Private-Sector Support For New Bucks Arena In Downtown Milwaukee Could Reach $300M
The "amount of private-sector support" for the possible development of a new, multipurpose arena in downtown Milwaukee will be "significant," according to Don Walker of the MILWAUKEE JOURNAL SENTINEL. Milwaukee-based Fiduciary Management Exec Chair Ted Kellner, who is one of six minority investors in the Bucks, said that he believes there is "potential for raising" as much as $300M. Kellner: "Collectively, there will be $250 million to $300 million of support, especially when you add in naming rights and suites." The $300M "includes the $100 million pledged by former owner Herb Kohl" and the $100M co-Owners Marc Lasry and Wes Edens have "put on the table." Metropolitan Milwaukee Association of Commerce President Timothy Sheehy, who formed a committee of business leaders working on the plan, said that he believed raising at least $250M "was achievable." Walker noted many expect that Edens, who has a "strong real estate and development background, will be able to entice additional investors." There has been "no specific estimate what a new arena would cost, but many knowledgeable observers believe it will be between" $400-500M. Sheehy said that of the 13 NBA arenas that have opened around the country since '99, the "average amount of public funding was 69%." In contrast, Denver's Pepsi Center was "built with only 3% public financing." Sheehy: "The point is that with strong private-sector support, Milwaukee's need for public financing will be significantly less than the average. How much less is still a question based on the estimated cost, for which we don't have a figure yet" (MILWAUKEE JOURNAL SENTINEL, 8/10).