Guest MINDSETTER™ John Hazen White, Jr.: Three Strikes on Riverfront Ballpark

Wednesday, May 06, 2015

 

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The new owners of the Red Sox AAA franchise have just banged into the public opinion equivalent of the Green Monster in their attempt to shoehorn a new baseball stadium onto land designated to be a public park as part of the I-95 redevelopment project. The recent public meeting only demonstrated how far apart the state and the owners are on relocating the team to Providence.   

With the Governor, leading lawmakers and the I-195 Redevelopment District Commission members acting like sober adults not about to be seduced by the owners’ fairy dust, or hustled by their “must act fast” demands, it’s time for the ownership team to pick themselves up and refashion their plan for a Providence location, or begin to look elsewhere. 

Despite their vision for baseball in the capital city, not only is their desire for the riverfront location misguided – too small a space, already designated as a park that would also facilitate rainwater run-off, requiring Brown University to fork over land and forfeit a recently rehabbed building, requiring federal dispensation to use the land for another purpose – the new owners’ financial demands on the state and city of Providence have incited broad disapproval from Rhode Islanders and effectively put a gun to the heads of elected and appointed officials to play hard ball with them. 

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Instead of coming to the rescue of the PawSox franchise and being regarded as worthy inheritors of the Ben Mondor legacy, the new owners are viewed today as arrogant rich business guys trying to make a killing by destroying a beloved RI brand and tradition. Rejecting McCoy Stadium, which scores of people love, as old fashioned and Pawtucket as suddenly undeserving of a minor league team, has proved to be deeply troubling to both PawSox fans and average citizens who could care less about the fading National Pastime, but certainly don’t want to see the state take another financial bath on a bad idea. 

It’s too bad that the owners have given up on the longtime home of the franchise. Imagine if the new ownership group had unveiled plans to improve McCoy and purchase adjacent properties to redevelop the area and provide some of the amenities they have declared that the local area lacks? Instead of being the objects of such criticism, they would be seen as heroes. Pawtucket and the State of RI would be helping them at every turn. 

Sports and economic development, as has been conclusively demonstrated, do not readily equate. Public investment in sports franchises’ facilities does not spur real economic development. More properly, professional sports activities should be the beneficiary of a strong and healthy economy, made possible by the vibrancy that naturally happens when most people have jobs and discretionary income to spend on entertainment. In other words, pursue economic development first to establish a strong support base for cultural and entertainment venues. 

Our state, as we all recognize, desperately needs sound economic development and strategies for generating well paying jobs. Our present political leaders get that imperative very loud and clear, and they are not buying into the “field of dreams” narrative being spun by the owners. State officials would be reckless to throw aside the “meds and eds” pathway provided by the I-195 relocation land redevelopment to accommodate these owners’ wishes so they can profit off the taxpayers with a seasonally occupied, heavily subsidized ballpark. 

Those same officials are having enough of a challenge marketing the available parcels as it is: focus all attention on a fast track ballpark springing up on land originally designated to support the adjacent areas where the “real” development is supposed to take place, is a sure way to distract and derail the entire redevelopment enterprise.   

The principal owner has been making big public-private deals for decades. In fact, he’s a master when it comes to making such deals. The art of the deal, as he surely knows, is to be flexible and resourceful in order to get the best deal you can. With the riverfront stadium dead by the water, it’s time to regroup and maybe call the guy with a nearby plot of land he’s willing to sell. Or rethink Pawtucket before picking up the bats and balls and leaving RI.   

John Hazen White, Jr. is the owner of Taco, Inc. in Cranston.

 

Related Slideshow: The Ten Biggest Questions Facing the PawSox Coming to Providence

If the new ownership of the Pawtucket Red Sox want to build a new stadium in Providence, a number of questions need to be answered.  The potential for a major contruction project in the state's capitial city touches upon a number of issues, from money, to politics, to jobs, and development.  

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Owner interests?

What are the owners looking for from the state?

It's been one week since the new ownership group of the Pawtucket Red Sox was announced -- and their intention to look at Providence as a potential new location for the Red Sox AAA affiliate.  How long this has been their plan is unclear but what is more certain is the new owners are considering the pursuit of some public funding to be on the table.  What will they be seeking from the city and state, and how much?  As the state still reels from the failed 38 Studios deal, look to see what might be proposed -- and how the public reacts.  

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Public funding?

How much is the city -- and state -- willing to give?

