Ex-Coyotes Owner Alex Meruelo Seeks Public Funding for Ambitious New Sports Project
Alex Meruelo hasn't stepped away from the spotlight since relinquishing his ownership of the Arizona Coyotes, as he's seeking public funding for a new project.
A year after they first pitched a new arena with no reliance on public funds, the developers of the Grand Sierra Resort arena project are now back asking for public money to help finance it. It is now a complete 180 from the original plan that did not include taxpayer contributions. The arena would be part of a key entertainment anchor, and now its backers are asking for public funding to help develop the $1 billion plan.
That request for tax increment financing will be taken up on Wednesday by the Reno Redevelopment Agency board. The project's lead group, Power Sports Development, has formally put an agenda item before the board requesting it approve that type of financing. It would allow a portion of the area's tax revenues to be shifted toward the development, possibly making the project financially viable.
Preliminary plans for the 10,000-seat arena were announced in October 2023. It would serve as the future home of the University of Nevada men's basketball team, plus host a minor league hockey team. The project was being backed by former Arizona Coyotes owner Alex Meruelo, the owner of the Grand Sierra Resort and that hockey team. Public funding has now become especially important to this project in the arena's attempt to make an involvement in the center of the region's sports and entertainment life.
Tax increment financing is an incentive to develop economically blighted areas or underperforming areas of the city. By diverting new tax revenues of property, sales, or other taxes to the project developers, it acts as an incentive to encourage private investment in areas of the city that are otherwise stagnant. In the case of GSR Arena, supporters believe the project has the potential to spur further growth, with infrastructure improvements and more positive economic benefits long term.
That's bolstered by a report from Reno city government staff that shows the positive impacts the project is anticipated to cause. The construction may create jobs, a boost in tax income, and a high-class way of improving the road system. The Redevelopment Agency Board, made up of Reno's seven City Council members, will decide whether the project moves ahead at their Wednesday meeting in an expected decision weighing the potential public benefits against the costs.
