(The Center Square) – The Chicago Fire may be building their own soccer stadium, but city taxpayers will be on the hook for hundreds of millions of dollars in infrastructure.
The Chicago City Council met Wednesday and approved $424.9 million in tax-increment financing for the Fire stadium site in the South Loop neighborhood.
Several aldermen expressed concerns that taxpayers would be funding construction of a city-owned parking garage for the stadium.
Alderman Daniel La Spata said, according to city estimates, the garage would generate $3 million to $4 million in annual revenue.
“At best, and even if you increase that by 50%, we are maybe recouping our investment in 50 years time,” La Spata said.
La Spata said most stadiums don’t last 50 years.
Alderman Pat Dowell defended the project in her ward, saying there would be housing and retail on top of the garage.
“That podium will bring into the city’s coffers property taxes, sales tax revenue, so it is not just a parking garage,” Dowell said.
Dowell said the city would also have the opportunity to gain revenue from advertising and signage at the site.
The $750 million, privately-funded stadium is slated to open in 2028. The funding approved Wednesday is for site preparation, streets, transit, utilities, open space connections, a Chicago River wall and the parking garage podium.
“Field of Schemes” co-author and fieldofschemes.com operator Neil deMause said it is becoming more common for team owners to say they’re not using public money for stadiums.
“It’s starting to sort of creep into, you know, we’re building the stadium ourselves, but of course all the stuff that allows the stadium to exist, we’re asking for taxpayer money,” deMause told The Center Square.
The deal includes a shift of TIF funds from the neighboring Canal-Congress district to the stadium district.
“This doesn’t necessarily mean that it’s more public money. It just means that the initial pool of tax money that was going to be used to pay for this infrastructure looks like it’s falling short,” deMause said.
deMause said there are a lot devils in the details with stadium deals.
