The Oakland City Council and Alameda County Supervisors will soon hold a public hearing and vote on a term sheet for a stadium proposal designed to keep the Raiders in Oakland, the City of Oakland announced on Friday afternoon.
These actions will occur on Dec. 13, as local authorities attempt to expedite a stadium plan that will prevent the Raiders from being approved to relocate to the Las Vegas market.
Oakland and Alameda County have paired with Fortress Investment Group to create a stadium funding plan that does not include taxpayer dollars. The public will contribute to infrastructure improvements, but stadium construction will come from private sources.
The private investment group is fronted by former NFL players Ronnie Lott and Rodney Peete.
Details of this stadium framework were released by the city of Oakland on Friday afternoon.
The term sheet calls for 105 acres of Coliseum site land for a 55,000-seat football stadium and 7,000 parking spaces, with another 15 acres reserved for an Athletics ballpark. If all goes according to plan, the term sheet set a target date for the stadium to be ready by the 2021-22 season. The plan also accounts for mixed use areas on the site that could be used for ancillary development.
The financial framework calls $200 million in public funds, generated through private and public bonds, would be used for infrastructure improvements. The Coliseum site land was valued at $150 million, and would be transferred to the Lott group. It is uncertain how the public will recoup that land value.
The Lott Group would invest $400 million dollars, and the Raiders and the NFL would put in $500 million combined, with $200 million from the league's stadium loan program. The Raiders could also raise funds from the sale of personal seat lisences, a common funding tool used in new stadiums throughout the league.
The stadium project plus infrastructure improvements is estimated at $1.3 billion. The Lott Group would be responsible for financial overruns.
City and county votes are the next step in creating a plan enticing enough to the NFL that it would pump the brakes on allowing the Raiders to move to Las Vegas.
That is Raiders owner Mark Davis’ stated desire. He has not negotiated with local public officials in some time, pouring focus into a Las Vegas stadium plan that has already received $750 million in public subsidy to construct if the Raiders are given the green light to move.
There are several complications associated with this deal, most notably that Davis wants no part in it. The NFL is reportedly intrigued by Oakland’s market potential, and generally prefers that teams remain in their home markets.
Oakland and Alameda County will vote on whether to continue working on this term sheet and present it to the NFL. The league meets on Wednesday to discuss relocation, and East Bay officials want to show they have a viable alternative to keep the Raiders in Oakland.