Thrive
Rays are out: St. Pete stadium, redevelopment deal dead
What was once considered a bluff is now a reality. The Tampa Bay Rays have walked away from a long-negotiated, $1.37 billion stadium deal in downtown St. Petersburg.
The team’s development partner, Hines, will no longer transform Tropicana Field’s sprawling parking lots into a vibrant mixed-use district that pays homage to the Black community displaced from the area. However, owner Stuart Sternberg left the window cracked for a restructured agreement.
Team leadership informed city and Pinellas County officials Thursday that they would not meet multiple project requirements by the March 31 deadline – without issuing a formal termination letter. Sternberg told the Catalyst that he made the “building” decision “very recently” following unfruitful meetings with St. Petersburg stakeholders.
“After careful deliberation, we have concluded we cannot move forward with the new ballpark and development project at this moment,” Sternberg said in a prepared statement. “A series of events beginning in October that no one could have anticipated led to this difficult decision.”
Negotiations and political approvals jeopardized a previously established timeline. Still, plans to open a new ballpark that anchors the $6.7 billion Historic Gas Plant District redevelopment in time for the 2028 season remained on track through most of 2024.
Hurricanes Helene and Milton changed everything for the community and the team. The latter storm shredded Tropicana Field’s roof and caused over $55 million in damage.
The Tampa Bay Rays are essentially homeless following Hurricanes Helene and Milton. Photo by Bill DeYoung.
County commissioners delayed a critical stadium bond vote in October by seven weeks. Postponements, lost revenue, construction inflation and new steel tariffs will cost the team hundreds of millions.
Sternberg cannot justify the increased costs due to project delays, variables and the team’s low attendance – despite boasting the third-best record in baseball since taking the helm. “From our side of things, we were working really hard to do something good for St. Pete, the city that we love,” said Rays president Brian Auld.
“The world changed,” Auld added. “Two hurricanes, the election locally and nationally, changed things. Every single significant real estate development and business deal has been altered by those things. It shouldn’t be stunning that this one has, too.”
St. Petersburg agreed to sell the Rays and Hines 65 acres of prime real estate at a perceived discount. The city would also provide $287.5 million to offset stadium construction costs and $130 million for infrastructure improvements.
Pinellas County allocated $312.5 million in tourism development taxes, accrued through overnight stays, to a 30,000-fixed-seat pavilion-style ballpark that would host non-baseball events year-round. The Rays would contribute over $700 million, cover cost overruns and dedicate $50 million to a community benefits package. Local leaders declined to help the team bridge its financial gap.
Sternberg repeatedly stressed the importance of trust among the project’s partners. That has evaporated publicly, particularly among some county commissioners.
While his confidence level is low, Sternberg said he would “absolutely” keep an open ear to solutions. “The one thing that has been consistent is that we have tried to keep the team in Tampa Bay.”
A new $1.37 billion Tampa Bay Rays ballpark (right) would anchor the Historic Gas Plant District’s $6.7 billion redevelopment. Rendering provided.
Auld said it became clear that city and county officials are “not excited about exploring alternatives to the original agreement.” While the city could begin developing the land surrounding the Trop, the result would likely lack cohesion and only feature market-rate condominiums.
“Our commitment to the vitality and success of the Rays organization is unwavering,” Sternberg said. “We continue to focus on finding a ballpark solution that serves the best interests of our region, Major League Baseball (MLB) and our organization.”
Sternberg declined to comment publicly on rumors surrounding team buyers or his colleagues in MLB pressuring him to sell the team. However, he said the league is “aware” of his decision to withdraw from the stadium deal.
What stakeholders do have is time. Sternberg thanked the city – and acknowledged its “huge lift” through negotiations – for advancing plans to restore the Trop in time for the 2026 season.
“Knowing we have a place to play for the next four seasons – and that it’s local in Tampa Bay – is great news for our organization,” Auld said. “We’re going to do our part to put a competitive team on the field and provide exceptional customer service for our fans. And we have some time.”
The city could improve the Trop beyond its pre-storm condition, extend the team’s lease for a decade and commence construction on the Gas Plant’s redevelopment. While that would offer stakeholders a chance to discern a path forward, Mayor Ken Welch has said a renegotiated deal with the Rays is likely off the table.
