Minnesota Wild owner pledges $250 million for arena renovations, but that won't be enough
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Xcel Energy Center, home of the NHL's Minnesota Wild, first opened in 2000 and was built mostly with public funding. Photo: Kyle Stokes/Axios
The Minnesota Wild plan to spend up to $250 million for facility upgrades in and around Xcel Energy Center — but the team's owner confirmed the whole project would likely cost "a lot more" than that.
Why it matters: Craig Leipold hopes to convince the Minnesota Legislature to contribute taxpayer dollars to a renovation of his team's 24-year-old arena and surrounding RiverCentre complex.
- The "X" remains popular with NHL fans, but city leaders have said it is too crucial an asset to downtown St. Paul's economy to age.
What they're saying: "It's time. The window is right now," Leipold told reporters Tuesday.
- "Either we continue to put Band-Aids on things, or we do the whole project — and the whole project is so great for downtown St. Paul."
Zoom in: Along with arena upgrades, the Wild envision building a 650-room hotel adjoined to the RiverCentre convention hall and renovations of the attached parking ramp and Roy Wilkins Auditorium, he said.
State of play: Initial reports on the Wild's plans quoted a $200-300 million estimate. On Tuesday, Leipold said the all-in price tag would be much higher, and the team is "still working on" a source for the rest of the funds.
- Most options for publicly financing the project — including a local sales tax increase or borrowing through the state's bonding bill — require convincing the Legislature.
Catch up quick: The City of St. Paul owns the arena and convention center complex. The Wild manage day-to-day operations and have leased the facility through 2035.
- Last session, city officials asked state lawmakers for a $2 million planning grant for the arena project. The request went nowhere.
The intrigue: St. Paul Mayor Melvin Carter hopes the renovations help make the arena a draw during the 200-plus nights each year that it's not hosting hockey games, state tournaments, concerts or rodeos.
- Carter told reporters in August he hopes for a revamp of both the arena's interior and exterior. He noted newer arenas often feature sidewalk cafés and bars that remain open on non-event days.
Reality check: Most academic studies have found public subsidies for sports arena projects have "very limited economic impact."
- The benefits mostly accrue to team owners and to proprietors of nearby or related businesses, according to three economists who summarized more than 100 studies on the subject.
What's next: The team is awaiting the results of the November election before ramping up lobbying at the state level.
- "We're kind of at a tough spot right now," Leipold said. "We don't know who the governor is going to be," or whether DFL lawmakers will retain control of the Capitol.
- Yes, but: The project would need bipartisan support regardless. A three-fifths vote of the Legislature is required to borrow money to finance construction projects like this.
What we're watching: This may not be the only arena project that public officials consider bolstering soon. The Timberwolves' Target Center is now the second-oldest facility in the NBA.