Cost overruns will be evenly split between the city andThe Flames owners will have a 35-year lease on the new $800-million building, with payments that start at $17 million per year and increase by one per cent per year from there — payments that would include all city-eligible revenue from the arena.
“If you go down there right now, it’s really just a lot of empty parking lots. And so this will help to open it up with wider sidewalks to support walking and wheeling and making exiting out of events afterwards easier as you think about all the events that will be happening in the area.”What’s next for Calgary’s Victoria Park following new event centre announcement
Neither of those are part of Calgary’s new deal in principle. Instead, those revenue streams for the city are folded into the annual lease fee from CSEC.“In the end of the day, they would all total together to be the same dollar value. And so that’s why we focused on the one revenue stream coming back to the city, which is the $17 million on year one,” the city’s GM of infrastructure said.Ward 10 Coun. Andre Chabot said “all of the revenue opportunities” around naming rights belong to CSEC.
CSEC will be responsible for maintenance on the building, with the city having to take care of any “major” work on the building.