Follow the Money: Lucas Co Arena

DOWNTOWN TOLEDO - The Walleye are just wrapping up a weekend series with the South Carolina StingRays .

Attendance has been pretty solid so far in the early going here, and that's going to be key when it comes to paying for this place.

"To say building this arena was not a risk, just would not be truthful," said Lucas County Commissioner Ben Konop. "It is a risk. There's no way anyone can sit here and guarantee that this arena is going to be a 100-percent success."

It's a risk because some of money to construct this arena needs to be paid back.

Here's the funding breakdown:

• $50 million in the form of tax exempt Bond Anticipation Notes.

In more clear English terms they will be paid through the county hotel motel tax.

• $40 million will come from taxable Bond Anticipation bonds.

They will be be paid from some of the money the arena generates at places like the ice cream stand.

• $13.4 million come from state capital funds.
• $1.9 million come from investment income.

Everything added up is a total of about $105 million to pay for it all.

One thing not yet in the equations is naming rights to the arena, which are expected to generate about $7-$12 million.

So what does the whole thing cost?

That number has changed dramatically. The early estimates of roughly $70 million are out the door. With things like direct construction Work, architectural fees and furniture, the price tag is about $101 million.

"Overall, the calculus was if we want to arena to fund itself basically, to be a revenue generator, then we need to build this cost," Commissioner Konop said. "We need to have an arena cost this much."

When people see this big project up and running, many look across the river and see a slow moving Marina District project. So many ask how that happens.

"The arena is a publicly financed operation ... a totally different operation," said Toledo City Councilman George Sarantou.

As for that cost jump, Lucas County Administrator Michael Beasley said one reason for the arena price tag going up is the increased amount of space to rent and more suites. All of those generate money, and the hope is that in the long run they'll pay for themselves.