The Capital Region Development Authority will shortly launch $20 million in repairs and upgrades to the XL Center, Hartford’s premier sports arena and convention center.
Michael Freimuth, executive director of the CRDA, told his board in a Thursday meeting the funding will come from a $40 million pool of state bond money the agency received “several years ago.”
The agency has already spent around $18 million of this, much of it on a costly replacement of the flooring system and chillers used to maintain ice for hockey games, Freimuth said. Other repairs included an elevator, escalators, technical upgrades, improved concession stands, replacement of basketball floors and upgraded lighting.
Now, the agency is preparing a new round of projects.
This could include the addition of a sports bar/sports betting lounge on the Ann Uccello Avenue side of the XL Center, as well as enlargements to the concourse, Freimuth said. The work contemplated also includes upgrades to kitchens, loading dock repairs, new audio-visual equipment, replacement of a freight elevator and a start to the replacement of retractable seating systems. This seating is pulled out for basketball and retracted for hockey.
Lockers used by University of Connecticut teams will be replaced, Freimuth said. Enough funding remains, the agency also hopes to replace the public announcement system at the arena, he said.
Freimuth told the CRDA board he hopes to leave something of a cash reserve “because the minute we get done with that something will break.”
Right now, CRDA estimates $15 million to $20 million for this work. Freimuth expects firmer numbers after the return of bids that will be released over the next few months.
The CRDA has hired Providence-based Dimeo Construction to manage the project.
Freimuth previously said he hopes to have the sports betting facility ready to open in September. The entire plan, however, hinges on ongoing negotiations with state officials over a split of betting proceeds, Freimuth said.
“We are working our way through distribution of revenue earned at the XL if it is licensed for sports betting,” Freimuth said. That decision will be made by the state budget office and the Connecticut Lottery, he said. It may require action by the General Assembly, he added.
“Assuming we can work our way through that piece, we will formally enter into an agreement with the lottery on how the license will operate at XL,” Freimuth said.
Meanwhile, CRDA might see an investment of cash in upgrades to the XL Center from Los Angeles-based Oak View Group LLC, the company currently managing operations at the center.
Oak View took over management of the arena following a merger with Spectra Venue Management.
Freimuth said Oak View has been in talks with CRDA about potentially investing in the XL Center to make it better suited for their business model, which involves music concerts. The company wants to know if the center can provide adequate seating and staging to make concerts profitable.
Also at issue is the fact XL is served by just one loading bay, making it costly and impractical to bring in and remove equipment needed for shows, Freimuth said in an interview after Thursday’s meeting.
