With the signing of a tentative agreement with D.C. United to create a new 20,000 seat soccer stadium at Buzzard Point in Southwest Washington, D.C., it appears as though Mayor Vincent Gray thinks cash cow Robert Griffin III plays fútbol, not football.
The stadium, which will cost $300 million, will be paid for in part by D.C. United. D.C United will pay half of the cost of construction, which would still leave D.C. taxpayers with a $150 million bill. Theoretically, the city will receive a share of the profits from stadium revenues, but this will only happen after D.C. United has accrued a “reasonable profit” from the stadium. D.C. United’s proposition never defines “reasonable profit”. However, the proposition does ensure that D.C. will reduce the stadium’s property taxes as well as provide the team with sales tax revenue from the stadium if D.C. United fails to accrue a “reasonable profit”.
To call these terms a fair trade is laughable. The construction of the D.C. United stadium is a high-cost gamble for the District that places a $150 burden on taxpayers in hopes that the stadium will generate profits.
Considering D.C. United’s track record, the chances that this new stadium will be a profitable enterprise are slight. During the 2013 season the team averaged 13,465 fans per game, which is only 70 percent of the stadium’s capacity and the third lowest attendance rate in MLS. The team’s estimated yearly revenue is currently just over $5 million, a fraction of the projected costs of construction.
Supporters of the stadium claim that the new stadium will provide D.C. United the venue it needs to rekindle its franchise. Arguing that RFK stadium is over 50 years old, has few amenities, and holds too many seats, proponents of the proposed stadium also muse that the new stadium could reinvigorate the economy of the surrounding areas by creating jobs.
Buzzard Point is one of the most underdeveloped areas of D.C., and, although it may receive a temporary economic boost from the new stadium, tax money would be far more useful in other sectors. According to D.C. school officials, more than half of the D.C. students who attended ten out of 13 schools that closed in June have not re-enrolled in a D.C. Public School. Rather than risky sports teams, the District should prioritize the education of its youth. In fifty years’ time, investing in education will be what is important.
