(Alexandria) Virginia Governor Glenn Youngkin has a tentative agreement with the parent company of the NBA’s Washington Capitals and Washington Wizards to move those teams from the District of Columbia to what he calls it “a new vision for entertainment and sports” in the Upstate.
The proposal, which will require approval from state lawmakers, includes plans to build a $2 billion entertainment district south of Washington in Alexandria, a few miles from the two clubs’ current home, Youngkin said in an interview with The Associated Press, ahead of a news conference scheduled for Wednesday at the site.
The complex would include not only an arena for these two teams, but also a new training complex for the Wizards, a mega film studio, a huge complex for the performing arts, hotels, a convention center, as well as a residential and commercial portion.
“The Commonwealth will now be home to two professional sports teams, new corporate headquarters and more than 30,000 new jobs. It’s monumental,” Youngkin said in a statement.
Monumental Sports and Entertainment President and CEO Ted Leonsis participated in the press conference along with the governor and city leaders. He thanked Youngkin and said he had “goosebumps” at the idea of seeing the project come to fruition “if everything goes according to plan.”
Monumental also owns the WNBA Mystics. Leonsis indicated that Capital One Arena, where the Caps and Wizards currently play, could continue to host women’s sports and shows.
“Our intention is to expand here and continue to operate the Capital One Arena, a great location,” said Leonsis, a former top AOL executive.
To help fund the project, Younkin will ask the Virginia General Assembly in the 2024 session to approve the creation of a State Office of Sports and Entertainment, a public entity that can issue obligations.
Those bonds would be repaid in part by tax revenue collected by the project, according to further details provided by Youngkin’s office.
“We have a very clear agreement, which just needs to be approved by the General Assembly,” Youngkin said.
Tuesday evening, Washington Mayor Muriel Bowser unveiled a counterproposal that aims to keep the teams in her city. This proposal includes a $500 million revitalization of Capital One Arena.
“The modernization of the Capital one Arena will be an investment in our future prosperity,” the mayor said in a press release. This offer is the best possible and our final offer […] in order to keep the Wizards and Capitals where they belong: in Washington. »
Bowser added that this offer has the unanimous support of the city council.
When the Capitals and Wizards moved from Maryland to Washington’s Chinatown in 1997, executives said the construction of what was then known as the MCI Center had contributed greatly to the revitalization of downtown Washington. In recent years, many have criticized the administration’s crime-fighting policies and felt that the neighborhood around the arena had suffered disproportionately.
The Yougkin administration estimates the benefits of the project at 12 billion in the coming decades. If all levels of government approve the project, construction would begin in 2025 and be completed in 2028.
On Tuesday, Oklahoma City citizens approved imposing an additional 1 percent sales tax for the next six years to help fund a new downtown arena that will keep the Thunder , of the NBA, at least until 2050.
The financing plan and the introduction of this new tax were approved by 71% of the votes.
