Three-phase regional public sports district
A three-phase, approximately $115 million public sports district structured so that no phase is required to financially carry facilities belonging to a later stage of maturity. Phase I establishes demand through participation-driven outdoor facilities financed primarily with public-purpose capital; Phase II expands capacity only after utilization confirms absorption; Phase III introduces higher-revenue indoor and event facilities once the campus operates as a year-round destination. The approved ten-year operating forecast produces an unlevered project-level IRR of 17.9 percent. What the Project Included A regional, multi-sport destination combining outdoor tournament fields with weather-independent indoor capacity: an arena, three indoor basketball/volleyball courts, and seventeen pickleball courts, with hard construction representing approximately 59 percent of total project cost concentrated in durable, long-lived sports assets. Capital Structure $115,000,000 single tax-exempt municipal bond issuance — 100% of total project cost, including capitalized interest and funded reserves. Feasibility Study Challenges The study's principal analytical task was proving that a $115 million single-issuance bond could be reconciled with phased absorption. Key risks identified: construction execution at district scale, utilization variability, revenue concentration during tournament periods, and operating cost inflation — mitigated through phase-gating tied to demonstrated absorption, diversified programming, fixed-rate debt, and funded reserves stress-tested under downside scenarios.