INDIANAPOLIS — Indy Eleven's new 20,000-seat soccer stadium and entertainment district is starting to take shape in downtown Indianapolis. That district will likely have a special tax to pay for its facilities.
The Metropolitan Development Council unanimously approved establishing a professional sports development area Wednesday at the former Diamond Chain site where Eleven Park is being constructed.
Indiana University Kelley School of Business economics professor Russell Rhoads said the special district is normal for cities building new stadiums, but the taxes are only confined to the district itself.
"It's very rare that a professional sports franchise totally funds their own stadium," Rhoads said. "I understand that people want to keep as much of their money as possible, but there's a good chance that if they have no interest in going to the soccer game and never go to that part of Indianapolis, it will not come out of their tax dollars."
In his analysis, Rhoads believes Indy Eleven's financing structure for the $1 billion project is more favorable to taxpayers than comparable stadium deals across the country.
"If sales taxes in that district don't cover the public cost, the risk falls to the team and not the taxpayer," Rhoads said. "That's rare."
The Eleven Park sports district was made possible thanks to a law passed by Indiana lawmakers in 2021.
Demolition crews are clearing the former Diamond Chain buildings from the site, which is an exciting development for Indianapolis' soccer fans.
"This stadium is one step in the direction of helping the team grow to the next level in terms of prestige and competition level," said Lauren Stanisic, a player in the Central Indiana Women's Soccer League and an Indy Eleven season ticket holder. "It will be great for the city."
"With how much they're putting into it, I think a lot of people will be interested," said Melissa Thomas, Stanisic's CIWSL teammate. "I go to baseball games even though I don't know anything about baseball because the stadium is really nice."
Indy Eleven broke ground on the stadium this May. They anticipate opening Eleven Park in summer 2025.
