ICON/Taylor are covering the cost overruns. More reason for them to keep it on schedule !
Yes, that was a big question to be answered, too. I think everything the naysayers have complained about over the years has pretty much been covered. The one thing they need to get is that the city will monetize a city asset (parking), but that money will be used to build another city asset. This arena will be owned by the city.
The other thing they don't understand is that it would be beyond ill-advised to use money from monetizing parking to do anything other than capital improvements for the long term. To use such money to fill budget gaps merely leaves you with the same budget problems in a couple of years, when the money is gone and you no longer control that asset.
By the way, the lease that gets worked out on the parking could possibly include the city getting some amount of the revenue, although that would mean less money upfront from any bidder.
Some folks don't know it, but there was a ticket surcharge on tickets at Arco after the $70 million loan deal. The amount of surcharge depended on the cost of the ticket. Lower ticket prices had lower surcharges. I'm sure it will be similar in this deal, which is why the reference is to a 3% to 5% surcharge.
One final note. The term sheet, even if approved by the council is a non-binding agreement. It does give the city an out, if they fail to come up with their share of the money. (I suspect it would be mainly is the parking funds don't come close to what is estimated. I don't expect that to be a problem, though.) To me, that means it should be easier for council members to support, if they are teetering. I still expect Sheedy, D. Fong and probably Bonnie Pannel to vote no. I didn't realize Panell hated KJ so much. She may not want to support him in this, his biggest agenda.
I'm nervous about who could be voted onto the city council that could shake things up. Sheedy will be gone and so will R. Fong.
We still need to keep up the pro-arena pressure until there's an actual ground-breaking.