The Athletics laid out Thursday how the team plans to finance their $1.5 billion Las Vegas Strip ballpark, with team owner John Fisher’s family set to contribute up to $1 billion.
A’s executive Sandy Dean updated the Las Vegas Stadium Authority that they will present four letters to board at the scheduled Dec. 5 meeting that will display that they have the needed financing in place to construct the 33,000-fan-capacity stadium, on 9 acres of the 35-acre Tropicana site.
The breakdown of the four letters to be submitted in December are as follows:
— A letter from A’s owner John Fisher’s family noting they are prepared to commit an equity contribution of up to $1 billion toward the project.
— A $300 million construction loan commitment letter from U.S. Bank and Goldman Sachs. U.S. Bank has been the lender for the A’s for four years and Goldman Sachs has advised the A’s on stadium issues since 2017.
— A separate letter from U.S. Bank will cite that as part of its due diligence for the loan commitment, it has reviewed some of the financial holdings of the Fisher family and the review included SEC filings, independent third-party appraisals and financial statements. U.S. Bank concluded the Fishers have more than sufficient assets for the equity required to fund the stadium’s construction.
— The fourth letter will be signed by the Athletics stating they are in receipt of a loan and equity commitment for the ballpark financing.
All commitments are subject to customary conditions, as is the case with most large-scale projects.
Customary conditions include:
— Completion of all the definitive documentation that goes with the stadium transaction including with the Clark County, the stadium authority, Bally’s Corp. and Gaming & Leisure Properties Inc., and any other related documents;
— There is no litigation;
— The land deed is transferred;
— Entitlement insurance is obtained;
— Opinions of counsel;
— A guaranteed maximum price contract is issued by stadium contractor Mortenson-McCarthy.
At the December meeting the A’s also will provide an update on the project’s cost, which Las Vegas Stadium Authority Chairman Steve Hill previously noted could increase.
When presented in December, the financial details will have taken about 17 months after the signing of Senate Bill 1 and six months ahead of the A’s planned start of construction to be revealed.
This is a developing story. Check back for updates.
Contact Mick Akers at makers@reviewjournal.com or 702-387-2920. Follow @mickakers on X.