Project Details

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Results Chart for Delivery Method and Financing

Delivery Method

DBOM Partially Public Finance
# of Projects: 1
100% of the Results

Background informationProject Created: June 13, 2017

Project Name: New Texas Rangers Stadium
Year in Operation: 2021
Sector: Buildings
Subsector: Sports Venue
Status: Design / Construction
Type: New Facility
Description: In May, 2016, the Rangers announced that they intend to move from Globe Life Park to a new ballpark for the 2020 season. The new air conditioned stadium will feature a retractable roof. The new stadium will be built south of Globe Life Park, on the site of a current surface parking lot between Randol Mill Road and Cowboys Way (the road to the nearby Dallas Cowboys stadium). Space between the new stadium and Globe Life park will be an entertainment complex expected to be called Texas Live!, which is expected to include sports bars, restaurants and a hotel to be developed in three phases. The agreement between the City of Arlington and Rangers Baseball LLC is set forth in a 51 page agreement dated May 24, 2016.
Delivery Method as described in the country where it's located: Public Private Partnership
Is the project still active: Yes
Comments: The initial agreement calls for a 38 year initial triple net lease period that includes the period of construction, and which includes the options to the Rangers to renew the lease for two successive renewal periods of five years each. The Rangers (Tenant) are obliged to pay all O&M costs, maintain the faciity in first class condition, reasonable wear and tear excepted. Except for lease payments specified in the agreement, the Tenant has the right to receive and keep all revenues generated from the Complex. The team has a right to acquire the complex from the City for the option price of $100 M less base rent paid and cost of operations paid, but not less than $1.00.

Project Locations

Address: 1700 E. Randol Mill Road
City: Arlington
State: Texas
Country: United States of America

Souces of Project Support (Non-monetary)

Checkbox Checked Access to Land: 38 year initial lease time, that includes development, design, and construction period. Option to renew for two 5 year additional periods. Option to then purchase the site and the complex for price as determined under the agreement.
Checkbox Checked Revenue Stream (Cash Flow) Protected Through Long Term Commitment(s) of Public Sponsor(s): Rangers have right to all revenue streams during the lease term.
Checkbox Checked Environmental Clearance: With help from City of Arlington.

Souces of Project Support (Monetary)

Checkbox Checked

From Public (Government) Sources to Producers: City will issue $500 million in bonds to help pay for the stadium. A 0.5 cents sales tax, a 2% hotel occupany tax, and a 5 % car rental tax will pay off these bonds over the first 30 years of the lease.

Checkbox Checked

From Private Capital Markets Directly to Producers as Debt: The Rangers are responsible to demonstrate that it will fund its portion of the costs of design, construction, and O&M, either through private loans, cash or equity, or any combination thereof.

Checkbox Checked

From Producers as Equity: The Rangers are responsible for raising the balance of the costs of initial design, construction, and ongoing O&M throughout the lease. Voters approved a ticket tax of up to 10% and a parking tax of $3 per car at the stadium that will be dedicated to paying off debt arranged by the team. Rangers assume responsibility for any costs incurred in excess of the $1 Billion project budget.

Project Delivery & Finance Method

Project Delivery:
Design Build Operate Maintain (Partially Public Finance). Public Sponsor contracts for initial design, construction, and for long term operations and maintenance with a single entity. At the end of the term, Public Sponsor regains control of the facility.
Is there an independant checking engineer? No
Project Finance Method: All or Partially By Public Sponsor

Procurement Approach

Project Component
Qualifications
Based Selection
Request for
Qualifications
Request for
Proposals
Invitation
for Bids
Unsolicited
Proposals

Term for Key Components & Forms of Contract

Project Component
Years
Quarters
Combined Term: Initial Design, Construction, O&M Period
38
0
Forms
Description
Other
Negotiated agreement. General outlines of arrangement approved by voters. 

Project Value (If and As Known)

Date of Estimated Project Value: May 24, 2016
Project Value
Hard Cost
Hard & Soft Costs
Design
$100-500 Million US
$100-500 Million US
Construction
$250 Million - 1 Billion US
$250 Million - 1 Billion US
Operations & Maintenance
< $200 Million US
< $200 Million US
Total
$500 Million - 2 Billion US
$500 Million - 2 Billion US

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