miami has proven it can still cost billions to finance a stadium.

And of course, if Congress eliminates the municipal bond exemption, it could cancel out any interest rate improvements.

But at least interest rates and construction costs have gone in a favorable direction for the Rays.  It could be time to re-examine what a new stadium would cost.  But, of course, most in Tampa Bay would rather focus on location first.

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