A proposal reviving minor league baseball and spearheading a major redevelopment of the Louisiana State Fair Grounds along I-20 has been dropped because both sides and a consultant concluded it wasn’t economically feasible.
In a joint statement released Friday, REV Entertainment and the City of Shreveport announced a mutual decision to halt their proposed development project featuring a 4,000-seat multi-purpose stadium focused on attracting a minor league team. The decision comes after nearly 18 months of extensive conversations and deliberations surrounding the ambitious undertaking.
The Chicago-based firm Baker-Tilley was hired in May to conduct a feasibility study. The stadium, replacing dilapidated and partially-demolished Fair Grounds Field, along with a privately-funded 300-room hotel was the first phase of the anticipated $105 million project.
A mixed-use development, including a shopping and entertainment district and dwellings, was included in other phases of REV’s proposal. Arceneaux and his staff were open-minded to the initial concept announced by former Mayor Adrian Perkins just a few weeks before his re-election bid failed in November 2022.
The project, initially envisioned as a catalyst for community growth and development, faced a significant hurdle in the form of a detailed feasibility study conducted by Baker-Tilly. According to the study, the project would necessitate approximately $115 million in bonds, guaranteed by the city’s revenues.
Mayor Tom Arceneaux, in Friday’s official statement, shed light on the financial intricacies that led to the decision. The feasibility study highlighted that the additional costs, intended to establish a debt service reserve fund, pay for bond insurance, and cover other bond-issuing expenses, would result in an annual debt service payment of almost $8.4 million per year for 30 years.
Perhaps the most revealing insight from the Baker-Tilly analysis was the potential impact on the city’s finances. Over a 30-year period, the total net cost to the city, after deducting the Economic Development District (EDD) revenues, would amount to about $227 million. This figure includes up to $120 million from the Riverfront Fund and at least $107 million from other city sources.
Mayor Arceneaux expressed gratitude towards REV Entertainment, specifically mentioning Sean Decker and Madison SanFilippo, who dedicated over a year to the project. He acknowledged them as excellent potential partners for the city. Additionally, the mayor thanked the staff at Baker-Tilly, with special mention of Marta Purdy, whose comprehensive analysis provided the hard numbers that led to the decision.
Sean Decker, President of REV Entertainment, also weighed in on the situation, recognizing the changing timing and climate since the project’s inception in 2022. Despite the setback, Decker expressed belief in the power of sports and entertainment as community catalysts. He conveyed understanding for the city’s decision and expressed hopes of continued collaboration with the City of Shreveport in future endeavors.
The announcement stalls Shreveport’s pro baseball dream, as the city grapples with the financial complexities brought to light by the feasibility study. The collaboration between REV Entertainment and the City of Shreveport hit a roadblock, but both parties expressed optimism for future possibilities, recognizing the ever-changing landscape of sports, entertainment, and community development.