“Some of what we’ve put in place, theoretically, could be used, adjusted and amended in a way that might be better than starting from scratch,” Auld said. “The biggest frustration has been that we’re not talking about any of that.”
JudyToo
March 14, 2025at11:19 am
It is too early to celebrate, Welch is obsessed with revenge on the the people of St. Petersburg who developed his beloved slum built on the toxic grounds near the Gas Plant. He did this, he coerced his puppet council to go along, he would not let the taxpayers vote on perhaps the largest boondoggle in our history.
He will go back and beg the Rays to stay. He will use more of our money to try to save his corrupt and misguided obsession.
No tears for Sternberg, he has made many millions in profits over the years thanks to the largesse of taxpayers (and a series of corrupt politicians) in the worst deal ever crafted for a stadium. He will sell the Rays for over a BILLION $$, quite a return on his $200 Million investment. He is a shrewd guy, he milked the city and county, collected his share of tv rights, spent a minimum on players and added millions to his personal wealth – plus over a $BILLION in profit when he sells the Rays. Not as much as he would have made if this deal had succeeded, but he is taking what he can get and blaming us for the so-called “failure.”
Some very appropriate comments:
– It would have been more honest to pay reparations to the decedent’s and fund a museum.
– The Chamber of Commerce and the Downtown Partnership should be ashamed of themself, and the sold out five Council members who voted “yes” should resign. The Tampa Bay Times and the Catalyst looked the other way.
– Find an experienced Mayor and Economic Developer and move on from the Rays. Otherwise, that site will look the same for another ten years.
– Welch better become a one term Mayor. Looking forward to donating to whomever runs against him. What a joke. (the clowns on the council should also pay their price)
– It’s time to move on from Ken Welch. He made the Trop redevelopment the center-of-gravity of his tenure as Mayor, he sold us out to Stu Sternberg
– The storms saved the city and county from corruption and total incompetence. The entire project was a political vanity project for Welch with no meaningful benefit for the current residents of St Pete.
– I do Not believe the deal is dead.
I do not feel sorry for the people of St. Petersburg, they elected the fools who did this to them.
SB
March 14, 2025at10:51 am
The Rays are just looking for a way out of the deal. The Trop being destroyed should have made the project much easier because it removed the constraint having to work around the Ray’s playing in it. The Ray’s could easily play somewhere else for a few seasons.
Spending $55M+ to fix the Trop for a couple seasons is crazy. I doubt that could be made up in additional ticket sales vs. some other ball field given the Ray’s attendance. Even at $50 a ticket you would need a ~40% increase in attendance just to breakeven.
John
March 14, 2025at10:06 am
Welch better become a one term Mayor. Looking forward to donating to whomever runs against him. What a joke.
Mike Connelly
March 14, 2025at6:05 am
GRIFTERS ALL OF THEM ⚾🧢
RICHIE FLOYD FOR MAYOR — EXPERIENCE IS THE WORD EVERYONE GIVES TO THEIR MISTAKES.
Mike C
March 13, 2025at10:47 pm
The storms saved the city and county from corruption and total incompetence. The entire project was a political vanity project for Welch with no meaningful benefit for the current residents of St Pete. Welch and the city council have an obligation to the citizens of St Pete and Pinellas county, the people who call this home. The community dodged a colossal financial mess! With every cloud there is a silver lining. Thanks Rays!!
Drew
March 13, 2025at9:18 pm
The comments that state we want a convention center and that more can be done with the land are all lost now. We could have had all of that! We had a massive developer with eyes on our city.. it will take decades for anything to happen to this land now. Such a sad day for the future of St. Pete.
Alan
March 13, 2025at7:53 pm
What you Mean “ Dead “ Sound likely No more Baseball for Ray TampaBay forever ?
Lauren Lopez
March 13, 2025at7:47 pm
Count me RELIEVED that this is (hopefully) over. There is so much more we can/could do with this property. And none of it involves professional sports. I want to thank Lisset Hanewicz, Corey Givens and Richie Floyd for staying strong and being TRUE LEADERS and NOT SELLOUTS like the rest of the City Council. You have made me proud and now your day has come. Bravo. Thank you for your service to our community.
