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Five developers pitch arena proposals

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By DEENA WINTER / Lincoln Journal Star

Friday, Feb 15, 2008 - 08:26:55 pm CST

A conference room table in the city’s Urban Development Department was piled high Friday with boxes and envelopes containing proposals from developers interested in working with the city as it considers building a new arena.

Five development teams submitted proposals detailing how they would help develop Lincoln’s arena project, including several with experience building arenas nationally. Lincoln voters will decide next year whether to build a new arena.

Developers nationwide were invited by the city to make pitches. Those who responded were:

Story Photo
The BNSF railyard and the Haymarket area are seen from the Harris Overpass walkway. (LJS file)
Who are the development teams vying for the project?
  • John Q. Hammons Industries, Springfield, Mo. Commercial contractor: Flintco Inc. Architect-engineer: Pellham Phillips Architects and Engineers.
  • Garfield Traub Development of Dallas. General contractors: Sampson Construction Co. Architects: DLR Group of Omaha, Bahr Vermeer Haecker and Clark Enersen of Lincoln. Civil engineer: Olsson Associates of Lincoln.
  • Acquest/HOK/Pizzuti Solutions. HOK Sport Venue Event of Kansas City; Acquest Realty Advisors, Inc., Bloomfield Hills, Mich. And Pizzuti Solutions of Downers Grove, Ill.
  • Lincoln Traction Partners. Developers William and Robert Scott of Lincoln; W. Richards and Jeffrey Woodbury. Architects: Sinclair Hille and others
  • Dial Realty Corp. of Omaha/Global Entertainment of Phoenix/Harpool Morgan Haney, Mission, Kan.
Who is on the selection committee, which will recommend a proposal to the mayor?
  • Chamber of Commerce President Wendy Birdsall
  • University of Nebraska-Lincoln Athletic Director Tom Osborne
  • Mayoral aide Trish Owen
  • Public Works Director Greg MacLean
  • Downtown Lincoln Association President Terry Uland
  • NU Foundation President Terry Fairfield
  • City Finance Director Don Herz
  • Peter Hind
  • Scott Baird
  • Planning Director Marvin Krout
  • Dan Muhleisen
  • Near South neighborhood representative Cathy Beecham
  • Urban Development Director David Landis

* Dial Realty Corp. of Omaha, Harpool Morgan Haney of Mission, Kan., and Global Entertainment of Phoenix, Ariz.

* Garfield Traub Development of Dallas, with operator Starwood Hotels and Resorts Worldwide of Phoenix.

* Acquest, Bloomfield Hills, Mich., HOK Sport Venue Event of Kansas City and Pizzuti Solutions of Downers Grove, Ill.

* John Q. Hammons Industries of Springfield, Mo.

* Lincoln Traction Partners, Lincoln developers William and Robert Scott and developers W. Richards and Jeffrey Woodbury of Salt Lake City, Utah.

Details of the proposals were not released, but three of the developers spoke to the Journal Star about their proposals.

One of the leading contenders has to be Garfield Traub Development of Dallas. The company has nearly $200 million worth of sports and entertainment venues under development nationwide, including arenas in Tucson, Ariz., Albuquerque, N.M., and Toledo, Ohio.

Greg Garfield, a principal with the company, said his company proposed a 15,000-seat arena, 55,000-square-foot convention center, 400-room Sheraton Hotel and parking garages — although the sizes could be refined. The proposal includes a plaza for community events and incorporates “green” concepts into the design.

“We think we have delivered a really fantastic proposal that will benefit the city,” Garfield said.

He said his team has both an experienced national partner and “strong local roots,” including Lincoln planning and engineering company Olsson Associates and local architectural firms Bahr Vermeer Haecker Architects and Clark Enersen Partners.

The Garfield Traub team also includes DLR Group, the Omaha architecture firm that designed the Qwest Center and Haymarket Park and will be designing a $13 million ice skating center near the arena. Their general contractor would be Sampson Construction Co. of Lincoln.

