NASHVILLE, Tenn. (WTVF) — A long-awaited decision about Nissan Stadium has finally been made: The Titans are on track to get a new home.
On Monday, Nashville Mayor John Cooper and the Tennessee Titans announced they have come to an agreement for a new enclosed stadium to be built directly east of the current Nissan Stadium.
According to the city, this proposal benefits city taxpayers by ending the lease agreement for the current Nissan Stadium. Right now, Nashville is legally obligated to provide a "first-class" stadium until 2039.
With hefty renovation needed, the team was facing a $1.75 to 1.95 billion price tag to keep up the stadium over the remaining 17 years of the Titans contract.
“This new stadium proposal protects Metro taxpayers by not spending a single dollar that could be spent elsewhere on our core priorities like education and public safety,” said Mayor Cooper. “Doing nothing was not a legal option for us, and renovating the current stadium proved to be financially irresponsible, so we are proposing a new stadium paid for by the team, the state, tourists and spending around the stadium — not by your family.”
In this agreement, the Titans will waive outstanding bills to the tune of $32 million that is owed by the city for the construction and maintenance of the existing Nissan Stadium made over recent years. Additionally, the team will pay off the remaining $30 million in bonds owed on the existing stadium.
Mayor Cooper joined NewsChannel 5 This Morning on Tuesday to discuss why the decision was made to build a new stadium and how he feels it will benefit the city.
Watch his interview in the video player below:
Funding for the new stadium will come from four sources: football-related, the state, hospitality and stadium and campus sales.
By the numbers, $840 million and any construction overruns will come from the Titans, NFL and PSL sales while $500 million will come from the state's one-time contribution.
According to the proposal, the remaining $760 million will come from revenue bonds issued by the Metro Sports Authority.
This comes to a total of $2.1 billion, which is in line with an estimate given by Tennessee Titans President and CEO Burke Nihill in May.
These are set to be repaid through the revenue streams like hospitality, stadium and campus sales. The revenue stream means there can't be a referendum like there was in 1996 for the original stadium. NewsChannel 5 analyst Pat Nolan said the 1996 stadium came from general obligation bonds, not revenue bonds.
What Does This Mean For Nashville's East Bank?
This agreement would mean Metro regains control of 66 acres of land along the bank of the Cumberland River, which includes the site of the current Nissan Stadium.
Plans are in the works to redevelop the area into a large park, greenways, affordable housing and more.
Earlier this year, city planners released details on the plan, dubbed "Imagine East Bank" that had been in the works for nearly two years.
Several projects are already under development, providing a catalyst to redesign the corridor which sits across the Cumberland River from Nashville's downtown: 111 N. First Street, Oracle, Cayce Place and now the new Titans stadium.
Much of the plans for Imagine East Bank have hinged on whether or not the Titans will build a new stadium.
Dig Deeper:
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Biggest in city history, planners propose redevelopment of Nashville's East Bank
Ideally, city planners envision a pier and boat dock. In addition, they want to build parks and greenways along the river. The city is calling the proposal Imagine East Bank.
Imagine East Bank
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The proposal to redevelop hundreds of acres along East Bank and the Cumberland River were announced in August.
In addition to the community implications, the stadium will also be home for up to four Tennessee State University games, which the university will not be required to pay rent for. TSU will have its own dedicated locker room as well.
According to the proposal, the new stadium could be ready as early as the 2026 NFL season and would be able to host additional events including CMA Fest and concerts, similar to the existing stadium. It would also potentially be able to host a number of major sporting events like the Super Bowl or NCAA Playoff Games.
