Saturday, February 16, 2008

2/16/08: Washington City Paper - MacFarlane Speaks—”Hopeful” of Council Approval

Victor B. MacFarlane (left) smiles with fellow owner Brian K. Davis as Christian Laettner (right) joins the celebration at the announcement of new leadership for D.C. United.
MacFarland (left) Davis (right).

By Mike DeBonis
on Feb. 15, 2008, at 6:00 pm

LL wasn’t the only tall, handsome, impeccably dressed gentleman roaming the Wilson Building halls this afternoon.

D.C. United owner and real-estate mogul Victor MacFarlane was making the rounds of D.C. Council offices late today, trying to gauge and drum up support for public funding for a Ward 8 soccer stadium.

LL caught up with MacFarlane on his way out of the building about 20 minutes ago and asked him what his message was to councilmembers today. MacFarlane declined to talk specifics, but spoke in broad terms: “I think we’re focusing on the main principles….We’re going to provide substantial equity that doesn’t require any new taxes.”

Yesterday, a Washington Post article revealed that Mayor Adrian M. Fenty was in talks with MacFarlane about public funding for a stadium at Poplar Point.

MacFarlane has lobbied for a soccer stadium on Poplar Point since the days of Mayor Anthony A. Williams, but the talks came as a surprise, because MacFarlane’s company had declined to submit a bid to serve as master developer of the Poplar Point project after Fenty decided to open the land to other developers.

MacFarlane did say that he’s “very satisfied” with the announcement yesterday of Clark Realty as the master developer and that he and Clark had already begun talks about the stadium.

Asked if he was confident of council approval for any public-private partnership on the stadium, MacFarlane said: “I’m hopeful.”

2/16/08: The Washington Times - United's Stadium Could Help Nationals


Mary F. Calvert / The Washington Times D.C. Council Chairman Vincent Gray: "We could actually have parking for D.C. United used for the Nationals as well."


By Tim Lemke
February 16, 2008


D.C. Council Chairman Vincent Gray yesterday said a new soccer stadium at Poplar Point would help alleviate parking problems across the Anacostia River at the Nationals new ballpark.

"We have a horrific parking problem with the Nationals stadium," Gray said. "I'm not sure people know how close Poplar Point is. If we coordinate schedules, we could actually have parking for D.C. United used for the Nationals as well."

During an interview with reporters and editors of The Washington Times, Gray said there is now strong council support for helping D.C. United find a new home at Poplar Point, and that he has not ruled out using some public funds to construct the new facility.

"I think there are a lot of council members who are excited about how we can do this, and we'd like to reach some sort of conclusion sooner rather than later," he said. "I'm interested in trying to see what we can do to keep D.C. United here. The feasibility side of that I think really will still have to be determined, and that is what is the deal, what is the plan, and what will be required of the District."

Mayor Adrian Fenty on Thursday announced that Clark Realty will head up a massive redevelopment of the 110-acre Poplar Point site and said he is in favor of placing a stadium there.

Neither Fenty nor Gray, however, said they will support financing the stadium entirely with city money, as was done with the Nationals ballpark.

"I don't think there's likely to be any support for a deal in which we'd pay for the entire stadium," Gray said.

Poplar Point is located east of the Anacostia River, within sight of the Nationals ballpark in Southeast. Conceivably, Gray said, fans heading to Nationals game could walk from Poplar Point across a pedestrian walkway on one of the bridges crossing the Anacostia. The Nationals have identified only about 5,000 parking spaces in the ballpark neighborhood, forcing them to use shuttles bus fans from lots at the RFK site.

Gray also said fans parking in Poplar Point would boost economic development efforts east of the Anacostia.

"With Poplar Point becoming a mixed-use site, imagine 81 days with bringing five, 10 or 15,000 back to the other side of the river after games or even before games," he said.

Gray downplayed recent suggestions that the city would try to lure the Redskins back to a new stadium in the District. Early proposals have called for the city to tear down RFK and allow the Redskins to build a new stadium on the site. The city would provide the team with the land for free.

"To the extent there have been discussions with the council, I'm not aware of that at all," Gray said. "RFK has been around for 48 years, and there's absolutely no economic development that's taken place. If economic development is supposed to be the objective of this, how should I believe things will be different after 48 years?"

