Prince George's Council Approves Sphere Financing for National Harbor, With a Community Impact Fund

The Prince George's County Council has approved financing for the proposed Sphere entertainment venue at National Harbor, the Banner reported. The council voted 8-0 on Tuesday to authorize up to $215 million in special obligation bonds to help finance construction-related costs for the 6,000-seat venue and refinance existing National Harbor debt. Of the bond proceeds, $130 million would help finance construction of the Sphere, a large globe theater featuring immersive video and music programs. The project will cost $1.4 billion.

County Executive Aisha Braveboy said after the vote that the Sphere could strengthen the county's tax base as it grapples with the closure of Six Flags and the Washington Commanders' planned departure from Landover. "The decision to go after Sphere, to work to bring it to Prince George's County, will more than triple in tax revenue [what] we are losing with the Commanders leaving in a few years and the closure of Six Flags," Braveboy said, as reported by the Banner. The county would repay the tax increment financing bonds using designated National Harbor tax revenues, including property tax revenue generated by growth in assessed values.

Council members also approved a separate community impact fund to address neighborhood concerns about traffic and other issues, the Banner reported. The fund would receive 15 percent of qualifying county revenue generated by Sphere, drawn from admissions and amusement taxes and a share of real estate taxes not already pledged for the bonds, with neighborhoods within six miles of the venue qualifying. Half would support community programs and services and half would fund infrastructure and capital improvements. The plan also calls for Sphere Entertainment Co. to direct at least 50 percent of eligible construction spending to county-based small businesses or locally owned and operated businesses.