DALLAS – The Frisco, Texas, City Council has agreed to share in $39 million of sales tax revenue bonds to improve a professional soccer stadium that hosts the FC Dallas team.
The Major League Soccer team is seeking improvements to Toyota Stadium to qualify to host the college soccer championship game, which it has already hosted once, and to serve the Frisco Independent School District, which would be responsible for $4 million of debt at an estimated annual cost of $280,000, according to a Frisco city staff report.
The improvements are also designed to provide a new home for the currently homeless National Soccer Hall of Fame Museum. Other upgrades include an improved media room, restrooms, new video boards and audio enhancements.
“We believe that with the National Soccer Hall of Fame along with the increasing popularity of professional and amateur soccer, and the extremely successful NCAA Championship game, the improved and enhanced venue will bring many additional events and visitors to Frisco,” the city staff report said. “The building in which the National Soccer Hall of Fame will be housed also will be available to host large events in both a meeting and dining environment.”
FC Dallas is also considering bringing a hotel to the stadium site to share the additional space for events and meetings.
Total annual debt service payment for the $39 million is estimated at $2.8 million, to be shared by the participants in the deal. The term is proposed to be 22 years with the first two years being interest only.
Any amount of debt in excess of $39 million is the responsibility of FC Dallas, according to the plan, which calls for the soccer club to cover about $1 million of the bond issue.
The proposal includes financial participation by the Frisco Economic Development Corp. for qualified infrastructure improvements not to exceed the annual debt service contributions of $375,000, covering $5 million of the debt.
The proposal calls for the Frisco Community Development Corporation to sell the debt as sales tax revenue bonds. A date for the issue has not been set.
