Stan Kroenke, billionaire owner of the Los Angeles Rams, Colorado Avalanche, and Denver Nuggets, has joined Midway Rising as the lead investor in the Sports Arena redevelopment project at 3500 Sports Arena Blvd.
Midway Rising was selected by San Diego City Council last September to redevelop the 48.5-acre former Sports Arena area. Midway Rising is composed of housing developer Zephyr, sports-and-entertainment venue operator Legends, and affordable housing builder Chelsea Investment Corp.
Midway Rising’s plan calls for 4,250 residential units, a new 16,000-seat arena, a 200-room hotel, and 20 acres of plaza and park space. A cornerstone of the long-term redevelopment project is 2,000 deed-restricted residential units for low-income families.
ESK Midway Rising Investor, LLC, a special purpose entity owned by Kroenke and a subsidiary of his real estate firm The Kroenke Group, now has a 90 percent ownership interest in the redevelopment project, which reportedly will rise to 95 percent once project construction starts.
“Today’s announcement of The Kroenke Group’s addition to the Midway Rising team underscores that San Diego is a world-class city that can attract significant investment in projects and enterprises that elevate the community for all our residents,” said Mayor Todd Gloria. “I’m proud to welcome The Kroenke Group to San Diego and am looking forward to seeing the Sports Arena property’s transformation into a place for San Diegans to live, work and play.”
Currently, Midway Rising is completing physical site due diligence, a process that involves analysis and assessment of existing and underlying site infrastructure as well as geotechnical constraints. The resulting project description based on the team’s initial proposal and vision for the Sports Arena will undergo environmental studies and reviews next year. Late next year, the project team hopes to bring a long-term lease and development plan to the City Council for approval.
“The Midway Rising project will continue growing our investment in the Southern California region and we appreciate the City’s confidence in our joint vision with the existing project partners,” said Jason Gannon of The Kroenke Group. “This project is an incredibly exciting opportunity for The Kroenke Group to make a profound impact in San Diego, and it lays a foundation for our future investment in the community.”
The 76-year-old Kroenke, who has a reported net worth of more than $12 billion, also owns pro soccer teams Arsenal FC and Colorado Rapids.
