Ownership, Cost and Payment
Who is going to own and operate the Arena/Event Centre?
- The City of Greater Sudbury will own the Arena/Event Centre, dedicated parking areas and the property on which the Arena/Event Centre is to be situated.
- A financial plan is included in the 2018 municipal budget for repayment of the Arena/Event Centre and shared infrastructure.
- Details of the operator for the Arena/Event Centre are still in development.
Kingsway Entertainment District Detailed Expenses
The table below outlines the Kingsway Entertainment District expenses to June 30, 2022.
| Expense- | Total | City Share | Cost Shared By Others |
|---|---|---|---|
| Feasibility and business case, site evaluation | $353,639 | $353, 639 | |
| Integrated site design | $595,988 | $258,680 | $337,308 |
| Detailed site design, engineering, professional fees, external legal fees | $4,173,429 | $2,942,266 | $1,231,163 |
| Salaries | $645,200 | $645,200 | - |
| Basketball floor, related equipment | $259,668 | $129,834 | $129,834 |
| Total | $6,027,923 | $4,329,618 | $1,698,305 |
| Percentage of total $100 million budget | 4.33% |
Cost of the Development of the Property
Plans to develop the site are being shared four ways between:
- the City of Greater Sudbury
- Gateway Casinos and Entertainment Limited,
- the developer
- the hotel operator
There are three partners within the cost sharing agreement for the integrated site of the Kingsway Entertainment District. The three parties are the City, the developer, and Gateway Casinos.
There are three components within the integrated site: the arena/event centre, a casino, and a hotel. The hotel's capital contribution to the site development is represented by the developer and is the responsibility of the developer. To date, the developer has shared with the City a letter of interest from Hilton Worldwide.
All partners share a commitment to the development and ongoing success of the Kingsway Entertainment District and have demonstrated a positive working relationship.
In April 2019, under the partnership agreement, Zulich and company as the property owner transferred 11.96 hectares (29.56 acres) to the City for Greater Sudbury for a nominal $10.
Cost of the Design of the Kingsway Entertainment District Site Plan
The cost for the design of the integrated site plan for the Entertainment District is shared as authorized under an August 22, 2017 Request for Decision of Council.
Cost of the Arena/Event Centre
- The Arena/Event Centre is proposed to be funded by the City of Greater Sudbury.
- The capital budget to construct the Arena/Event Centre is $100 million.
Cost of the Infrastructure for the Kingsway Entertainment District
Infrastructure to the site will be cost shared between the City of Greater Sudbury, Gateway Casinos and Entertainment Limited and Zulich and company, for example: sanitary sewer, storm water management, water and hydro.
Cost of the Shared Space at the Kingsway Entertainment District
Shared space such as roads and Festival Square will be cost shared. A cost sharing agreement for maintenance of shared space will be negotiated by all parties associated with the Kingsway Entertainment District.
Financing Plan
A Report to Council, dated June 27, 2017, asked that the City of Greater Sudbury approve a financing plan for inclusion in the 2018 capital budget that utilizes various funding sources.
A financial plan is included in the 2018 municipal budget for repayment of the Arena/Event Centre and shared infrastructure.