Tigers Owner Mike Ilitch said yesterday that he'll
contribute an additional $35M to the cost of the team's new
ballpark, according to Patricia Montemurri of the DETROIT
FREE PRESS. Ilitch said the project will now cost "about"
$295M, up from the earlier price of $260M. Ilitch: "The
extra money that I'm putting in is to make sure that some of
the things I want to do entertainment-wise will be included"
(DETROIT FREE PRESS, 8/26). The news came as the team
closed on a $145M loan from Japanese bank Sumitomo to
finance their share of the ballpark. The loan will be for
between 15 and 17 years, and will have a "floating interest
rate based on an index substantially below the prime rate.
At some point, the Tigers might negotiate a fixed rate."
Ilitch said he was "happy" with the loan terms, "I got an
additional five years with this bank and lower interest
rates." The loan's collateral consists of contracts
allowing the Tigers to use, occupy and manage the stadium,
as well as contracts providing stadium revenues, including
advertising and suite leases (DETROIT NEWS, 8/26).
