By Greg Chrapek
WKTV Contributor
Kent County voters will have the opportunity to give the proposed new soccer stadium in downtown Grand Rapids an assist when they head to the polls on August 6.
Among the items on the ballot is a proposal to increase the tax rate for hotel rooms in Kent County. The current hotel tax rate for hotels and motels in Kent County is 5%. The proposal calls for a 3% raise in the hotel tax bringing it up to 8%. Combined with other state and local taxes, this would bring the total tax for a hotel room in Kent County to 18%.
The money raised from the increased hotel tax would be used for part of the construction costs of the proposed new downtown Grand Rapids soccer arena. The increased hotel tax revenue also will be used for improvements, enlargements, repairs and maintenance of existing stadiums, arenas and sports complexes downtown along with construction costs for any new projects including a possible new aquarium.
Stadium hinges on upcoming Aug. 6 vote
Passing the proposal to increase the hotel tax will be crucial in keeping the process of building a new soccer stadium in downtown Grand Rapids going.
“I’m not so sure we will have a soccer stadium and a soccer team coming in if this proposal fails,” said Josh Lunger, Vice President of Government Affairs for the Grand Rapids Chamber of Commerce. “Increasing the hotel tax is a big, big component of the funding for the new soccer stadium. This is a key part of it.”
Increasing the hotel tax will have ramifications that not only include the new soccer stadium.
“The new soccer stadium will have a huge impact on the community,” Lunger said. “It will create 100s of new jobs. The soccer stadium will keep the downtown area vibrant and growing. Passing the proposal will give the current generation an opportunity to leave their mark on the community like previous generations had the opportunity with the DeVos Convention Center and the VanAndel Arena.”
Proposed stadium planned near downtown YMCA and former Big Boy
The ball has already starting rolling on the proposed new soccer stadium. In March, the Grand Rapids City Planning Commission approved rezoning land for the stadium. The proposed stadium is planned to be built near Lake Michigan Drive and Winter Avenue in downtown Grand Rapids. This land is near the downtown YMCA and the former Big Boy restaurant.
A special land use request was submitted by Grand Action 2.0. Grand Action 2.0 is creating plans and securing funding for the stadium while the Grand Rapids Kent County Convention/Arena Authority will own and operate the new soccer stadium. Grand Action 2.0 is a not-for-profit economic development organization. Its primary mission is to identify downtown and adjacent neighborhood building and transformational capital-intensive projects, galvanize public opinion and support, leverage public/private investments and formulate and implement funding strategies including securing private sector funding in support of request for primary public sector funding.
$175 million estimated cost
The soccer stadium project is estimated to cost as much as $175 million, with $115 million in public money and a plan to raise $60 million from the private sector.
The stadium will be designed as a multi-purpose, professional, high-performing venue driving economic growth and development in a vital urban district. It will become the home of professional soccer in West Michigan and also serve a broader community asset supporting youth, colleges and amateur clubs.
The stadium will be flanked by an open plaza and space for pre-game gathering and easy entrance flow. It will include multi-levels of tiered seating, including suites, loge boxes, and options at various price points. It will have an open and active concourse that connects guests to the game.
The stadium site is intentionally embedded within a thriving urban network creating multi-season activation and use.
All this progress hinges on Kent County voters giving the okay to increase the hotel tax to provide funding for the project.
A major element that proponents of the hotel tax increase want the public to understand is that this proposal is not a millage.
“Not a millage … Not an increase in property taxes”
“This proposal just increases the hotel tax by 3%,” Lunger said. “It is not a millage. It is not an increase in property taxes. It is a small increase in the current motel/hotel tax paid in Kent County. This will not impact property taxes.”
The West Michigan Sports Commission (WMSC) is also looking forward to the proposed 8,500-seat soccer stadium coming to fruition. The WMSC is already working with ASM Global to help formulate a booking policy for the new stadium.
The WMSC already puts on several regional tournaments in sports like soccer, baseball, basketball, softball, lacrosse, ice hockey, field hockey and rugby in the West Michigan area and is looking forward to the opportunity to host events at a new soccer stadium.
“It would be great to add a new facility to the downtown area to hold events at,” said Katy Tigchelaar, Vice President of Operations for the WMSC. “When people come to Grand Rapids who have never been here before they are blown away by what we have to offer. A new soccer stadium would be a great potential venue for us to bid on events to bring to Kent County.”
