Staffers from the city of Austin have been working for more than two months to gather information about Major League Soccer and its potential fit at a city-owned property at 10414 McKalla Place. On Friday, that report was delivered to City Council and released to the public. Precourt Sports Ventures, the operating group of the Columbus Crew, is wasting no time in its push to bring the team to Austin. PSV wants to have an agreement with the city to build a stadium in North Austin by this summer and aims for the team to move next season and play in a temporary venue. Just hours after staff's report was released, PSV shared its full proposal to partner with the city to build a privately financed stadium on the McKalla site. PSV’s proposal is 189 pages, and the city staff report comes in at 35 pages with additional addenda included. The full reports are included here and here, but below are some of the highlights.
City staff report: What you need to know
1. Staff believes professional soccer could work at McKalla Place, but didn’t rule out other uses
The executive summary of the report from Rebecca Giello, interim director of the city's Economic Development Department, state McKalla Place would be a “suitable site” for an MLS stadium. “There is current compliant zoning, sufficient utility capacity, and daily on-site trips would be low,” according to the report. However, the report doesn’t go as far as to say that soccer would be the only suitable use of the site. It indicates that if the city issues a request for proposals to developers, then other potential uses could be evaluated, such as uses for “affordable housing, creative space, parks and partnerships with nonprofits.” The report states that “there was not sufficient time to conduct the appropriate market and financial analysis to ascertain their financial viability of a generalized mixed-use development of the site.” However, staffers came up with what they called a “blended” scenario to evaluate mixed-use redevelopment against an MLS stadium.
2. Infrastructure costs for a stadium would be approximately $15.9 million
Under either the stadium or mixed-use redevelopment scenario, infrastructure investments would need to be made for improvements like improving water systems and building new MetroRail facilities. According to the report, general redevelopment infrastructure improvements would cost $29.9 million. Infrastructure improvements costs for the stadium would come in at $15.9 million because there would not be a need to construct roads or sidewalk streetscapes or pay a parkland fee. The staff report states that the city would typically request the developer to pay for infrastructure costs, “but the sharing of those costs can be negotiated through a public-private partnership.” According to the PSV proposal, the city would be responsible for “the development of all site preparation, remediation and off-site infrastructure as may be necessary for the stadium project.”
3. A third-party economic report gives the city numbers to work from
In March, Anthony Precourt wrote a letter outlining the team’s “commitment to the community” and the $326 million in economic benefits that would derive from the club’s presence in Austin, citing job creation, charitable donations, community events and more. At the request of Council Member Alison Alter, Stanford University professor and sports economics professor Roger Noll wrote a letter to council responding to Precourt. “In essence, the letter recasts the main elements of the expenditure side of Precourt’s business plan as economic benefits to Austin,” Noll wrote in the response. As part of its report, staff enlisted the services of a third-party firm, Brailsford & Dunlavey, to analyze the potential benefits of the MLS in the city. The report from B&D Venues is optimistic about the club’s economic impact. “Development of the project will generate meaningful one-time and recurring economic and fiscal impacts,” the report states. The report estimates $54.2 million in economic activity during the construction period and $25.6 million in recurring impacts. Additionally, the report estimates the city of Austin would bring in $11.4 million in tax revenue over 20 years with an additional $5.4 million in tax revenue to Capital Metro.










