Published Together: Amphitheater and soccer stadium offer opportunity

It’s hard to imagine West Michigan without the Van Andel Arena, DeVos Place Convention Center, and DeVos Performance Hall. These catalytic investments have been economic drivers for the county, now thriving with a great mix of restaurants, retail, office space, and residences. It is a place people want to visit and it is a force for retention and attraction of residents and businesses. Investments in the arena, convention center, and performance hall have led to over $11 billion in additional investment in new hotels, residences, office buildings, entertainment venues, and small businesses. These facilities have a combined annual economic impact of more than $82 million, supporting 1,265 jobs.

Now imagine an amphitheater along the Grand River; a soccer stadium for professional to youth soccer and other field sports — paid for by people who don’t live in Kent County. On Aug. 6, Kent County voters will be asked to approve the Lodging Proposal — a 3% increase in the visitor tax on hotel/motel stays in the county. If passed, revenue from the additional tax will fund the community-owned and operated amphitheater and potential soccer stadium, helping grow Kent County as a destination for tourists and a place where people want to live, work, and play.

The Lodging Proposal is the tax that Kent County residents do not pay. Nearly 90% of overnight guests in hotel/motels across the county are from visitors — people who don’t live here, making them visitor-funded community assets. This is not a millage. It won’t impact property taxes. The amphitheater and soccer stadium will be community owned and operated.

The amphitheater and soccer stadium will help keep West Michigan on the map and draw people from all over to our great county. It will bring in artists and shows from all across the globe, serving only to enhance our already vibrant arts and entertainment industry. These proposed amenities will make it easier for local families to stay closer to home for family trips — especially as we juggle costs with the rate of inflation. We would no longer have to travel to far-away destinations to enjoy soccer games and concerts.

Tourism is the backbone for our local economy, attracting visitors to venues such as Van Andel Arena and DeVos Place. This, in turn, creates jobs, generates significant economic impact, and supports local and small businesses. Together, these two new visitor-funded assets will generate billions in new economic impact and create hundreds of new jobs.

Many of these new jobs would come during the construction of both facilities.

Contracting with locally owned small businesses and organizations owned and operated by women and minorities is a key pillar in the creation of these venues.
Construction has begun on the $185 million-amphitheater. With construction costs of approximately $135 million, Grand Action has partnered with construction management firms Pioneer Construction and Barton Mallow on an inclusion plan for the project.

While nearly $42 million of the project costs are associated with very large and complex specialty scopes that only a few firms can perform, and therefore very likely no local or regional firm are currently able to perform, aspirational goals for the amphitheater project total $6 million of participation from micro local business enterprise (MLBE), women’s business enterprise (WBE), and minority business enterprise (MBE).

Simply put, we are committed to hiring locally owned and operated small businesses as well as women and minority owned and operated firms.

This commitment is steadfast with the potential soccer stadium as well. We understand that approximately 75% of the project costs are associated with large specialty scopes of work that are unable to be subcontracted with MLBE, WBE and/or MBE firms. Initially, we believe that up to 25% — or approximately $6 million of the remaining $20-$25 million project scope could be subcontracted with MLBE, WBE and/or MBE firms. A future inclusion plan will provide additional detail for the soccer stadium project.

As subsequent phases of the projects are further refined and developers are identified, additional inclusion plans will be submitted. The development team and the city of Grand Rapids believe that significant opportunities exist in the mixed-use components of the projects that will lead to much more opportunity. Between the amphitheater and soccer stadium alone, more than $14 million is targeted for MLBE, WBE and MBE firms. When fully complete, combined aspirational goals could exceed $30 million overall. More contracts for qualified M/WBE firms means a more prosperous and equitable city for all.

Equally as important in the creation of these catalytic projects is affordable housing. We are working to create dwelling places for many different income levels with these projects. Once affordable housing agreements are signed, they are expected to provide two options, to be approved by the City Commission. One option could result in 146 affordable housing units overall – 94 as part of the amphitheater project and another 52 with the soccer stadium. The other option, as an alternative to providing housing as described in the first option, would be for future developers to make an annual contribution to the city’s affordable housing fund, or similar investment vehicle in an amount that would provide comparable benefit. Both options provide opportunity for the city to support additional affordable and/or attainable housing.

The opportunity to continue moving Kent County forward as a premiere destination for visitors and a place to live, work, and play for residents is now. And there has never been a better time to provide affordable housing while creating jobs for locally owned small business, as well as those led by women and minorities. I hope you join me in voting yes on Aug. 6 for the Kent County Sports and Entertainment Facilities Proposal.

Kara Wood is the executive director of Grand Action 2.0 and a member of the Destination Kent Committee.

Published Together is Rapid Growth's unique take on op-eds driven by community dialogues. Launched during the pandemic, this series created by Publisher Tommy Allen has amplified nearly 30 authentic community voices on a range of meaningful topics. Published Together empowers local perspectives to rise within our solutions-driven journalistic platform, inspiring our readers.