As the Spurs continue to push for a new arena as part of a larger downtown San Antonio development project known as Project Marvel, they reaffirmed their commitment in a letter to the city, promising a contribution of over $1 billion to help pay their share. In his letter to the city, Spurs Sports & Entertainment CEO Peter J Holt said the following:
Since the City of San Antonio first approached our organization about a potential partnership, the San Antonio Spurs have remained committed to pursuing an equitable agreement that benefits our community as a whole, strengthens our economy, honors our city legacy, and serves generations to come without raising taxes on local residents. As we have done since 1973, we are operating in good faith, grounded in deep love for our community and a sincere desire to help San Antonio thrive.
In their proposal, the Spurs laid out the following breakdown, with the arena part of the project expected to cost $1.2 to $1.5 billion:
$500 million for a new state-of-the-art arena, with guaranteed coverage of cost overruns by Spurs Sports & Entertainment
$500 million in adjacent private downtown development
$60 million in additional community incentives, including education, affordable tickets, and small business support.
They would also allocate 30% of arena and district construction contracts to locally-owned companies, provide VIA Park & Ride for up to 2,000 single game ticket buyers, buy 500 tickets for every home game at $25 or less, and underwrite a new policy that will target early childhood education and child care challenges in the community.
While this helps assure the Spurs will do their part, it sounds like there’s still some negotiating to do. The overall project would also include expansion and renovation of the Henry B. Gonzales Convention Center, a new convention center hotel, residential, retail and park space, a massive renovation of the Alamodome, a land bridge over U.S Highway 281 connecting the Alamodome to the rest of downtown, and renovation of the John Wood Courthouse into a large theater and live performance venue — all of which will add up to an estimated $4 billion budget.
San Antonio Mayor Gina Ortiz Jones expressed appreciation for the Spurs’ contribution but also expressed concern about there still being a $220 million gap in the overall budget, as well as that the Spurs may end up with too much of the profit from naming rights, merchandise, ticket, and concession sales, while the city would not see the same profit. Another council member also felt the Spurs should contribute more to the overall project, noting the arena will not happen without everything else.
County leaders have said that funds from Bexar County’s venue tax will first go toward the Freeman Coliseum and Frost Bank Center, with the Spurs’ arena receiving whatever is left. For now, the estimates suggest the $1.2 billion price tag could be covered, but that still depends on future decisions by the City and County. If approved, the new arena would be at the site of the now-shuttered Institute of Texan Cultures in Hemisphere Park.
The Spurs will continue to play in the Frost Bank Center until their lease ends in 2032, and if voters approve to fund the project, the new arena would be ready by then. The deadline for a city bond vote is in August, and if approved, tax collection and design work would begin in 2026, with construction beginning in 2028 and lasting into the early 2030’s.