DLR principal architect Stan Meradith and Cori Sampson Vokoun of Sampson Construction have worked closely with the local committee that has directed planning and promotion of a new arena. Sampson Vokoun is one of three chairs of the committee, and DLR has basically master planned the project up to now, largely for free, since being invited into arena talks in December 2004.

Garfield Traub proposed either a public-private partnership, or a publicly owned arena and convention center and possible hotel — which is how most cities do it, Garfield said. They would act as a development manager, providing everything from design and construction to financing options.

Lincoln leaders have often said they’d like the city to fund an arena and a private entity to build a convention hotel. Gadflies sometimes say they’re all for the whole project as long as it’s all privately funded. Garfield said his company often encounters that sentiment, but said such an arrangement rarely makes sense.

“There are no projects of this nature that make sense or that are feasible as purely privately owned developments,” he said.

That’s because arenas and convention centers rarely turn a profit; they’re almost always subsidized by cities.

Dial Realty Corp. of Omaha has also paired up with a national company with experience building multiuse facilities in midsize communities. Dial has long worked with Kansas developer Harpool, Morgan Haney, which is working with Global Entertainment Corp. of Phoenix on an event center in Independence, Mo.

They proposed a publicly financed multiuse arena and entertainment and dining facilities nearby. Dial Principal Rick Kiolbasa said they have clients interested in building a 50,000- to 60,000-square-foot entertainment facility such as Dave & Buster’s, which serves food and drinks and has games.

Dial and Global have had preliminary discussions about teaming up on a master plan with John Q. Hammons Hotels, which likely proposed a hotel and/or convention center. The two entities have co-located in other areas.

Global is known for developing multiuse facilities in markets of 200,000 to a million. The company was originally established as an owner and franchisor of minor professional league hockey teams, and it still franchises hockey teams and operates the Central Hockey League.

Kiolbasa said the company “certainly has the ability to bring a Central Hockey League team” to Lincoln, which would help keep the arena busy.

Dial also brings experience putting together financing packages, Kiolbasa said. No longer are cities restricted to general obligation bonds to pay for arenas; there are many other ways to generate cash for an arena, he said.

Local real estate developers Will and Robert Scott of WRK LLC also put in a proposal. In the past half dozen years, the twin brothers have become a major player in Lincoln development,  particularly downtown. But this is one of the biggest projects they’ve embarked upon.

“Ultimately we want the leadership and the strength to come from Lincoln and be for Lincoln,” Will Scott said of their decision to make a proposal. He said their proposal addresses “sensitive local issues” such as environmental and historical issues at the proposed site.

He wouldn’t discuss details of the proposal, but said, “I can promise you, it’s gonna be cool.”

Representatives of the other two development teams could not be reached for comment, but HOK Sport bills itself as the world’s leading sports architecture firm. The company recently designed a new Orlando Events Center and has designed major and minor league baseball parks and sports stadiums.

A mayoral selection committee has exclusive access to the proposals and will recommend its preferred proposal to the mayor.

The city expects to choose a proposal within six weeks and negotiate an agreement with the developer by late 2008 or early 2009.



Reach Deena Winter at 473-2642 or dwinter@journalstar.com.


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Steve wrote on February 15, 2008 4:28 pm:
" Cool, let's get this thing rolling! As successful as Haymarket Park has been I can't wait to see the same happen with the arena. Where can I donate my money for the betterment of this beautiful city? "
smartest man alive wrote on February 15, 2008 4:36 pm:
" awesome, make it happen!

