After a decade and a half of downturn, Chicago envisions a new boom period for its South Loop convention center district. The Metropolitan Pier and Exposition Authority, known as McPier, is revamping McCormick Place, adding a hotel and arena through a $650 million McCormick Place Event Center expansion project.
Gensler designed the hotel, the 1,200-room, $450 million Marriott Marquis. The arena, designed by Pelli Clarke Pelli, is a basketball venue for DePaul, the city’s Division-I college hoops team. McPier funded a study that says the new buildings could generate $250 million in spending per year.
That figure, though, is fairly optimistic. The Chicago Tribune reports that experts are doubting the project, saying that the investments will ultimately cost taxpayers.
The McPier study has a few faulty assumptions. One, it is based on DePaul averaging nearly 10,000 fans a game, almost triple its current attendance. Two, McPier plans on using the arena for conventions, but studies have said that arenas are poor hosts for conventions due to their fixed seating. If the arena struggles to make money either in terms of basketball or conventions, then the hotel will have to make up that difference.
Stadiums have been found to be unsuccessful drivers of economic growth, which is an issue because McPier has already borrowed hundreds of millions of dollars and maxed out its debt limit.
"It was a dumb idea when it was proposed, it was a dumb idea when they approved it, and it will be a dumb idea in the future," Marc Ganis, a Chicago consultant who specializes in sports, said in the Tribune piece.
The Tribune has much more detail on the project, which is set to open in 2017.
Several issues have arisen with concerning the development over the last few years, including eminent domain battles, rising construction costs, and disagreements over $55 million in tax increment financing (TIF) funds.
Related Stories
| Mar 22, 2013
8 cool cultural projects in the works
A soaring opera center in Hong Kong and a multi-tower music center in Calgary are among the latest cultural projects.
| Mar 7, 2013
Vegas rebound: Genting Group acquires assets of stalled Vegas casino-resort
International hospitality giant Genting Group has announced a deal with Boyd Gaming Corp. to purchase the land and assets, including partially built structures, of the stalled Echelon casino-resort in Las Vegas.
| Feb 25, 2013
10 U.S. cities with the best urban forests
Charlotte, Denver, and Milwaukee are among 10 U.S. cities ranked recently by the conservation organization American Forests for having quality urban forest programs.
| Feb 22, 2013
Detroit project would bring 'fairytale forest' to riverfront
A proposal by atelierWHY to create a heavily wooded park on the downtown riverfront has taken first place in the juried Detroit By Design competition.
| Feb 19, 2013
'Pop-up' proposal would create movable cultural venue for NYC
The Culture Shed, a proposed 170,000-sf project for New York City's Hudson Yards development, could be the ultimate in "pop-up" facilities.
| Feb 14, 2013
Brasfield & Gorrie breaks ground on New College Football Hall of Fame in Atlanta
General contractor Brasfield & Gorrie is scheduled to kick off construction on the new College Football Hall of Fame in downtown Atlanta. With an anticipated completion date of fall 2014, the $66.5 million project will continue the revitalization of the city’s tourist district.
| Oct 2, 2012
Mirvish and Gehry unveil conceptual design to transform Toronto’s entertainment district
Reimagining of King Street Entertainment District supports Toronto’s cultural corridor.
| Jun 25, 2012
Thornton Tomasetti appoints Hofmeister and Zhu to board of directors
The addition of Hofmeister and Zhu brings the number of directors to 10.
| Jun 1, 2012
New BD+C University Course on Insulated Metal Panels available
By completing this course, you earn 1.0 HSW/SD AIA Learning Units.
| May 31, 2012
3 Metal Roofing Case Studies Illustrate Benefits
Metal roofing systems offer values such as longevity, favorable life cycle costs, and heightened aesthetic appeal.