SBD/2/Facilities Venues

MEGAPLEX FINANCING HINGES ON HOTEL FEES, PRIVATE INVESTOR

     The MA megaplex commission's $943M convention center-sports
complex "hinges on" $23.4M in annual payments from the hotel
industry and calls for $90M in corporate contributions that are
yet to be determined, according to this morning's BOSTON GLOBE.
In approving financing yesterday, the commission "effectively
tied the convention center and two sports facilities together,
recommending that no individual portion go forward unless the
entire project does" (Richard Kindleberger, BOSTON GLOBE, 6/2).
     NUMBERS BREAKDOWN:  Of the $943M in costs, $90M would come
from corporate contributions, $150M from the Red Sox and $703M
would be financed.  Annual financing costs are $75.4M.  With $29M
annually from the state, $5M from the Patriots and $45.3M from
"dedicated revenue sources" (hotel and rental car fees, ticket
surcharges and stadium parking), the commission projects annual
revenue at $79.3M.  Costs:  $79.7M for site acquisition, $162.2M
for infrastructure, $547.4M for convention center and domed
stadium, $150M for the baseball park, $6.7M for legal and other
fees (BOSTON GLOBE, 6/2).  Gov. William Weld meets this week with
a top official from ITT/Sheraton, which has expressed interest in
becoming an investor.  An ad seeking corporate investors has
drawn 13 responses (Meg Vaillancourt, BOSTON GLOBE, 6/2).
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