Post Content

New report says Potomac Yard arena would jump start economic development in the neighborhood

Rendering of aerial view of Monumental Arena development (image courtesy of JBG SMITH)

(Updated 12/27) An economic impact report released last Friday said the new Potomac Yard arena would create 30,000 jobs and more than double the economic output of previous development plans.

The report came from HR&A Advisors, a consultant hired by the Alexandria Economic Development Partnership AEDP in June as a technical advisor.

The memo to AEDP from HR&A Advisors notes that the findings are based on Monumental Sports & Entertainment operations information shared by AEDP that shows statistics from arena and performing arts venue events.

The report looks at the economic impacts of the development, from construction impacts to economic output and tax revenue.

According to the report:

Key takeaways from this analysis are provided here, with additional detail on
methodology and findings provided in in the sections below.

  • Development of an entertainment district would generate approximately 30,000 permanent jobs
    for the Commonwealth of Virginia.
  • An entertainment district is projected to generate roughly 2.5 times the economic output of
    what would otherwise be built based on current development plans.
Potomac Yard development without Monumental arena vs with the arena (image via AEDP)

The permanent annual economic output of Potomac Yard sans arena vs Potomac Yard with the arena, according to the report, is $3.5 billion vs $8 billion. Over the next 30 years, the report says the ongoing economic output is estimated at $93.8 billion with the arena as compared to $36 billion without the arena.

Some of that revenue to the city and the Commonwealth would go to paying off debt borrowed to build the arena. According to Mayor Justin Wilson:

The debt borrowed by this public entity will be paid by three streams of money.

First: a private stream. Ted Leonsis will pay, first of all, a $400 million downpayment and a rent payment. That rent payment will be used to pay off that debt.

Second: the city will take a portion of the new tax revenue that comes from this development and we will use it to pay off a portion of this debt borrowed by that authority.

Third: the Commonwealth will take a portion of its tax revenue coming off this use and they will use it to pay off the loans used to construct it.

This is exactly the way we funded the Potomac Yard metro. We funded it using the tax increment of development that happened in Potomac Yard.

The summary is available online.

Whether the arena goes forward remains to be seen, Alexandrians were quick to raise concerns about the transportation impact and local leaders followed suit in the days after the announcement.

Recent Stories

The Alexandria Police Department (APD) arrested Robert Walker, a 34-year-old D.C. resident, for a carjacking just a few blocks away from APD headquarters and striking a police vehicle. Police said…

Featured in Just Listed is a 3 BD/2.5 BA townhome with 10 ft. ceilings, a private outdoor patio and a two-tiered roof top deck.

Virginia’s dual presidential primary is Tuesday, March 5. Here’s what you need to know about Super Tuesday in Alexandria. Polls open at 6 a.m. and close at 7 p.m. Unofficial…

A new conversion from an office to a ‘luxury rental development’ has broken ground in Old Town. American Real Estate Partners (AREP) is converting the 200,000-square-foot office building at 1101…

Dreaming of small-town charm with big-city convenience? Look no further than 7156 Main St in Clifton, Virginia! Nestled just 30 miles from the heart of Washington D.C., this picturesque property offers the best of both worlds.

Escape the hustle and bustle of the city to find tranquility in this quaint, historic town. With its tree-lined streets and friendly community atmosphere, Clifton is the perfect place to call home. Yet, with its close proximity to the nation’s capital, you’ll never be far from the excitement and opportunities of urban living.

Imagine weekends exploring local shops, dining at charming cafes, and enjoying outdoor adventures in nearby parks. Then, commute to D.C. for work or play, soaking in all the culture, entertainment, and career opportunities the city has to offer.

Read More

Submit your own Community Post here.

Are you looking to work on health and fitness from the comfort of your own home?

Skip the big box gym and try out our in-home personal training service. We bring the gym to you so that you can save time and avoid the hassle of going the the crowded gym.

We bring all the equipment you need for a solid workout and if you have a community gym we can use that too.

We offer programs that will help with weight loss, strength, flexibility, more energy and overall feeling better.

Read More

Submit your own Community Post here.

Scholarship Fund of Alexandria Annual Gala & Auction

Do good while having a good time at the Scholarship Fund of Alexandria’s 38th Annual Gala and Auction at the Hilton Alexandria Mark Center. The fun begins with a 2-hour open bar reception while mingling with 499 other Alexandrians who


Subscribe to our mailing list