CHARLOTTE, N.C. (QUEEN CITY NEWS) – Charlotte City Council members voted Monday to revise their deal for a new Charlotte Hornets practice facility and upgrades to the Spectrum Center.
City officials are still committed to providing $275 million to the project, but they are reallocating which portions of the development receive public funds.
The original agreement in 2022 had the city spending $215 million on arena upgrades and $60 million on the practice facility, otherwise known as the Performance Enhancement Center. The new agreement, spurred by the new team owners, will instead put $30 million into the PEC and $245 million into the Spectrum Center. Total public funding still totals $275 million.
Money for the project comes from the city’s tourism tax revenue.
Hornets organization leaders said they will provide any additional funding needed for the PEC beyond the city’s $30 million. Early estimates show their investment may be upwards of $70 million. Team owners are set to become primary owners of the PEC and will cover upkeep and maintenance costs.
Charlotte City Council voted 7-1 to approve the change.
Several council members voiced support for the alternative funding plan, but noted they want to be more involved in future renegotiations, especially when it comes to ironing out the details of the ‘community use’ for the practice center. Current terms do not define how many non-NBA events can be held each year in the PEC.
Monday’s vote also allows for a change in the size of the PEC. Instead of utilizing 50 percent of the gravel parking lot located next to the Spectrum Center, owners may build on 60 percent of the lot. They would then have the option to develop the remaining 40 percent of the property for something like a hotel or entertainment space.