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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowThe City-County Council on Monday evening approved a major piece of the Hogsett administration’s plan to lure a Major League Soccer team to Indianapolis, advancing a proposal for a new taxing district intended to fund a soccer-first stadium.
The taxing district, known as a professional sports development area, was approved by a 16-8 vote by the council, with one councilor abstaining. The approval was a necessary step in Mayor Joe Hogsett’s effort to bring a top-tier professional soccer team to the city.
While the council approved a different PSDA in December, only one can be considered by the State Budget Committee. The newer map is centered on the Downtown Heliport area and would draw certain state and local taxes from downtown landmarks such as Circle Centre Mall, the former Anthem headquarters on Monument Circle, the City Market campus and Jail I.
The first PSDA plan, which the council approved in December, supported Indianapolis-based developer Keystone Group’s proposed $1.5 billion mixed-use project, called Eleven Park, anchored by a 20,000-seat soccer stadium for the Indy Eleven. Both Keystone Group and Indy Eleven are owned by Ersal Ozdemir.
However, only one of the taxing districts can be considered by the State Budget Committee for approval. Hogsett administration officials have already stated that Eleven Park stadium site and district, which is on a historical burial ground, will not be submitted for state consideration.
Monday’s decision marked the first time in recent years in which council Democrats were divided on a proposal backed by the Democrat-led mayoral administration.
Councilor Kristin Jones, a Democrat representing a large portion of downtown—including both PSDA sites—bucked the tradition of councilors sponsoring measures within their district. Ahead of the vote Monday, she asked fellow councilors to vote against the measure, arguing that constituents want the development and stadium for Indy Eleven from Keystone Group.
Fellow Democrat Jesse Brown also voted ‘no.’ He said the currently undisclosed ownership group and closed-door meetings combined with constituent feedback led him to that decision. Republican Michael-Paul Hart joined Brown in voting ‘no’ for similar reasons, listing beforehand the “knowns and unknowns” of the MLS push.
Republicans Derek Cahill, Michael Dilk, Brian Mowery, Paul Annee and Democrat Maggie Lewis joined in voting against the measure.
Republican Josh Bain was the lone Republican council member to vote in favor of the proposal.
Democratic Councilor Dan Boots, who represents portions of the north side, said “professional soccer dies here in Indianapolis” if the measure did not move forward. Boots also noted his previous support for Indy Eleven.
“There’s no guarantee the MLS will come to Indianapolis if we pass Proposal 175 this evening,” Boots said. “But there is a guarantee that if we don’t pass [the proposal] tonight, MLS will not be coming to Indianapolis for years to come, if ever.”
Democrats John Barth, Ali Brown, Crista Carlino, Brienne Delaney, Jared Evans, Ron Gibson, Keith Graves, Frank Mascari, Jessica McCormick, Andy Nielsen, Vop Osili, Carlos Perkins and Nick Roberts voted in favor of the district. Leroy Robinson abstained.
Hogsett administration officials have said a final vote from the city’s Metropolitan Development Commission will take place June 26, just days ahead of a July 1 deadline to utilize the state legislative framework that permits the taxing structure.
Even though just one Republican voted for the measure, Hogsett called support for the measure “bipartisan.”
“Tonight, a bipartisan vote of the City-County Council sent a resounding message: Indianapolis is ready to write the next chapter in our sports story,” the mayor said in a written statement. “Over the coming months, our community will unite in pursuit of this once-in-a-generation opportunity to secure a Major League Soccer expansion club for our city. I’m grateful to the City-County Council for supporting the vision to solidify Indianapolis as America’s greatest sports city, and extend my thanks to the residents who continue to passionately participate in this process.”
At last Tuesday’s three-hour committee meeting of the council’s Rules and Public Policy Committee, members narrowly—and largely unenthusiastically—advanced the proposal by a 6-4 vote with one abstention before a packed room of Indy Eleven supporters.
It will be up to the investor group, which is undisclosed so far, to submit an application for an expansion club to Major League Soccer. That investor group is being created by Charlotte-based soccer executive Tom Glick.
Glick has previously flown in to meet with councilors on the topic, while also meeting with others including Ozdemir, state lawmakers and the leader of the Brickyard Battalion, the independent support group for Indy Eleven.
“Tonight’s vote is the unfortunate result of a false choice presented by city leaders, with a majority seemingly motivated more by fear than hope,” Ozdemir said in a written response. “That isn’t the way Indianapolis has succeeded in the past, and I fear that the tactics used in pursuit of a legislative win at City-County Council may result in huge losses for the future of downtown development and professional soccer in Indiana.
“I love Indianapolis, and tonight’s decision does not diminish that feeling or my passion for Eleven Park. That is why I believe there is still an opportunity for the kind of collaboration that has always characterized our city at its best. As I have repeatedly said in recent months, Indy Eleven’s investors and I remain ready and willing to meet with Mayor Hogsett to discuss a productive way forward as one city. It would be our hope that like so many mayors before, he will see the benefit in bringing all parties together rather than continuing to forge this path alone.”
