Sacramento has less than a month-and change to figure out how to structure a private lease of city parking to fund a new entertainment and sports complex. The city took another step yesterday by holding an open meeting, updating the public on some of its progress. From Tony Bizjak of the Sacramento Bee:
Assistant City Manager John Dangberg said a consultant’s early analysis has found that the value of city garages, parking meters and ticketing revenues is significant – perhaps hundreds of millions of dollars – and could play a key role in generating upfront cash to launch construction of an arena.
“We’re working on getting to a more precise market value for our parking asset(s),” Dangberg said. “The range we are looking at today has potential to provide significant value to the entertainment and sports complex, if the council chooses to proceed.”
The idea of leasing city garages and street parking services to a private operator in exchange for cash was first broached last month by the mayor’s Think Big Sacramento arena task force. It was listed in a menu of funding options the group presented to the City Council. Also included is a per-ticket fee of several dollars on people who attend concerts, games and other events at a new arena, and an undetermined private investment from the company that is expected to operate the facility for the city.
The city has employed several consultants – inluding Los Angeles-based Walker Parking – to determine how parking assets might be leveraged in an arena deal.
The city council is expected to be briefed on a proposal December 13th.