City council votes to keep baseball in the ‘Burg

The debate is over: St. Petersburg City Council members approved a $6.7 billion proposal to anchor a reimagined Historic Gas Plant District with a new Tampa Bay Rays ballpark.

The council voted 5-3 Thursday to sell the team and its development partner, Hines, 65 acres of prime real estate at a steep discount. The city will also provide $287.5 million to offset stadium construction costs and $130 million for site infrastructure improvements.

In return, the development team will embark on a 30-year mega-project to transform sprawling parking lots and underutilized land into a thriving mixed-use community that increases the city’s tax base. While supporters erupted after the vote, Mayor Ken Welch offered a more measured response.

“It feels like we got to get ready for the next phase,” Welch told the Catalyst. “And the next step is going to the county. That’s what we’re focusing on now. But I’m really excited.”

The Rays and Hines must still overcome one obstacle. Pinellas County will own the stadium, and commissioners must approve spending $312.5 million in tourism development tax dollars.

However, stakeholders expect that to present a much smaller hurdle than convincing five of eight council members to support the deal. While the generational project received extensive organizational and corporate support throughout the city and region, elected officials faced ardent opposition from many constituents.

“I really appreciated how the council handled it,” said Rays president Brian Auld after the meeting. “I love the sentiment across the board that now is the time for us all to come together and make this project successful.

“We get to celebrate for a little while, and then we roll our sleeves back up, get through the county process and get back to work executing this incredible vision.”

An aerial rendering of one side of the Historic Gas Plant District’s redevelopment, anchored by a new Tampa Bay Rays stadium (right). Images provided.

Mayor Ken Welch told the council and a packed City Hall that the historic vote was over 40 years “in the making.” He stressed the importance of respecting the former predominantly Black neighborhood’s history and fulfilling long-deferred promises of economic opportunity and inclusion at the “sacred” site.

He believes the Rays and Hines will honor that legacy. Several former residents and descendants in attendance agreed.

Welch noted that approval secures Major League Baseball’s “economic engine.” He reiterated that the developers would foot over half of the project’s bill and inevitable cost overruns.

Rays owner Stuart Sternberg acknowledged some “cockamamie schemes” in the team’s nearly 20-year pursuit of a new stadium. However, he said it was “always our intention to have the team remain in Tampa Bay and, specifically, St. Petersburg.”

“I really appreciate the time and effort that each and every one of you put in, whether you’re this way or that way,” Sternberg said to the council. “I know you’ve been taking punches from people … I don’t know how you do it.”

While subsidizing the $1.37 billion ballpark garnered much of the focus throughout the oft-contentious process, several stakeholders noted the project’s economic impact. James Corbett, city development administrator, said the city expects the development to generate $475 million in new property taxes in its first 30 years.

He said the project would create 30,000 construction-related jobs and another 11,000 after completion. In addition, the Rays and Hines voluntarily agreed to utilize apprentices, disadvantaged workers and minority and women-owned businesses throughout the redevelopment.

A packed City Hall awaits the council’s decision.

Those opposed bemoaned providing a corporate subsidy while the city faces heightened environmental threats. Many believe the mayoral administration should have fought for a better deal with more affordable housing and a higher land sale price.

The project will provide 600 on and off-site affordable and workforce housing units. The developers also agreed to a $50 million community benefits package that many people felt was inadequate.

“We discounted that price from the land price, so they’re not really paying $150 million,” said Councilmember Lisset Hanewicz. “We are. My position is still the same – the $50 million should be paid upfront because what is the buying power of that sum in the future given average inflation?”

She believes other companies would redevelop the area with or without a stadium. Hanewicz said the only thing preventing the transformation is the city’s current land-use agreement with the Rays, which would have expired in 2027.

Councilmember Ed Montanari credited the team’s philanthropic efforts. He called the Rays a “first-class” class organization and praised Hines representatives for their astute answers in recent workshops.

“This is a lot of money,” added Montanari, a fiscal conservative. “This is not an easy vote. But this is the right thing for the City of St. Petersburg, Pinellas County and our region, and I move approval.”

Mayor Ken Welch (left) shares a moment with Gwendolyn Reese, president of the African American Heritage Association and a former Gas Plant resident, after the long-awaited project received approval.

Like Montanari, Councilmember John Muhammad thanked his colleagues for improving the deal with their continued feedback. Like Hanewicz, he still expressed concern over verbal promises not codified in the agreements.

Despite the time spent and challenges faced reaching that point, Councilmember Copley Gerdes said the momentous meeting was “just the beginning.” He believes the “hardest part is still in front of us because now it’s our responsibility to hold the Rays and Hines’ feet to the fire.”

“It took 17 years to have the right people in the right seats,” Gerdes added. “But damn, if we don’t have them now.”

Chair Deborah Figgs-Sanders and Councilmembers Gina Driscoll, Brandi Gabbard, Montanari and Gerdes approved 12 development agreements and several related resolutions. Hanewicz, Muhammad and Councilmember Richie Floyd – “proudly” – opposed the deal.

“They spoke their truth,” Figgs-Sanders concluded. “We came together. Either in agreeance or disagreement, we came together.”