The Blazers and the city of Portland were expected to sign a lease extension so the franchise could continue to play at the Moda Center. That's done. Scoot Henderson's teammates will continue to play in the arena for five more years.
The deal, however, requires the city to chip in to renovate the venue. The Portland City Council even bought the Moda Center and a plot of land for $7.13 million.
“The transfer of the Moda Center to the city is a key financial element of the venue’s new operating lease and provides significant property tax benefits to operators.”, unveils the town hall. “It also gives the city greater control over the building and potential changes that could be made to it in the future. In addition, public ownership of the hall facilitates future public investments in the building, including those from debt-related sources, such as taxable government bonds.”
The city of Portland's contribution to the renovation costs cannot exceed the amount it earns in game and parking revenue. With renovations coming, the Blazers and the city could negotiate a deal to negotiate a long-term contract to keep the franchise in Oregon.
An important economic district
The Rose Quarter, the Moda Center neighborhood, is a major development axis for the city of Portland. The neighborhood hosts no less than 260 events and 1.7 million people each year. This contributes to 6,000 jobs and $600 million in revenue. And the Blazers play a significant role in this.
“The majority of this production is directly related to Portland Trail Blazers games.”the town hall says. “It is critically important to Portland, the metropolitan area and the state of Oregon that the Rose Quarter venues continue to operate and that Moda Center remains the home of the Trail Blazers.”
The Blazers will seek additional government funding to renovate the arena, which has not had a facelift since it began operating in 1995. But the city and the franchise are willing to work together.
“Reinvesting revenue generated by the Moda Center and Rose Quarter will help maintain its competitive position in the NBA, enhance the fan experience and make it competitive for more prestigious concerts and tourism events.” » explained the town hall at the end of last week.