Meanwhile, Gray said he is hopeful that a new Major League Baseball academy will be under construction within the next year at Fort DuPont.

Gray, who campaigned for the academy when a council member representing Ward 7, said he has had several meetings with Dirk Kempthorne, the U.S. Secretary of the Interior, about getting access to the necessary land through either a transfer or long-term ground lease from the federal government. Construction could begin after an environmental study, which will take six to nine months.

Gray also said the Tiger Woods Foundation has had early talks about building a new learning center in Ward 7.

Friday, February 15, 2008

2/15/08: The Washington Times - Fenty Commits To MLS Stadium

Mayor Fenty, DC United Announce New Team Ownership
Mayor Adrian Fenty now appears willing to negotiate terms with the D.C.'s MLS side.


By Tim Lemke
February 15, 2008

D.C. Mayor Adrian Fenty said yesterday he is committed to placing a new soccer-only stadium at Poplar Point in Southeast, resurrecting hopes that D.C. United will continue playing in the District.Fenty stressed that the city has not struck a deal with the team but said he has had positive discussions with the Major League Soccer team over the last month about building the stadium as part of a $2.5 billion redevelopment of the 110-acre Poplar Point site.

"We understand that playing at RFK Stadium can't work," Fenty said. "We want to find a new stadium for D.C. United. Since Jan. 2, I can't tell you how many meetings I've personally had with D.C. United, let alone my staff, to try and come up with a proposal that makes sense for the District of Columbia."

Fenty made his remarks after announcing that the District selected Clark Realty as the master developer for the redevelopment of the Poplar Point site. Clark beat out several other companies during a competitive bidding process and has proposed millions of square feet of retail, housing and office space along with a 70-acre park.

During the bidding process for the development, Clark had presented plans that included an option for a new soccer-specific stadium. Clark's sister company, Clark Construction, has built several stadiums including FedEx Field and Nationals Park.
"We're just really coming to the table now," Clark Realty Capital managing director Cleve Johnson said. "Obviously, we've built stadiums, and we'd love the job. We're certainly open to working with them."

Fenty said he favored some public subsidy to construct the stadium, whose cost has been estimated at nearly $200 million. He declined to discuss specific financing plans.
One financing option raised to members of the D.C. Council this week was a plan to use excess revenue from business taxes relating to the financing of the Nationals' new ballpark. Such a plan likely would meet some resistance because many city leaders had hoped the excess revenue would be used to pay down the ballpark debt early, or be reimbursed to the business community.

Julie Chase, a spokeswoman for D.C. United owner Victor MacFarlane, said the team and city are discussing proposals that would call for some city subsidy — but no new taxes — as well as a "significant" contribution from the team. She said details, including how much the team would contribute, are still in the works.

"We're certainly happy to be in these negotiations, and we're just going to take it a step at a time," Chase said.

Talk of a stadium had appeared on life support as recently as last summer, when Fenty announced that he broke off talks with United in favor of pursuing a competitive bidding process for the redevelopment of Poplar Point. D.C. United responded by holding talks with officials in places outside the District, including Prince George's County.But council member Marion Barry, Ward 8 Democrat, said he believed Poplar Point would be redeveloped with a soccer stadium as part of the plan, and supported the use of public funds.

"I want to thank the mayor for being committed the concept of a stadium," Barry said. "A lot of work has to be done. We're on the same page. I've canvassed most of the members of the council, and I'm confident most of the members support enthusiastically the concept of a stadium."

Thursday, February 14, 2008

2/15/08: The Washington Post - D.C. United Must Chip In to Get Stadium, Fenty Says

Ward 8 residents are pushing to use a soccer stadium as a catalyst to develop Poplar Point, along the Anacostia River.
Ward 8 residents are pushing to use a soccer stadium as a catalyst to develop Poplar Point, along the Anacostia River. (By Alexandra Garcia -- Washingtonpost.com)

Washington Post Staff Writer
Friday, February 15, 2008; Page B02

D.C. Mayor Adrian M. Fenty said yesterday that he would support a public subsidy for a new professional soccer stadium if the team also invested in the project, stating that he opposed spending public money on the Washington Nationals' $611 million ballpark because the deal was too "one-sided."

