From
Megan Mahan
Title
Resolution authorizing a Fifteen-Year Tenant Lease with Option to Renew for two Ten-Year Terms with MLC Dallas Stadium Co, LLC (or related assignee), for the Conversion Construction and Operation of a Cricket Stadium in the Entertainment District for a base rent of $20,000 monthly for 80 months, and $10,000 monthly for the Remainder of the Lease and percentage rent of 5% of Gross Revenues; Economic Development Agreement for a Cash Grant of $1,300,000 for Construction, a $200,000 Maintenance Reserve, waiver of all construction building permit fees and impact fees, and a 100% rebate of the 1% General Fund sales tax for construction materials; Consent to Easement and Use Agreement between MLC Dallas Stadium Co, LLC (or related assignee) and Anschutz Texas, L.P. for related construction on ancillary land
Presenter
Steve Dye, Deputy City Manager
Recommended Action
Approve
Analysis
A fifteen- year Lease Agreement would be executed with MLC Dallas Stadium Co, or related entity, as the tenant. Tenant will be paying for the conversion of Airhogs Baseball Stadium into a Major League Cricket Stadium, with the City providing a portion of the construction costs for suite, concession, retail upgrades and other improvements.
A large portion of the leased land is subleased from Grand Prairie Sports Development Corporation, so this lease will require their consent. The other smaller portion of the leased land is owned by the City. The building is owned by the City.
Rent would be calculated as follows:
Base Rent: $10,000 monthly for the duration of the term and all respective extensions
Percentage Rent: 5% Gross Revenues for the duration of the term and all respective extensions.
Construction Rent: $10,000 monthly for 80 months
Licensing Revenue Share: 2% of Dallas Licensing Revenue from global sales for 12 years; 2.5% of Dallas Licensing Revenue from US sales for 10 years (years 13-23)
The Tenant would pay all operating costs during the ter...
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