"
Joey wrote on February 15, 2008 5:40 pm:
" We do not need a new arena! "
replace pershing wrote on February 15, 2008 5:48 pm:
" Let's get this moving. "
Billy Bob wrote on February 15, 2008 6:22 pm:
" Lets put the cart before the horse. Yes ,I know you need to see the total picture to put it before the voters, but more and more this is looking like a done deal. Can we say Putin on the spin! "
Eric T. wrote on February 15, 2008 6:30 pm:
" YES YES YES YES YES.....Lets get this thing rollin'..... And yes we do need an arena Joey. "
JT wrote on February 15, 2008 6:47 pm:
" HOK Sport does some really cool stuff. They did AT&T Park in SF and Oriole Park in Baltimore, top notch. "
JT wrote on February 15, 2008 6:48 pm:
" Joey, have you been to Pershing lately. I know they're doing their best to prop that thing up for another few years, but wow, it's really really outdated. Lincoln deserves something new. "
i agree wrote on February 15, 2008 7:07 pm:
" lets get this thing going... "
Too Fast wrote on February 15, 2008 7:21 pm:
" Five developers are willing to build. Great! Question is, how long will they cover expenses? It appears we're in a recession. Who will be able to afford to go to events? thus pay for building? My family is stuggling with month to month finances.
I would love to go to performances at Pershing, Lied, etc. but ticket prices are too high, I need to care for my family. We are considered in the "middle class", paying our way, yet, going to Lied/Pershing are out of our financial means. I'm sure this new arena will be too. "
Idea is PHAT!!! wrote on February 15, 2008 7:21 pm:
" Let's rock this vote and get Lincoln on the map! Way to go Lincoln for thinking big! The future is Lincoln! "
john wrote on February 15, 2008 7:40 pm:
" To all of you that say that this is a "PHAT IDEA" You pay for IT! "
excited wrote on February 15, 2008 8:02 pm:
" Let me put in my two cents worth on a new arena. I believe the people involved with this possible project are looking at all aspects and from all angles. There are so many people in Lincoln who know and agree Pershing needs to go. Lincoln can do better and should do better than Pershing. For me to think about the possibility of a new arena in the Haymarket District is extremely exciting. I can't wait, and I hope it happens.

For the people who possibily can't afford to attend an event at the Lied/Pershing/or new arena, are you suggesting the ones that can, shouldn't have something a lot better than Pershing? Are those who are able to attend supposed to be punished because there are those who can't attend? To me that makes little or no sense. If we didn't have a lot of people who are able to afford going to such events, we would be in a hurt of trouble. It is the people who can afford these types of events that are also responsible for providing jobs for other people. Let's not get into a "class warfare" and say because I can't you can't.

Go New Arena! "
Ricky wrote on February 15, 2008 8:54 pm:
" Wow! That seems promising that at least 5 developers are interested in the new Lincoln arena.
The Star City has an opportunity to build a unique facility.
I hope you can do it and pick a neat design if you will.
And don't get a private entity like our MECA to run the place.
Let the local government manage the place.

Ricky From Omaha "
What excited wrote on February 15, 2008 9:00 pm:
" 'For the people who possibily can't afford to attend an event at the Lied/Pershing/or new arena, are you suggesting the ones that can, shouldn't have something a lot better than Pershing? Are those who are able to attend supposed to be punished because there are those who can't attend "
Then let me why the LIED Center is laying off workers?
Maybe you can do a better job.
How are these folks to get here? Fly to Omaha then drive to Lincoln? "
Boy wrote on February 15, 2008 9:11 pm:
" Wish I still lived in lincoln and had a bunch of icemakers this winter. It's just amazing how many people are ready to spend a billion dollars for a couple nights entertainment. I would love to be able to take some of their money. My first guess is that the people who are jumping with joy are either college students or renters. Now maybe I was wrong and it's the southeast lincoln property owners. No one else could ever applaud this with the tax increase it will bring. "
Eric wrote on February 15, 2008 11:02 pm:
" Regarding this..." 50,000- to 60,000-square-foot entertainment facility such as Dave & Buster’s, which serves food and drinks and has games."

