Philadelphia Basketball Team Strikes a Deal for a New Downtown Arena

Philadelphia’s leadership has disclosed the finer points of a newly negotiated agreement with its professional basketball team, the Philadelphia 76ers, for a state-of-the-art $1.3 billion arena in the heart of the city. This landmark agreement, confirmed earlier this month, requires the 76ers to shoulder the full cost of the project, leaving the city’s funding untouched.

The Details of the Landmark Agreement

The terms of the deal include an arrangement for the NBA team to remit annual payments, replacing tax contributions, which average around $6 million annually. The deal also encompasses a $50 million pledge towards businesses, neighboring communities, and the city’s education system to mitigate the project’s impact, declared Mayor Cherelle Parker at a Wednesday night press briefing.

“I am genuinely proud of this decision, having brokered a deal that will undeniably ensure our beloved Sixers continue to call Philadelphia home,” Parker expressed.

Legal and Zoning Measures

The city administration also unveiled draft versions of the nine bills and two resolutions required to greenlight the project. These include provisions that permit the city to gain control over the arena property and alter existing zoning regulations.

Community Involvement and Transparency

Mayor Parker further announced plans for a series of town hall meetings over the coming months. These meetings will provide residents with a platform to voice their concerns about the proposed development.

The 76ers’ Future Plans

The team owners have outlined their ambitious “76 Place” project, aimed at revitalizing an underperforming retail corridor near City Hall, while leveraging public transit. They have also committed to not extending the lease on their existing location, a 1996-built arena in South Philadelphia’s sports complex, after it expires in 2031.

Addressing Community Concerns

However, the project has come under fire from activists in the city’s Chinatown neighborhood, who fear potential disruptions and displacement for residents and businesses. They argue that the city has overlooked worries about increased vehicular traffic in their pedestrian-friendly area and the potential displacement of vulnerable residents.

In response, Mayor Parker reaffirmed her commitment on Wednesday to safeguard the neighborhood, situated just a block away from the proposed arena site. If the City Council grants approval, demolition in the area would commence in 2026, with construction slated to start two years later. The city aims to inaugurate the new arena in time for the 76ers’ 2031-32 season.