Athletics continue to face financial challenges with new stadium

The cost for the new Athletics’ stadium being built in Las Vegas has now surpassed $2 billion and that’s according to the club’s owner John Fisher.

In November 2023, the ball club’s move was approved by Major League Baseball. A new baseball field would be built on what was formally the Tropicana hotel site for the cost of $1.5 billion.

The project was then revised to a price of $1.75 billion. The stadium is projected to open April 2028, and the cost will now surpass the $1.9 billion price tag it costs to complete Allegiant Stadium.

The financing of the project includes $300 million construction loan from U.S. Bank and Goldman Sachs. Another $380 million in public funds were enabled by the state of Nevada with the passage of SB1 in 2023.

Concessions giant, Aramark was selected to provide the stadium’s food and beverages. It is noted that Aramark will take a minority stake in the team with a $100 million equity investment with an additional expenditure up to $75 million.

Team owner John Fisher has already pledged $1.1 billion toward the completion of the project. Fisher mentioned, the costs have gone up as more detail comes in. That’s fine,” he said. “From the very beginning, we wanted a design that was unique. Vegas is one of the most unique towns in the world. We wanted a building that would symbolize the excitement and uniqueness that is the market.”

At this time, Fisher is still actively looking for the right mix of collaborators on the project.