Clock is ticking, cost is rising with new arena

We learned a lot about the prospect of a new arena/entertainment venue in Saskatoon last week, but most of it we already knew.

A consultants’ report that was finally made public concluded SaskTel Centre arena and TCU Place convention centre are outdated and nearing their end.

At 30 years old (SaskTel Centre) and 50 years old (TCU Place), the two facilities are considered ancient in a marketplace that features newer structures with better amenities.

An event at the one-year-old Mosaic Stadium in Regina and one at the cramped, obsolete SaskTel Centre offer experiences that are worlds apart.

Granted, one is an outdoor stadium, the other an indoor arena, but the gap between the two will grow greater over time.

Regardless, we did not need a consultants’ report to tell us Saskatoon’s two venues are past their prime or that any replacement for them should be located downtown.

Ottawa’s Canadian Tire Centre, located in the suburb of Kanata, is eight years younger than SaskTel Centre and is already considered so obsolete that plans are underway for a new facility downtown.

Nobody builds arenas in the suburbs anymore. Any municipality undertaking a megaproject like an arena builds it downtown to spark investment and revitalization, as in Edmonton or Winnipeg.

The big reveal from the consultants’ report is found in the price tag: $330 million to $375 million for a combined downtown arena and convention centre.

In other words, the most expensive single infrastructure project in Saskatoon history and the priciest project of its kind ever in Saskatchewan. The potential 15,000-seat arena on its own would range from $172 million to $178 million. For perspective, SaskTel Centre cost $26.1 million in 1988, or $49.4 million adjusted for inflation.

The other, perhaps most important, component from the consultants comes in a warning: The longer Saskatoon waits to replace its aging entertainment venues, the higher the costs will climb.

We knew that, too, whether we like to admit it or not. That does not mean decisions should be rushed, but everyone needs to be aware that time is money.

Municipal politicians will temper the enthusiasm of those who embrace the idea of a new arena by reminding them that such a venture takes time.

But few in Saskatoon need reminding that the cost of the new Remai Modern art gallery and parkade nearly doubled from the time the project was first proposed to its construction. That span represents roughly eight years.

The other option floated for the arena is to spend $101 million to expand SaskTel Centre in its current location. The unspoken option is to do nothing but repair the aging facility and wait for the big musical acts to stop coming.

The Greater Saskatoon Chamber of Commerce, the North Saskatoon Business Association and Tourism Saskatoon have all lent vocal support to the idea of a new downtown arena.

Two key questions remain unanswered: Where exactly will the arena be built and how will it be paid for? The report cites several locations downtown, but keeps them confidential, obviously trying not to inflate the value of the land. Some of the obvious spots include the underdeveloped north downtown, the Toys “R” Us location south of Midtown Plaza and the parking lot north of TCU Place and Midtown.

Saskatoon voters, by the way, rejected building a casino on that same parking lot in 2003.

As for how the potential arena would be funded, the report suggests a ticket surcharge, so those using the facility are paying for it, and/ or a levy on nearby development.

Saskatchewan Rush owner Bruce Urban likely surprised many when he told The StarPhoenix he would contribute as much as $20 million toward a new downtown facility.

But building a new venue in Saskatoon is never easily accomplished. SaskTel Centre was only built after two referendums in the 1980s and, by most accounts, including the consultants’ report, a monumental mistake was made to build it in its current spot.

A lot of questions need to be answered about any new facility, but the clock is ticking as the price tag grows larger. ptank@postmedia.com twitter.com/thinktankSK