We all know this should have been put to a vote by the voters of St. Petersburg.
John Welch
March 13, 2025at6:41 pm
Move the team to Montreal. Or Oakland. Or Northern New Jersey. I doubt Florida can support two baseballs teams. Yes, the Rays are a well-run team, and the Marlins are a mess, but the Miami ballpark does not need to be rebuilt.
Ron
March 13, 2025at5:13 pm
The hurricanes were the ticket for the Rays to back out. The ownership is ridiculous and I’m glad that MLB and the commissioner are now involved. Sell the team and get the hell out of the way!
monah
March 13, 2025at5:07 pm
Don’t let the door hit you where the good lord split you. Buh-bye (we hope for the last time!)
CHRISTOPHER LERBS
March 13, 2025at3:25 pm
The problem began when the Mayor and City Council decided that the taxpayers would not be able to vote on the deal. That opened the door for corruption which led to this very bad deal; for all parties. The $50 million in taxpayer money was laundered through the gas plant sale price. It would have been more honest to pay reparations to the decedent’s and fund a museum. Taxpayers spoke at the last election: no diversion of $700 million in taxes to subsidize ticket prices at a baseball stadium. While the Mayor’s decision to increase the deductible for the Trop was foolish, we are stuck with the repair cost. It can be a world class, multi function public purpose facility and the cost covered by selling some of the gas plant property at market value.
John Strauss
March 13, 2025at3:14 pm
This city is primarily famous for this never ending saga about the baseball stadium and for a poorly functioning sewer system. OK lots of sunshine also. Do better.
Ryan Todd
March 13, 2025at3:14 pm
It’s time to move on from Ken Welch. He made the Trop redevelopment the center-of-gravity of his tenure as Mayor, he sold us out to Stu Sternberg, and still can’t close the deal. How much of our time and taxpayer dollars has he wasted? What could our city have done with the time and money wasted on this project? How can he continue to serve as our leader?
Craig
March 13, 2025at12:41 pm
I can only hope and pray they move on. This is disgusting behavior by the Rays and MLB. Good bye, I hope. Not one more dime. St Pete can do al lot with that land. No need to mention traffic. 275 is jammed every day as it is.
Raphael
March 13, 2025at12:38 pm
Mother nature saved us from this disastrous deal. If Alan Delisle thinks its bad then its 10 times worse than that hahaha.
Alan DeLisle
March 13, 2025at12:11 pm
Sad. So many mistakes. Rays have proved again they are a selfish and greedy partner. Welch threw away the smartest development deal in the country when he cratered the Kriseman’s Midtown deal. Development would be underway by now and taxpayers would have been protected.
The Chamber of Commerce and the Downtown Partnership should be ashamed of themself, and the sold out five Council members who voted “yes” should resign. The Tampa Bay Times and the Catalyst looked the other way.
Bottom line: Find an experienced Mayor and Economic Developer and move on from the Rays. Otherwise, that site will look the same for another ten years.
I feel so sorry for the great people of St Petersburg. You deserved so much better. I thank the people of St Petersburg that tried to tell the “power structure” the truth from the start.
Spencer
March 13, 2025at11:51 am
BYEEEEEEEE – Could we plan to replace the blighted stadium with a Convention Center? This would actually serve the people in our community and be a far better anchor to the Gas Plant Redevelopment plan.
JANICE HURLEY
March 13, 2025at11:43 am
Move to Orlando
Joe
March 13, 2025at11:37 am
Worst owner in baseball, and he never gets the credit. Should’ve never purchased the team. Acted like he wanted to win, but never invested smart into players.
S. Rose Smith-Hayes
March 13, 2025at11:29 am
Prices increased after the storm. The current stadium cannot be used. I do Not believe the deal is dead.
Jonathan Ginsberg
March 13, 2025at11:03 am
Facts :
The city of St Pete performed.
Pinellas County performed.
The Rays did not.
A stool needsthree legs.
It only had two.
Also:
Let me attempt to translate what I think the truth really is here –
My opinion:
Stu does not have the money and / or Stu is not financeable by a lender. I do not buy the hurricane excuses and orher whining. He can’t get financing!