Fenty (D) made his comments at a news conference near the site of where the project would be built along the Anacostia River. He sought to temper expectations about his administration's commitment to creating a new home for D.C. United, saying no deal had been struck for a proposed 27,000-seat stadium at Poplar Point, a 110-acre swath of neglected parkland.

Yet talk of a new stadium brought swift and divided reaction from residents, business leaders and activists, foreshadowing a replay of the protracted debate over the baseball stadium.

On Wednesday, Fenty told D.C. Council members in a private meeting that he was considering using up to $20 million a year in excess tax money being raised for the Nationals' ballpark to fund $150 million in construction bonds for a soccer stadium. The city also would lease 11 acres, valued by administration officials at $40 million, to United, bringing the public subsidy to $190 million.

"No one ever said there could not be public dollars" for baseball, said Fenty, who voted against the baseball package as a council member. "We said it had to be a fair deal. The baseball deal was completely one-sided. I would never support a deal that is 100 percent city-funded. I would support a deal that is a public-private partnership. Have we seen that deal yet? No."

D.C. government officials and a source close to United's owner, Victor B. MacFarlane, said the team would pay a significant amount of money toward construction, but they declined to be specific.

At the news conference, Fenty announced that Clark Realty of Bethesda had been selected as the master developer for Poplar Point, federal property in Ward 8 that is being transferred to the District. Clark has proposed a $2.5 billion mixed-use development with housing, offices, retail space, a 70-acre park mandated by the federal government, an environmental museum and business hub, and a "deck" that connects Anacostia to the new development. A soccer stadium is optional in the plan.

Fenty did not mention the stadium until it was brought up by council member Marion Barry (D-Ward 8), who supports the plan.

Barry and a dozen civic activists who attended the news conference said the stadium would spur long-awaited development in their ward. Residents, many of whom criticized Fenty for breaking off negotiations with MacFarlane last summer, chanted "Four more years!" as Barry thanked Fenty for "listening to the community."

The stadium "will be an anchor for all the other activity taking place," said James Bunn, head of the Ward 8 Business Council.

But business leaders, environmentalists and social activists raised concerns.

Since 2004, the largest D.C. businesses have been paying a special tax toward the 30-year construction bonds for the baseball stadium project. The debt could be retired several years early if the excess tax money is not used for other projects, according to a recent analysis by D.C. Chief Financial Officer Natwar M. Gandhi, and the special business tax could be discontinued.

James C. Dinegar, president of the Greater Washington Board of Trade, said businesses are upset that the council is moving forward with legislation that would require paid sick leave for all workers. He said the Board of Trade would consider the soccer stadium proposal if the city presents a cost-benefit analysis that shows a healthy upside.

But retiring the debt early "is always a prudent business move," Dinegar said. "Obviously, the economy looms large right now. There is unpredictability in the near future and long term. The cost to doing business in the District of Columbia continues to climb."

Barbara Lang, president of the D.C. Chamber of Commerce, said: "What we had hoped is that the bonds for baseball would be paid off earlier to relieve the business community of some of the fee."

Gandhi has cautioned city officials to begin conserving money amid a national economic downturn. He also has warned that the city is approaching its borrowing threshold on Wall Street.

Meanwhile, the coalition of environmentalists and social activists that fought the baseball stadium plan drafted a letter to Fenty and the council yesterday stating strong opposition to the soccer plan.

"At a time when the District is likely to face serious budget constraints due to a slowing economy, it is especially appalling to propose a huge subsidy for a luxury like a soccer stadium rather than investing in the basic needs of D.C. residents," the letter said.

2/14/08: The Examiner - United Gets The Ultimate Valentine’s Gift

Mayor Fenty, DC United Announce New Team Ownership
(Andrew Harnik/Examiner)
D.C. United owners Victor MacFarland (left), Will Chang (right), Brian Davis (right) and Washington D.C. Mayor Adrian Fenty (center), at a recent event for D.C. United owners.

By. Craig Stouffer, The Examiner
WASHINGTON (Map, News) - In a dramatic turnaround, the District of Columbia government has dropped its long-held resistance to a stadium for D.C. United and instead will announce today that it plans to contribute funds for the construction of a 27,000-seat arena at Poplar Point, the Examiner has learned.

