WASHINGTON — D,C. Mayor Muriel Bowser said there are few benefits to not being a state, but this is a big one: instead of a lengthy legislative process, that she expects will have some “snags” in Virginia, the Mayor promised to fast-track the deal and get Monumental Sports their money by this Spring.
The mayor outlined her $500 million deal in a news conference Wednesday afternoon. A defiant Bowser said she is not defeated by Virginia’s offer to build a sprawling suburban complex for the Capitals and Wizards citing Virginia Senator Mark Warner’s own words when he said this was the first step.
“So that’s why you will continue to hear me say we’re in this because this is not done,” Bowser said. “[Sen. Warner] even recalled how they’ve been at this point before at that particular parcel and it all fell apart.”
The mayor said the deal on the table is the city’s best and final offer: $500 Million over the next three years to update the 25-year-old arena. Monumental Sports asked for $600 Million, but the mayor said they were only able to offer the $500M after the city CFO refinanced and found the extra borrowing money.
“We moved with great urgency, we’ve always taken it seriously and we put our best financial offer forward when we were able,” said Bowser.
She believed Ted Leonsis was negotiating in good faith, but Bowser said she did not know he was interested in a suburban arena. She said the Potomac Yard complex comes with traffic, as opposed to Capital One Arena which has more metro options.
“We know what he can expect there with all the traffic,” scoffed the mayor as she rolled her eyes. “We also know we have the best set up to move 20,000 or 30,000 people in and out 80 to 100 times a year.”
But as many downtown businesses leave citing the rising crime in Chinatown/Gallery Place, some suggest safety concerns had an impact on Monumental exploring the offer outside the city. It's an issue the mayor said she's spoken to owner Ted Leonsis about.
"He agrees with me that this is just a blip, meaning the time and that we've seen hard times before," the mayor said as she expressed confidence the city can bring down crime.
The teams bring in $25 Million in tax revenue alone. All the events at Capital One attract 2.5 million people downtown and bring in $340 Million in sales revenue. Potentially losing the teams is a major blow to nearby businesses.
“There’s a lot of work to be done, but right now it’s a challenge because of a lot of uncertainty in the air,” said Gerrin Price the President & CEO of the Downtown DC Business Improvement District. “But would I say to our business community that we’re standing together in this. There’s a commitment to ingesting real investment in our downtown core and I think that will be helpful in long run for all of our business community.”
To that end, the mayor has created a task force to re-envision the five acres of Capital One without the Wizards and Capitals with the women behind two of the city’s most successful mixed-use developments: Union Market in NE and The Yards in SE. It is a future the city’s prepared for despite their best offer.
“We are united and committed that Washington, DC teams should play in Washington,” said Bowser.