Turner Field is a facility that was built for three weeks of use for the Olympics, but has now served us well for nearly 20 years. The issue isn't the Turner Field we play in today, but instead whether or not the venue can remain viable for another 20 to 30 years.
Turner Field has served the Braves well since 1997, but it is in need of major infrastructure work, which will cost around $150 million. These upgrades are functional ones, such as replacing worn-out seats or upgrading the stadium's lighting, and they would do little to significantly enhance the fan experience. If the Braves were to pay for additional projects focused on improving the fan experience, the additional costs could exceed $200 million.
Those upgrades still wouldn't address the logistical challenges outside the stadium -- lack of consistent mass transit options, inadequate number of parking spaces and limited access to major highways.
Turner Field was given to the City of Atlanta following the 1996 Olympics. The Braves do not own or manage the facility and our lease expires in 2016. That being said, the organization has invested nearly $125 million into the facility for maintenance and improvements. The City of Atlanta and the Atlanta-Fulton County Recreation Authority will make the final decision on what to do with the property after the team moves.
BRED is an acronym for Braves Real Estate Development, LLC, the real estate holding company established by and operated as a subsidiary of the Atlanta Braves. The Braves created BRED in September 2013 and authorized it to acquire various parcels to ultimately assemble the property to build the proposed stadium and mixed-use development.
From the beginning of our discussions, it was important to the Atlanta Braves to find an arrangement that was in the best interest of our fans and our organization while also ensuring that the local community benefited from its portion of the investment. By taking on more than 90 percent of the upfront costs of the stadium, we are minimizing the amount that has to be bonded by Cobb County. In addition, we are paying another quarter of the stadium's cost through yearly payments to the county. It is important to note that these numbers do not include the hundreds of millions of dollars the Braves will invest in our neighboring mixed-use development or the thousands of jobs that will be created as a result of this project.
This is a very sound deal for the Braves, the Cobb tax payer, and the Cobb business community and we look forward to sharing additional details as the process moves forward.
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The Capital Maintenance Fund provides for capital maintenance and repairs for the stadium with both the Braves and Cobb County making equal contributions to the fund, as well as being equally responsible for all capital improvements, maintenance and repairs as needed.
Separately, the Braves are responsible for all costs associated with stadium improvements that enhance the fan experience, such as building dining clubs, new ballpark amenities and fan zones.
Per the terms of the memorandum of understanding, the CMF will not be accessed for the first three years after the stadium opens. This enables the CMF to accumulate funds and build a reserve for use at a later date.
It is projected the Braves will spend approximately $1 million per year in routine maintenance and repairs over the course of the 30-year lease. Initial projections have CMF expenditures lower than current ones at Turner Field due to the use of new, modern construction materials which have a greater facility life span, as well as pre-construction decisions that lower the exposure to CMF utilization.
For more information, please visit bravesupdate.com.
Work is underway to move the lines, and it's not uncommon at all for lines like these to be moved as part of the construction of new developments. The cost to move the lines is already accounted for in the total project costs.
The Braves have multiple sources of income for the organization, ranging from ticket sales to in-stadium purchases to licensing agreements and more. The more robust these revenue streams, the more competitive we can be in securing top-tier talent in the long term for the team. We have some of the best young talent in baseball on this team, and we felt it was in everyone's best interest to sign these players to long-term deals.
One key factor in our increased revenue is the growth in our local and national television contracts. Two additional factors related to the stadium are long-term lease stability and revenue generated from the ancillary development. Our current stadium lease was expiring in 2017, and it is hard to make long-term projections and investments without having certainty regarding our stadium. The new stadium brings long-term stability to the franchise, which helps us plan for the future. Additionally, the ancillary development around the stadium allows us to generate revenue 365 days a year, which gives us more ability to invest back into the team.
Cobb County has initiated discussions with Dobbins Air Force Base and the preliminary feedback from the USAF is that given the location information provided, they don't have any issues at this time. The proposed stadium is expected to be approximately 200 feet in height, which is less than the surrounding buildings.
Cobb County DOT Aviation Division will require an FAA study as part of their normal review process as required for all projects of a certain height. Based on discussions to date, we do not anticipate any requirement that we will not be able to address in a satisfactory manner with the county and the USAF. We understand the areas that need to be monitored and will take the necessary actions to resolve any issues and concerns.
No. The name on our jersey will still be "Atlanta Braves" and we have no plans to change our logo. Our new stadium will have an Atlanta address, and we will continue to be proud to represent the metro Atlanta area for the next 30 years and beyond.
The Braves have a rich legacy and storied history, and plans include moving the bricks to the new ballpark.
It's important to remember the Braves do not own Turner Field. Instead, the City of Atlanta and the Atlanta-Fulton Recreation Authority own the facility. Any decisions about what to do with Turner Field will be made by the City of Atlanta.
The Braves have 218 full-time staff members and 1,753 game-day employees. We spend a lot of our time training our employees. We always want to retain good, quality talent, and many of our game-day employees have been with us for many years.