3 takeaways from Ryan Smith's downtown SLC arena plan
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A rendering of the proposed Delta Center footprint (orange) with new buildings to the east of it. Image by Smith Entertainment Group, via Salt Lake City Corp.
New details of a proposed downtown SLC sports district were unveiled this week, with drawings and financial estimates released for the first time.
Why it matters: Some residents shared doubts at a public hearing Tuesday about the 0.5% sales tax increase to help Jazz owner Ryan Smith and his company, Smith Entertainment Group (SEG), bring Utah's new hockey team to town.
Catch up quick: The project would encompass the Delta Center and the two blocks to its east, ending at West Temple.
- The area now includes the north and west parts of the Salt Palace Convention Center, Abravanel Hall, the Utah Museum of Contemporary Art, a bank, a Radisson Hotel, a church and a Japanese garden to commemorate the historic Japantown enclave.
- SEG would lease the property, giving Smith control over a large part of central downtown.
Here are three main takeaways from the new information:
1. What would change
The west arm of the Salt Palace would be replaced by a hotel and an apartment high-rise, per drawings released Tuesday by SEG.
- A walkway and plaza would cut through the block and extend across 200 West, which already runs underground beneath the Salt Palace.
- Commercial space for entertainment and dining would line the north side of the walkway.
The Delta Center and surrounding plaza would be renovated with more street-side commercial space on what are now small plazas on the corners adjacent to 300 West.
- SEG reps confirmed they're in talks with state transportation officials to tunnel 300 West underground, making room for a new event plaza above it.
- A parking garage would replace the loading docks near 400 West.
The intrigue: SEG's plans do not address the block containing Abravanel Hall, whose future is uncertain amid needed renovations. That area of the map is simply called "Phase 2."
2. The projected tax bill
The average SLC household would pay $120-$150 in added sales tax, policy analyst Natalie Gochnour estimated as part of SEG's presentation Tuesday.
- That's notably lower than the Salt Lake Tribune's previous estimate of about $220 per household.
Caveat: Because sales tax is based on consumption, some families would pay much more or much less than that.
The big picture: State lawmakers authorized Salt Lake to collect up to $900 million in taxes, most of which — 75% to 80%, Gochnour said — would be paid by out-of-towners who spend money while visiting.
3. Who's paying
SEG has committed $3 billion to the project.
- About $500,000 of the public funding would go to the Delta Center and plaza, with $300,000 for the surrounding entertainment district, SEG executive Mike Maughan told KSL.com.
Yes, but: It's unclear how much of that would support the county-owned Abravanel Hall or the potential tunnel for state-owned 300 West.
What's next: The city council could vote on the tax as early as July 2.
- Maughan told the council Delta Center renovations are slated for April 2025, but SEG won't "move a single brick" until it has finalized plans with the city.