The large Las Vegas suburb of Henderson is interested in acquiring a major league baseball team and willing to use a lot of taxpayer dollars to do it:
Renderings show a retractable-roof baseball stadium near St. Rose Parkway and Bermuda Road in rapidly growing west Henderson, which city officials envision as a hub for sports and entertainment. The proposed site, one of four floated by the city, sits behind the future headquarters and practice facility of the NFL’s Raiders.
According to the presentation, Henderson hired a consultant to conduct a financial analysis, assuming the ballpark would have 32,000 seats and space for 4,000 standing-room-only ticket holders. The Diamondbacks would serve as the primary tenant for a 30-year term and the stadium would be publicly owned and exempt from property tax.
The consultant estimated the ballpark would cost about $1 billion to construct…
The Diamondbacks expressed interest in creating a development at a potential new home, pointing to the entertainment district near the Atlanta Braves’ SunTrust Park as inspiration, according to documents that detailed the team’s wish list for prospective suitors.
The city said it ultimately views itself as capable of drawing major sports franchises because of a business-friendly approach, attractive demographics, socioeconomic characteristics and available land.
It sounds like the suburb of over 300,000 residents sees at least three benefits of such a move:
1. It would boost the status of the suburb. Few suburbs could boast of a collection like this with an MLB team, an NFL practice facility, and an ice rink connected to an NHL team. This could then help attract businesses and residents.
2. The potential for development around a major league stadium. Imagine restaurants, retailers, and residences near the stadium.
3. Becoming a unique location with a growing metropolitan region. As suburbs compete for corporate headquarters, residents, retailers, and entertainment centers, a stadium would stand out. It is easy for critics to stereotypes as collections of subdivisions and strip malls but Henderson would have a different collection of sites.
Yet, the research is clear: sports stadiums enrich sports teams, not communities. Suburbs that have tried this tend to run into problems (see recent examples of Glendale, Arizona and Bridgeview, Illinois). Teams will use cities and suburbs against each other to get better deals – just as big companies like Amazon do – and also leave those places behind if they can get better deals.
So before Henderson throws up to a billion dollars at a major league team, they should think twice. Can the suburb handle that amount of debt if it does not work out? Could that money be spent elsewhere on development and/or amenities that would benefit a broader swath of their residents? Is being a high-status suburb more important than being a quality place to live?