Soccer Stadium Taxing District Could Generate $2.1B Over 32 Years

Exciting developments are underway in Indianapolis, and the proposal is to create a new professional sports development area (PSDA). According to a comprehensive financial analysis conducted by Hunden Partners, this PSDA could potentially generate $2.1 billion in state and local tax revenue over the next 32 years.

Key findings from the Hunden report include:

• $1.7 billion from state income and sales taxes, with an annual cap of $9.5 million directed toward stadium construction bonds.
• $328.5 million in local income taxes and $193.3 million from countywide admissions and innkeepers’ taxes.
• Projections assume a 20,500-seat stadium opening in 2028, hosting an MLS team, a National Women’s Soccer League team, and additional events.

Our projections consider various scenarios, including base, optimal, conservative, and stress cases, to understand the potential revenue streams comprehensively. The optimal market scenario deemed the “best case,” projects tax revenue for the district’s use at $984.4 million over 32 years. Even the conservative case anticipates a substantial $728.8 million.