Why don't they put that in the space vacated by K-Mart alongside Hwy2? Seems to me that would be perfect location for them. "
whatever wrote on February 15, 2008 11:35 pm:
" Five developers are willing to build because they ain't investing crap. The taxpayers will be paying for this thing. "
Ed wrote on February 16, 2008 4:31 am:
" If this complex happens they will probably have a parking lot for 20 cars (all for management). Look at the fiasco
called Pershing Auditorium. It was built with zero parking. Why would Lincoln officials have gotten any
smarter? "
feeding from the public trough wrote on February 16, 2008 7:42 am:
" Let's fill in some of the details here. Since this is a blighted area the project would be eligible for TIF financing which means the property tax assessment will not go to general funds but go to pay off TIF bonds. What a deal, they get a money making enterprise without having to spend much of their own money and take on the burden of debt. No wonder the city doesn't have any money to do anything since all this new property tax just goes to pay off TIF bonds. Sounds like corporate welfare to me. "
Steve wrote on February 16, 2008 8:08 am:
" Sorry "Boy", you're wrong on accounts. I'm not a college student, own my own home (pay $10,000 in property taxes) and live in SW Lincoln. I'm all for the arena because I believe in Lincoln, and I believe Lincoln needs a boost right now - this is a start. The worst thing we can do now is to do nothing and "pay off all our bills before getting a new one." It's called investing in the future, in my opinion. "
Braced wrote on February 16, 2008 9:59 am:
" Because arenas and convention centers rarely turn a profit and are almost always subsidized by cities, is this a sand family budgets are already in a state of crisis? If the business community feels she needs this then the private sector should be stepping up to pay for it. Taxes already are subsidizing LPS, UNL, city and state employees; At what point will taxes be the straw that breaks the backbone of the city? Should we be instead first seeking to subsidize some business incentives to bring in real wealth from outside the state? "
naysayers wrote on February 16, 2008 10:48 am:
" we don't have mountains and we don't have oceans. we have great schools and have to be able to sell quality of life. let's get this arena off the ground! "
John wrote on February 16, 2008 10:52 am:
" We do not need and cannot afford a new arena. I talk with many people every day and not one of them understands why this is being proposed or wants it. "
confused wrote on February 16, 2008 10:54 am:
" I thought that the Lancaster Event Center was the newest replacement for Pershing?! Why do we need another one to sit empty? If this was all privately funded I wouldn't care, but why should taxpayers take on the burden of supporting something we really don't need? "
Mary wrote on February 16, 2008 10:55 am:
" Could someone please tell me if the tsxpayers will have an opportunity to vote on whether or not to proceed with this plan? "
29 year old home-owner wrote on February 16, 2008 11:49 am:
" As long as I can be guaranteed that this entire project will be privately funded and self supporting I am all for it. I only have objection when I will be forced to pay for this multi-million dollar project. I personally don't think that Lincoln currently has the population base to support this idea. I think that most people opposed to the idea feel the same way. It is not about whinning and objecting change. It is about the level of taxation that we already endure and the concern about an increase. So bring on the change, just stay out of my bank account until I choose to purchase a ticket to attend one of the coming events. In the mean time I will gladly drive to Omaha once or maybe twice a year. "
Privately funded arena wrote on February 16, 2008 12:27 pm:
" I wonder how many arena projects in the U.S. are privately funded? Not just partially, fully funded. Does one exist? (at least in a city close in size to Lincoln)

Mary, yes there will be a vote of the "tsxpayers" on whether to approve the arena. Go ahead and submit your "NO" vote before even listening to all the facts. "
Brett wrote on February 16, 2008 1:02 pm:
" Build it at N 27th & I-80! Nothing but empty space and easy access. Businesses will sprout up all over to be near an arena! "
Proud of lincoln wrote on February 16, 2008 1:24 pm:
" This is just awesome. I am so optimistic for our city. Despite the naysayers, our city is growing and will be a place that businesses and families want to come to. We
can't continue to let fear rule every decision we make. Can you imagine what our cities and our country would be like if our parents and grandparents had cowered everytime there was an economic downturn, had run away at the mere thought of investing in their communities? They built things like arenas, hotels, convention centers because they knew it was the right thing to do to help their city prosper. Come on Lincoln you have more guts than you think. You CAN make this happen for us, our kids and our grandkids. "
JJ wrote on February 16, 2008 2:00 pm:
" I would drive to Omaha before going to downtown Lincoln. When will the city get over trying to revive the downtown??? "
Seriously wrote on February 16, 2008 5:00 pm:
" Why would a concert / event come to Lincoln when they can go to the Qwest Arena in a city that is highly populated? That's just a horrible business decision. We can't even keep the Lied going to the extent it should be and now we're going to have an Arena? Seriously...Lincoln is not Omaha and it never will be because people don't support culture when it comes here. "
Yup wrote on February 16, 2008 5:30 pm:
" Sounds like a done deal to me. I, like others, don't have extra money after bills and living necessities to buy tickets to attend stuff like this. Now I read some say why punish those who can afford to go, I say, why make me pay for something I can't afford. Just puts me deeper under. You want me to pay for something you want, why do you want me to live with less money than I have now? If you pay for the entire thing, and I don't have to pay anything on it, go for it. But if you want tax money, or bonds, or special fees from me, NO. "
2nd Greatest generation wrote on February 16, 2008 6:18 pm:
" Our grandparents made sacrifices to give us Pershing.
It's time to do the same for the next generation.


