Those who "support subsidizing" a $175M arena to keep
the Rockets in Houston "hail the deal struck" this past
summer, according to Eric Berger of the HOUSTON CHRONICLE,
who examined the November 7 arena referendum in a two-part
special series. The newspaper's study of the seven most
recently built NBA arenas reveals four -- Dallas, L.A.,
Atlanta, and Denver -- were constructed with less tax money
than will be spent in Houston if voters approve the deal.
Only Miami had a "slightly larger contribution," and two --
San Antonio and Indianapolis -- were "built with
considerably more public money." Arena boosters "contend"
that unlike Houston, three of the four cities -- Dallas,
L.A. and Atlanta -- "offering less subsidies provided other
incentives." Rockets COO George Postolos, on the team
paying about $7M per year for "control" of the arena: "This
is one of the largest single-team contributions to a
building ever." Berger noted that of the cities reviewed,
only San Antonio and Indianapolis built arenas with "greater
public-money contributions." Harris County Tax Assessor-
Collector Paul Bettencourt: "The arena deal follows the
Enron Field type of model. It's consistent with how the
baseball and football stadiums were built in Houston. But
it's clearly not the model for arenas in the rest of the
country" (HOUSTON CHRONICLE, 10/15).
PROFIT SHARING: Berger added that Rockets Owner Leslie
Alexander "stands to reap" $30-45M more per year by moving
from Compaq Center to "being landlord" of a new arena.
Berger also noted that the city "would spend less money
buying and preparing" land for the arena under this year's
deal, with expenses capped at $20M. In the revised
agreement, the city would also "receive" $200,000 per year,
use of the arena for "convention-related events or fund-
raisers" on 20 days per year, and a suite between the free-
throw lines. Mayor Lee Brown called the new deal "much
better" for the city (HOUSTON CHRONICLE, 10/16).
REACHING OUT TO THE HISPANIC COMMUNITY: In Houston,
Janette Rodrigues writes that arena supporters "did some
direct" marketing to the Hispanic community yesterday,
"pitching" the arena plan to a "grass-roots group of Latino
leaders." The rally was sponsored by the Let's Build It
Together political action committee (HOU. CHRONICLE, 10/17).