Like Lucas Oil Stadium, Victory Field and Gainbridge Fieldhouse, a Major League Soccer stadium would be constructed with public funds and owned by the CIB’s building authority. However, the administration has emphasized that it would not be built until Major League Soccer officially awards the ownership group an expansion club. The council will also have extensive oversight on the stadium development process, including the issuance of debt to pay for the facility and its design.
The council will also have oversight for any purchase of land by the city that might be used for the project. The Department of Metropolitan Development has a memorandum of understanding with the Indianapolis Airport Authority that creates a path for the city to acquire the heliport property, at fair market value.
Multiple property owners within the site proposed for a Major League Soccer stadium said they have started receiving inquiries about purchasing their land.
Aliya Wishner, spokeswoman for the Mayor’s Office, has confirmed those inquiries are at least partially coming from “city entities.” She declined to name the parties involved, citing a need to protect future negotiations by keeping the inquiries confidential.
The Capital Improvement Board of Marion County would have oversight for any land that the agency might seek to acquire for the project.
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Ersal needs to build Eleven Park stadium privately. Will put mayor in a bind since it will be finished before the heliport subpar site begins Stadium construction.
100% agree. Mayor won’t even be in office when MLS considers Indy. Another egg in the face of the city.
Agreed. By the time MLS gets around to us the situation may have changed. Indy Eleven is Herr, popular, and supported by many fans.
Keystone has never built anything of this scale, and will likely be dealing with hundreds of remains. 87 were already found during minor preparation a week ago.
That’s the just of the problem. Ersal Ozdemir can’t afford to build Eleven Park as rendered soely by himself.
Chuck Surack (a billionaire) is now involved. Don’t ignore that.
He can afford to build just the stadium, probably not the rest of the planned developments around it.
Not a Democrat but this was a good result. Sometimes the best option isnt the first option.There may be some legitimate betrayal here but business is business and at the end of the day few will care if they got
It right. And they did.
I would argue a $1.5 billion riverfront development would be more impactful for the downtown area even if it doesn’t become MLS (but it should). World class cities have rivers and water as an amenity, not a boundary.
Ersal nor does anyone else in the city of Indianapolis have the money to privately fund a 250 million dollar soccer stadium, even more so for a minor league team.
Chuck does
Chuck’s primary interest is keeping the heliport around.
Besides the backstabbing double cross potentially, and likely costing Ersal millions of $…..another ‘flier’ on existing, functional property that includes eliminating the heliport. In the early-mid nineties a fifth of downtown was destroyed to build Circle Centre Mall at a tremendous cost. 30 years later it’s being destroyed to build some sort of low-rise neighborhood. A development that is better suited for Hamilton county, again for millions of $’s. What is the ‘thing’ that ‘everything’ MUST be developed within the shadow of Monument Circle? This CC council coerced, underhanded OK still needs state approval. This Hogsett last minute deal would have much better for the city and everyone with underdeveloped, less destructive property within a couple of miles of downtown. Cheaper, less prep cost, an opportunity to build up an area that could use it….like where Keystone has leveled the property.
Yes!
Ozdemir has been suckling off the public teat for years. Look no further than the white elephant parking garage in Broad Ripple that he convinced the Ballard mayoral administration to give him $6 million of taxpayers funds to subsidize its construction. And, of course, his proposed Indy Eleven development has a huge funding gap that he hoped to hit up the city to cover with even more public subsidies than what he initially proposed. Enough of these developers sticking their snouts in the public trough!
I know a MLS stadium will require another public subsidy when taxpayer funds should rightfully go instead to roads, schools, and parks, but if money is going to go out the door in any case, it is satisfying to see a little piggy like Ozdemir get what I hope is not a backstabbing so much as a stake through the heart.
More vampire developers need to be slayed this way until their endless bloodsucking from the taxpayers is permanently vanquished. The city owes loyalty to the taxpayers only, not to developers who are constantly hitting the city for public subsidies of their private developments. And, yes, Ozdemir was just playing the pickpocket the taxpayer game they all play, but it is about time developers like him start hearing no when they keep coming back asking for more.
I have always thought the old Lafayette Square site would be an ideal location for a sports facility. Fabio De La Cruz (Sojos Capital) and Ersal (Keystone) need to get together. Both would benefit from the alliance and the area would benefit from the investment. Offered in agreement with BSR’s comment about not “everything MUST be developed within the shadow of Monument Circle.
Great news! Seethe!!!!
You see, now the council and others are talking about building riverfront property on the Diamond Chain site. Dan boots said it repeatedly. This was never about the remains. It’s about a real estate deal.
The city would build over diamond chain so fast, it’d be embarrassing.
Congrats Dan Parker and Mayor, you got your legacy now. Soak in it til your fingers get pruney.
Mistake.
Now the land purchasing can begin…..Hogsett to Simon, “good thing you got advanced word of our plans so you could acquire the targeted property two months before I made my big announcement, and please remember your friends with a check.”