"
Improve City Services 1st wrote on February 16, 2008 9:02 pm:
" Voters should think of Increasing their Property Taxes to fund city services before they even consider funding an Arena/Convention Center that is guaranteed to lose money. The City of Lincoln is running in the RED and the Mayor has asked for citizen input in the LJS just this week on what services should be cut! This translates into no Aging department, reduced Pool hours, reduced Library hours, more theft with fewer officers on patrol, more fires with no firehouses built in newer areas, more traffic congestion because of narrow streets, more flooding due to water main breaks with fewer service workers, reduced bus service and the list goes on. 14 cents out of every property tax dollar is not enough to fund the needs of a city of 1/4 million. Every day this week the LJS has reported on established businesses like Weavers Snacks that are packing up an leaving. LINCOLN Wake UP! Invest your money on fixing the existing city up, not on turning a hazardous waste/ flood prone area into a boondoggle that will only benefit the city council members and their developer friends. A new arena will not attract businesses to this city. Improved city services will. "
Lets make a deal wrote on February 16, 2008 11:01 pm:
" I understand "excited" when they said they should be able to have the arena because they can afford it, even though I can't. I understand when they said they are the people who are responsible for my having a job. So....can I have a raise? I work hard at my job, I'm always there early and work overtime anytime you want. It's not like I don't deserve it. Oh, and could you possibly pay a little more on my health insurance benefits. I understand you only pay a percentage for the single employees and expect those of us with families to pay our dependants add'l premium, but $296 bi-weekly is killing me. It's workers like me that have made your company a success and given you the wealth that you now want to enjoy on entertainment. If you would pay me what I'm worth, maybe I could at lease go out to dinner with the family once a week, or a movie (with drinks and popcorn). Anyway, thanks for the job, and have fun at the arena (which I will, of course, be asked to help pay for). "
Dave wrote on February 16, 2008 11:03 pm:
" I am all for this for the city of Lincoln. Its a long time coming and desperately needed if we have any chance of attracting sporting events and business conventions. So many other cities of similar size are way ahead of Lincoln. We need to do this, and pick the best developer, that will benefit this opportunity the most. One thing I do hope that is done, when this is approved and a developer is chosen, is that whoever builds the 400 room hotel designs it as a "high rise" hotel. Downtown is in sore need of some new buildings that stand out and make this look like its a modern 21st century city. Coming into downtown from the west looks like we are a run down community. I can't wait to see what happens next! Just DON'T RAISE PROPERTY TAXES for this! Thats all I ask. "
WAKE UP PEOPLE wrote on February 17, 2008 5:58 am:
" All 5 are not doing this out of free will and they are not all doing an arena. Follow they MONEY money people who supposedly donated their time to get this project jambed down your throat and who submitted a proposal and who do you really think is going to get this project? How much of thier money are they really going to put into it verses YOU taxpayer. John Q will get his share but not the lions share. There;s enough of your tax daollar to go around. YOU HEARD IT HERE FIRST GARFIELD IS THE WINNER "
del wrote on February 17, 2008 11:36 am:
" Rediculous...

