SALT LAKE CITY — The future of Delta Center is being planned.
Ryan Smith, owner of the Utah Jazz and now the owner of Utah's National Hockey League team, revealed plans to renovate the interior of the 33-year-old arena shortly after officially acquiring the Arizona Coyotes last month. I made it.
It turns out Smith Entertainment Group, Salt Lake City and Salt Lake County have ideas for what they want the city blocks surrounding the facility to look like in the future. Although there are no site plans or detailed renderings yet, representatives from the three organizations spent an hour in a crowded Salt Lake City Council meeting room Tuesday afternoon, essentially offering businesses that connect Delta Center to the city. He painted a picture of a city block filled with buildings and houses. Walk through easy blocks to reach the Creek Center.
The plan would preserve venues such as Abravanel Hall and the Utah Museum of Contemporary Art, but it's unclear whether those buildings will be renovated or rebuilt. The Salt Palace Convention Center will also undergo a major renovation, with a huge scale downsizing to make way for a new building.
“We call this a sports, entertainment, cultural and convention district,” said Mike Maughan, project principal with Smith Entertainment Group. “We need all of these elements if we are to have a thriving downtown core, which is why we are all committed to working together in this process.”
The update comes as the three parties work toward an agreement that must be finalized by Sept. 1 under a bill approved by Utah lawmakers in March. The bill, SB272, would establish a downtown “revitalization zone” of up to 100 acres and authorize the Salt Lake City Council to enact a sales tax increase of up to 0.5% to help pay for a major downtown overhaul.
The entire project is expected to cost billions of dollars, including $1.2 billion in new taxes. The City Council is scheduled to hold a public hearing later this month and could vote on the agreement as early as July as the planning process progresses.
Negotiations break down
As Smith negotiated contracts with NHL teams, Smith Entertainment Group began work on building an entertainment district.
The company asked the Salt Lake City Redevelopment Authority for a 99-year lease extension to remain on the block where Delta Center is located, according to a seven-page application filed with the city on April 4. A similar request was also made. Two blocks east of the arena were leased to Salt Lake County to create a new entertainment district surrounding the arena.
The ultimate goal is to improve “flow and connectivity” near the arena, Morgan said, but that's difficult because the Salt Palace blocks streets like 100 South.
The work to get there is ongoing. Salt Lake City Mayor Erin Mendenhall said the three parties are at a “fairly new” stage in negotiations, but the framework for the plan is beginning to emerge.
“What we know is that we want to make three blocks in the downtown core that are currently separated by driveways walkable and connected,” she said after Tuesday's meeting. “Walkability (and) connectivity is a priority and could free up some of the space occupied by cars.”
It is unclear when either project will be implemented.
Getting there would also require major road changes, so the Utah Department of Transportation will likely be involved in the plan at some point. The plan also includes several zoning changes, including the elimination of maximum height restrictions within the project area.
Buildings affected
There will also be some impacts on buildings.
The plan calls for major renovations to the Salt Palace Convention Center, which is likely to be the most affected building. Morgan said the convention center will be reconfigured to meet the current needs of business conventions, including building more meeting rooms and ballrooms on top of the larger space.
He added that Smith Entertainment Group hopes to maintain two buildings, Abravanel Hall and the Utah Museum of Contemporary Art, located within two additional blocks.
Salt Lake County Mayor Jenny Wilson released a lengthy statement hours before the meeting, saying her office is involved in discussions with the Utah Symphony Orchestra and Smith Entertainment Group over the future of the site. admitted.
“The vision for the redevelopment project is at an early stage and no decisions have been made regarding the future of Abravanel Hall,” she said.
She explained during the meeting that the building could be renovated or rebuilt. Maintenance of the 45-year-old building had been deferred, and major renovations were planned for the future.
An online petition asking the group to protect the venue has already gathered more than 20,000 signatures. Jack Clark, who started the petition, said he was “humbled and surprised” by the support it received, describing it as an important space for young musicians like the Utah Symphony Orchestra.
“We can coexist. We can have Abravanel Hall, we can keep a hockey team in the renovated Delta Center,” he told KSL-TV before the meeting.
One area that has been an issue is safety from potential changes. The remains of Salt Lake City's historic Japantown, the part of the city largely lost to the construction of the Salt Palace, are not part of the discussion.
That means Salt Lake Buddhist Temple and United Church of Christ in Japan will not be affected by either plan. Former Utah Sen. Jani Iwamoto, who attended Tuesday's meeting, said she was pleased with the update.
“We look forward to preserving what we have and restoring what we can,” she said.
advance cost
So how much does all this cost?
Smith Entertainment Group's “very preliminary estimate” is to spend at least $3 billion on the project, Morgan said. Some of that could be recovered through public funds.
The company asked Salt Lake City to approve a 0.5% sales tax increase that is expected to generate $1.2 billion in revenue over its 30-year life. The company can raise up to $900 million of these funds. Some of that money will go toward renovating the Delta Center, but “much of it” will go toward building out the precinct, he said.
I'm still optimistic about this, but it's clear that there are so many details that need to be ironed out before I can be completely convinced that public money needs to be committed.
–Salt Lake City Council President Victoria Petro
The company's proposal also noted that the proposal “could also require tax increment financing and the creation of a public infrastructure district.” This allows the company to collect profits from projects that increase property values in the area to pay for improvements.
But local leaders see positive aspects to the location. Wilson said there is no “revenue source” for the county or city to pay for the extensive upkeep of the blocks included in the plan.
future vote
But it's up to the Salt Lake City Council to approve the agreement and tax increases. Salt Lake City Council President Victoria Petro said she left the meeting feeling like she supported this vision, but she wanted to see a more definitive plan before the City Council voted. said.
“I'm still optimistic about this, but it's clear that there are so many details that need to be worked out before I'm completely convinced that public funds need to be committed,” she said, adding that the project The range has been reduced to 3 blocks, he added, adding that it was nice to know about it.
Petro City Council said it is discussing adding language to the lease that would ensure the two professional sports teams will remain on the Delta Center block throughout the 99-year lease term.
The City Council was scheduled to hold a public hearing on the issue on May 21st. However, members do not have much time to focus on projects. SB272 set a deadline of September 1, leaving just a short window for agreement. The plan would need approval from a new state commission.
If approved by the state, the City Council could vote on implementing a new city-wide tax by the end of this year.
Although SB272 has a short deadline, the bill is also very vague, so it is possible that an agreement can be reached before the deadline before a precise plan can be implemented and amendments to the agreement can be made.
“What we can do is stay at the table as we get through this,” Petro said. “Even with other regional agreements, we regularly review and amend them to make them better for all of us.”
contribution: shelby lofton