The district will pay between $150-230 million to build a soccer-specific stadium — which will keep D.C. United from moving to the suburbs — on top of $236 million to subsidize infrastructure improvements, The stadium plan will be part of an announcement today of the selection of a primary developer for the Poplar Point site, across the Anacostia River from the Washington Nationals baseball stadium.

D.C. United officials did not return calls seeking comment.

After more than two years of informal negotiations over the development of Poplar Point, talks between the district and team over the development of the site broke down seven months ago. United had offered to pay for a stadium, but after talks broke down, was considering possible stadium sites in Greenbelt and New Carrollton.

If the plan is approved, it will become the largest publicly funded soccer-specific stadium in Major League Soccer by far, more than double the estimated $65 contributed by Commerce City, Colo., for Dick’s Sporting Goods Park outside of Denver, which opened last year.

Red Bull is paying $180-200 million for a stadium in Harrison, N.J., outside of New York City, according to reports. The Pennsylvania state government also recently approved a package that included $25 million, combined with $30 million from Delaware County and the city of Chester, toward a stadium in the Philadelphia suburb.


2/14/08: The Washington Business Journal - Clark Realty Capital Wins; Soccer Stadium Still In Play

[IMG00055.jpg]
Clarke Realty's Proposal For The Poplar Point Development


By. Jonathan O'Connell Staff Reporter


D.C. Mayor Adrian Fenty has picked Clark Realty Capital LLC to develop Poplar Point, a 40-acre plot of waterfront property on the Anacostia River.

At the Thursday announcement, held atop the parking garage of the Anacostia Metro station, Fenty said Clark's proposal "was the most superior" and that it would bring amenities east of the river "that residents of this area have desired and wanted for a long time."

A soccer stadium seems likely to be included in the deal.

D.C. asked the final three teams, Clark, Forest City and Archstone Smith-Madison Marquette to work options for a soccer stadium into their proposals and Fenty and Victor MacFarlane, owner of D.C. United, are negotiating a subsidy package to include a soccer stadium, plans Fenty shared with the D.C. Council late Wednesday.

But the mayor refuted press reports that stated the city planned to offer varying subsidies of between $150 million and $200 million. Fenty acknowledged that a stadium would require an agreement on a public subsidy "but we don't have it yet." Neil Albert, deputy mayor for economic development, estimated the cost of a 27,000-seat soccer stadium at between $200 million and $300 million and said MacFarlane had offered to pay a "significant portion" of that.

As a councilman, Fenty opposed $611 million in public financing for the Washington Nationals' stadium and backed out of direct negotiations with D.C. United for a stadium last summer. But Fenty criticized suggestions that the current negotiations represented an about-face from his votes, saying a subsidy for a United stadium would not resemble the "one-sided deal" for the baseball stadium.

Councilmembers Marion Barry, D-Ward 8, and Yvette Alexander, D-Ward 7, were on hand to applaud the announcement.

"I want to thank the mayor for being committed to the concept of a stadium," said Barry, a stadium supporter. He said he was sure there was enough votes on the council to pass a stadium proposal

Whether or not it includes a stadium, Clark has proposed a $236 million public subsidy for infrastructure for the $2.5 billion project. The Arlington-based arm of Clark Enterprises proposed building 1.5 million square feet of offices, 3,200 residential units, 405,000 square feet of retail and 224,000 square feet of hotels. Arlington-based Clark also planned an international environmental facility as a center for sustainable energy education and industry, as well as a pre-K through 12th grade school in partnership with KIPP, the network of charter schools that already serves hundreds of Ward 8 children.

All of the new development would surround 70 acres of park space.

Seven teams initially responded to the city's solicitation for offers, and three were quickly eliminated before the remaining four presented their ideas to the community in December. In the meantime, MacFarlane entered discussions with Maryland officials about the possibility of building a stadium in Prince George's County for D.C. United.

The federal government still controls the land, and D.C. estimates that it will take 12 to 18 months to transfer National Park Service facilities on Poplar Point to another location. The U.S. Secretary of the Interior will then have to certify plans for the site before it is transferred to the city.

Construction is not likely to begin until 2010 or 2011.