While the new ownership has indicated that Providence is tops on their list for a new location for the PawSox, there are other cities and towns that could vie for attention. "I said to Mr. Skeffington, if Pawtucket could pull it out, would they be interested, but he said basically if it's not Providence, it would be a broader catch area," said City Council President Louis Aponte, of his conversation with the new ownership.  As the state and its capital city deliberate the best use of downtown real estate -- and the news 195 land -- how much will they be willing to make the new owners happy, especially if they starting pitting Providence against other locales?

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Economic impact?

What is the potential economic impact on Providence?

If Providence is the new home of the PawSox, it gets a ball club that has seen attendance at McCoy top 500,000 for 16 straight years -- only Louisville, Columbus, Buffalo, and Indianapolis have longer streaks.  "Anytime you can draw in on average 7500 people for games, it brings brings value to the state," John Gibbons, Executive Director of the Rhode Island Sports Commission, told GoLocal in January.  "That type of business doesn't necessarily draw in hotel use, but I know those facilities nearby do well when the PawSox play, and I know they bring in tax dollars every night with the sales at the park."  Jobs aside, watch to see who conducts economic impact studies -- and what that means in terms of any negotiations between owners and the city. 

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Jobs retained?

How many jobs will be retained?

Pawtucket's loss is Providence's gain, and the questions is does that go for jobs as well as economic impact.  How many of the existing PawSox job holders will see an opportunity in Providence?  Will the new ownership bring in new vendors, new office staff, new grounds crew? Will there be any downsizing in an attempt to streamline operations?   

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Jobs created?

How many jobs will be created?

One of the bigger questions is will a new Sox stadium create any new jobs in a state that certainly needs them.  Construction of a new stadium would no doubt provide short-term labor opportunities for the buildings and construction trades, but what about long term opportunities?  The development of the 195 land is beginning to take shape after addressing infrastructure needs, and now the city and state are looking to capitalize on the potential to foster high job growth industries.  Does a new baseball stadium fit that bill?  

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New business?

What will get built around it?

The potential location for a baseball stadium that is currently being discussed is the land just to the north of the South Street Landing project, the mixed-use multi-million dollar project will be a new home to a Rhode Island nursing education Center, Brown University offices and graduate student housing as well as a parking garage.  There are multiple 195 parcels on the land west of the river.  Will addition parking options be needed?  The PawSox play approximately 70 home games a year.  Who will step up as potential new neighbors?

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195 Plan?

How does it fit into 195 development?

Governor Gina Raimondo during her campaign called for the 195 land to be used as a manufacturing hub.  “In order to rebuild our economy, we have to start making things in Rhode Island again,” said Raimondo during the campaign. “My strategy will be to take the good ideas coming out of our universities and colleges and turn them into products we manufacture here. We have a historic opportunity with this I-195 land and we have to get it right." There are over eighteen acres available for development -- and Raimondo shook up the 195 commission last month with her own set of appointees, who have yet to make any major moves - as of yet.  

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Transparency?

What level of transparency will be disclosed?

The announcement of the sale of the PawSox to its new ownership group was followed by a press conference led by new owner James Skeffington.  While Skeffington offered ballpark figures for how much a new stadium might cost -- he cited $60-$70 million for other stadiums of its size -- what's unclear is how much the owners paid for the ball club.  If the ownership (whose personal wealth combined totals over $1 billion) seeks public funding, how much will they be willing -- and required -- to disclose about personal financial interests?

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Big picture?

Should Raimondo focus on larger issues?

Rhode Island's new Governor is entering her third month in office, set to introduce her first budget proposal in two weeks, and is facing tackling a projected $200 million budget deficit.  Having recently announced a working group to overhaul Medicaid, following identification of the state's most pressing fiscal issues, can the Governor afford to spend time brokering a deal for a minor league sports stadium?  Raimondo spoke of a state Innovation Institute being the cornerstone of her 195 vision -- will subsidizing a minor league ballpark be a focus of the administration?  

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Track record?

How have other deals performed – Convention Center, Airport, 38 Studios, Produce Market, Providence Place?

Providence hasn't seen major capital projects since Waterplace Towers changed the city skyline following the completion of the Providence Place Mall and the new Convention Center.  Since then, the failed 38 Studios deal has brought into scrutiny private companies being underwritten with moral obligation bonds -- and tax stabilization agreements in the city have similarly undergone scrutiny by the city council and taxpaying public.   Will a look a past projects play a role in the development of a stadium?

 
 

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