Monumental Sports & Entertainment chairman Ted Leonsis officially has his renovation money.
Tuesday, the DC council approved legislation funding the purchase and redevelopment of Capital One Arena, keeping the Washington Capitals and Washington Wizards in the District for at least the next two decades-plus. Leonsis took to social media to thank the council for passing the bill, calling it "a direct investment in the City of DC."
Leonsis said in a video published to X:
On behalf of myself and all of us at Monumental Sports and Entertainment, I'm so proud to share that the City Council has voted to approve legislation supporting the transformation of Capital One Arena.
This means we can now get to work creating a world-class facility for the best fans and athletes in the world.
This was the final step in our journey to breaking ground on what will become the new Capital One Arena, which will be a premier destination for fans and athletes and a new front door for the district's downtown.
It's a direct investment in the City of DC and will ensure that it's not only a top-tier destination for athletes, artists, and entertainers, but the people who live, work, and visit here every single day.
I'd like to extend my sincere appreciation to Mayor Muriel Bowser and the entire DC Council, who continue to serve as trusted partners and advisors throughout this process and remain equally committed to bringing to life our vision for the city and its future.
There'll be so much more to share in the coming weeks and months, and we hope you will pardon our dust along the way.
Finally, I want to thank all of you.
Your loyalty to the teams is what fuels us to deliver and build a world-class experience for you and your families and that everyone can appreciate for now and decades to come.
The bill works in two parts. First, the District government is purchasing Capital One Arena from MSE for $87.5 million. The venue will then be leased back to MSE, who will operate and maintain it, for about $2 million a year through 2050, with up to five four-year renewals beyond that. The adjacent District government-owned commercial and alley spaces are included as part of the lease, as will air rights over both spaces.
The second part of the legislation includes a substantial upgrade to Capital One Arena. The DC government will invest $515 million into the facility over the next three years, while Monumental will contribute a minimum of $285 million, with any project cost overruns to also be covered by MSE.
The upgrades are focused on the customer/fan experience, increasing seat options, upgrading the facade, and expanding visitor amenities.