WARRENSVILLE HEIGHTS, OH – (RealEstateRama) — Congresswoman Marcia L. Fudge (OH-11) announced she supports the plan to transform Quicken Loans Arena. The building’s improvements – which feature increased public areas and address structural flaws and shortcomings in the building – would extend the life of the arena and the Cavaliers’ lease in Cleveland through 2034.
“This investment in The Q will result in numerous, significant economic benefits for all of the residents of Cleveland,” said Congresswoman Fudge.
“The Cavs are paying for half of this project and the public contribution does not involve a tax increase – there are no new taxes,” she continued. “In fact, a large part of the public revenues that would be used to help pay for this necessary project are existing admissions taxes generated by events held at The Q and paid for by those purchasing tickets to attend events.”
The project would ensure that The Q – the oldest publicly owned NBA arena – would remain competitive for many years to come. Building a new NBA arena can cost in excess of $600 million, so this solution represents a much more efficient and appropriate way to extend the life and competitive level of the arena.
“The facts about what The Q means for all Cleveland residents are irrefutable. The Q means jobs and growth, tax revenues and so much more,”Congresswoman Fudgesaid. “The building is a tremendous economic asset.”
The Q generated $44 million in tax revenues in 2016 alone – $18 million of which went to the City of Cleveland. Since The Q’s inception, the arena has generated more than $180 million in tax revenues for the City of Cleveland.
“The challenges facing Cleveland would be more substantial if it wasn’t for the economic benefits generated by The Q,” Congresswoman Fudge said. “The public half of the funding being invested in this project is almost entirely self-generated by The Q and well spent because it’s going to prolong the life of this publicly-owned building.”
Improving The Q increases our community marketers’ efforts to attract top regional, national and international events, including the NBA All-Star Weekend, which would bring substantial revenues into Cleveland.
The Congresswoman noted that ensuring that the Cavaliers will remain in Cleveland through 2034 yields other benefits. Team owner Dan Gilbert and the Cavaliers have invested more than $42 million during the last 20-plus years in community programs and causes that largely affect residents of the City of Cleveland, such as the Cleveland Food Bank and the Boys and Girls Club of Cleveland.
Gilbert and his Rock Ventures entity also recently led successful lobbying efforts to secure $60 million of federal Hardest Hit funding to fight blight in Cleveland neighborhoods and across Cuyahoga County – with 82% of that to date being spent in the City of Cleveland. The Hardest Hit Funds program has provided significant resources to help Americans avoid foreclosure, and eliminate blight and stabilize housing markets in targeted states.
“The transformation of The Q will greatly benefit the City of Cleveland and help ensure more economic opportunities for its residents,” Congresswoman Fudge added. “The Q transformation is good for Cleveland – it will create more economic opportunities for its residents and tax revenues for neighborhood services.”