This is a year old, but I assume it's still accurate:
http://www.crainsdetroit.com/article...nment-complex#
Quote:
According to the DEGC, which staffs the DDA, $285 million of the $650 million cost will be public, with $365.5 million in private funding.
The Michigan Strategic Fund will issue 30-year bonds to cover the arena's capital costs, and those bonds will be paid off via:- Annual DDA tax capture of $12.8 million to not more than $15 million annually, funding that was authorized by the state in December for use on the arena project
- $64.5 million in other DDA tax capture funds
- $11.5 million annually from Olympia as a concession fee.
No general fund tax monies from the city or county will be used for the project, Jackson said.
The property taxes earmarked for the arena are already collected by the DDA on properties within its defined geographical district, and by law must be reinvested on improvements within that district.
If Olympia spends at least $200 million in the event center district five years after the arena opens, the DDA will contribute up to $62 million more to retire the MSF bonds.
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It sounds like as part of today's announcement, the Ilitch family has committed to spend the $200 million on developing the surrounding area now, rather than waiting until after the arena is built.
This is what the area looks like now...
