VIRGINIA BEACH, Va. (CelebrityAccess) – The Virginia Beach City Council has voted to approve a deal to build a new, multi-purpose sports arena.
According to the Virginian-Pilot, the new arena will feature a capacity of 18,000 and will be built on city-owned land adjacent to the existing convention center.
Funding for the poject will come primarily from a $170 million loan from The Export-Import Bank of China, and $40 million in private equity. As well, the city has agreed to spend an additional $76.5 million drawn from hotel and discretionary taxes to improve infrastructure around the venue, the Virginian-Pilot said.
Construction and funding of the new arena will be overseen by United States Management, a consortium that includes venue management firm SMG. The city has agreed to lease the property to USM for a period of 60 years.
The company plans to break ground in 2016 and open by the end of 2018. The city has mandated that the arena open by October 2019, the Virginian-Pilot said. – Staff Writers