Rams Reportedly Ask NFL for $500M in Additional Funding for SoFi StadiumMay 14, 2020
The Los Angeles Rams have reportedly put in a request to the NFL for additional funding for their new stadium.
Per The Athletic's Daniel Kaplan, the Rams requested $500 million from the league for SoFi Stadium funding and double the typically allotted time to repay their loan because of concerns about "cost overruns, less than expected personal seat license sales and the prospect of a gut punch to gate revenue this fall."
In 2018, Kaplan reported for the Sports Business Journal that NFL owners passed a $2.25 billion debt waiver for the Rams and the NFL approved $400 million in stadium financing through its G-4 program:
"The development comes as the cost of the joint Rams-Chargers stadium in Inglewood is skyrocketing, now in excess of $3 billion, sources said, after initially being estimated by the Rams in 2016 at $2.2 billion, then $2.6 billion and then just under $3 billion last month. Design measures to protect the venue from earthquakes are sparking the increase (the San Andreas fault line passes within a mile of the site), one of the sources said."
Kaplan added, "To cover billions of dollars in debt will require revenue generation at levels not seen before in the NFL."
In Thursday's report for The Athletic, a team source told Kaplan that in addition to the Rams' new $500 million financing request, they are "asking to pay that over 30 years as opposed to 15 years."
Per Kaplan, the team's request is on the schedule for virtual league meetings next week.
David Wharton of the Los Angeles Times reported in January the cost for SoFi Stadium was approaching $5 billion. Rams owner Stan Kroenke initially estimated in 2016 that the cost would be $2.3 billion.
In November, Grant Suneson of 24/7 Wall Street compiled a list of the 25 most expensive sports stadiums in the world. MetLife Stadium, which has served as the home to the New York Giants and Jets since 2010, topped the list at $1.7 billion.
SoFi Stadium construction remains ongoing with the hope of being ready in time for the 2020 NFL season. The first events scheduled at the stadium were two Taylor Swift concerts on July 25 and 26, but they have been postponed until next year amid the coronavirus pandemic.
The first regular-season NFL game scheduled to take place at the new facility features the Rams hosting the Dallas Cowboys on Sept. 13 at 8:20 p.m. ET.