Royals, with $600M boost from Kansas City, announce new stadium plans

Two years after Kansas City voters roundly rejected a ballot initiative that would have funded a new stadium for the Royals, the ballclub announced plans for a downtown ballpark that will rely on at least $600 million in city funds that were approved without a referendum. The Royals announced plans Wednesday, April 22 for a $1. 9 billion ballpark at Crown Center and Washington Square Park that is also expected to include an 85-acre mixed-use development.

In addition to the city of Kansas City, an unspecified contribution will come from the state of Missouri via its "Show-Me Sports Investment Act. " The development is in conjunction with Kansas City-based Hallmark Cards, whose chairman announced the company will relocate within Crown Center. "Our founder Ewing Kauffman wanted the Royals to be Kansas City’s forever, and he wanted the team to benefit his hometown as much as possible," Royals CEO and Chairman John Sherman said in a prepared statement.

"Joining Hallmark with this project achieves both and extends the Hall family’s critical legacy of helping Kansas City grow. ” The announcement comes two years after Kansas City voters came out strongly – 58% – against a stadium funding bill for the Royals and Chiefs, the latter since announcing plans to move to Kansas. This project still faces significant hurdles, including final approval from city council, a development plan and tax-increment financing plan.

The Royals are in their 66th year at Kansas City's Kauffman Stadium, which underwent significant renovations last decade. It's also unclear whether the Royals will pay property taxes or rent on the stadium. The structure of recent stadium deals typically favors franchises capturing all associated revenue with the stadium – such as lucrative naming rights – while enjoying significant tax breaks from associated municipalities.