LOS ANGELES — Entertainment conglomerate AEG has scrapped its plans for a National Football League stadium at its LA Live Entertainment complex in downtown L.A.
AEG is stepping out of the NFL stadium race amid two other stadium proposals in the L.A. suburbs.
AEG told the city this week that it would not seek a further extension of the April 17 deadline for the convention center/stadium deal it had with the city.
"We are no longer in discussion with the NFL or any NFL team," said Ted Fikre, AEG vice chairman in a prepared statement.
AEG's focus is now on the continued development of the L.A. LIVE district, and assisting Los Angeles with development of its convention center and the downtown core, Fikre said.
The city and AEG signed the contract to begin developing the combined stadium and convention center expansion in September 2012. The entertainment center giant received an extension in October on its deadline to secure the NFL team for the stadium needed for plans to move forward.
AEG had agreed to construct a $287 million contiguous expansion wing for the convention center and demolish the convention center's West Hall and replace it by constructing the NFL stadium on that spot.
Los Angeles would have issued between $287 million and $358.4 million in lease revenue bonds, as well as between $93.4 million and $109.7 million in community facility district bonds that were to have been rapid through AEG lease payments.
"After years of work on the stadium project, including execution of a term sheet with the NFL and over a year of negotiations in earnest with the league, it has become evident that a transaction that would be satisfactory to AEG, the city and the NFL is not achievable in any foreseeable time frame," Fikre said.
In San Diego, a mayoral task force is moving forward on efforts to build a stadium to prevent the San Diego Chargers from moving to the proposed Carson stadium.
The task force announced March 11 that it has selected Mission Valley, current home of the team, as the site for a new stadium.
"The Mission Valley site has been home to the Chargers for nearly 50 years and I know we can make it work for decades to come," San Diego Mayor Kevin Faulconer said in a prepared statement.