Our city is in a $9 Million dollar hole and cannot afford to support our current infrastructure let alone build on it's current infrastructure (Have we all forgot about the Antelope Valley project already?). Now they want to push an arena on us. The taxpayers will have to foot the bill on this too. Times are tough right now and are going to get tougher.

The buck has to stop here. I, as a taxpayer have had enough of the city's unwise spending. If the taxpayers approve of this, I'm outta here. I'm tired of throwing my money away to a city government that spends unwisely. "
It will trickle down... wrote on February 17, 2008 1:26 pm:
" The great thing about big projects like this is the work it brings for our trades people. These construction projects need electricans, plumbers, drywallers, construction crews etc. This would really help our folks here in Lincoln. AND, the hotel, convention center and arena will need employees too. It's just plain good for our local economy. Bring it on! "
The Omega Man wrote on February 17, 2008 7:35 pm:
" Very few of the construction jobs will go to local people, even if a local company builds the center. Lincoln is between a rock and hard place. Something needs to be done to halt the slide Lincoln is on and at least get it to the place it was 20 years ago. This event center will be very costly to the city and will have a difficult time competing with Omaha and the Qwest Center. Frankly Lincoln has been so off the radar for so long it might take a decade or more to reach anything approaching "break even". Take a look at the Lied Center, it ain't making a dime and frankly from what I have read in the JS it would seem the management of the Lied are taking steps to ensure it will perform even more poorly in the future. A research center? Well, that's fine. But all the tax dollars and brick and mortar can't buy or build good leadership and frankly Lincoln and Nebraska are at a huge deficit when it comes to that. The whole concept of the Convention/Event Center and Research Park are great, but Lincoln simply doesn't have the money nor the talent to do it right, and rest assured with the plans in place right now Lincoln will build itself to where it is right now. Something else to ponder and I've said it before, Lincoln's growth is largely driven by "rural Nebraskans" moving to Lincoln. There aren't as many "rural Nebraskans" as there use to be and many now make Omaha their point of desitination. Without a comprehensive "statewide" plan Lincoln simply will not grow as it has in the past. Further, the growth Lincoln will see will be largely uneducated and lower middle class. This will add further strain to the city and it's schools. I think at some level some people in Lincoln realize "something" is going on but they can't quite put a finger on it. Taking a 1960's approach to 21st century technology, demographic and social changes simply is not the answer. And frankly without bringing the Hispanic community to add input into this center is very shortsighted. The Hispanic Community will likely make up 25 to 40 percent of Lincoln's population in less than 20 years. Design a center that addresses their "event needs" as well. "
Jack wrote on February 17, 2008 7:40 pm:
" If the Antelope Valley project were finished and all
the rest of the projects started, finished, then maybe
a little planning would be O.K. But when they can't
even pay a former auto dealer in the Antelope Valley
project for the building they promised without being sued,
because they don't have the money, don't ya think its
time to say no to anymore projects or lets all move
out of state. You people with good jobs & pay may
be talking outthe other side of you mouths the day you retire and the social security has gone broke, which it
will. Unless you've got a farm to sell and have had a
heck of a good job, retiring in this town will send you
to the poor house P.D.Q. I had a good job, good
retirement and saved money every month, moved here and
no way can I save a dime and my savings are going like
a whirlwind!! Better think twice unless you the LPS
superintendent and a few others supported by the out of
sight taxes!!!!! "
T4acres wrote on February 17, 2008 11:25 pm:
" This project shouldn't even be discussed unless UNL is on board in a major way. The City of Lincoln alone doesn't need and cannot afford this complex. Unless NU Basketball is a major tenant, then operationally the arena has no chance to succeed. If the Huskers are automatically presumed to be a tenant, why isn't the University (and private money) on board financially already? "
DT wrote on February 19, 2008 4:05 pm:
" If it is done correctly a new arena will improve lincoln's "exciting" factor and will help prevent our young talent and sales tax dollars from leaking into omaha and chicago. No one likes to waste money but there have been many cities that have built arenas that have been paid off through increased economic activity. "

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