LACC Achieves Major Milestone
AEG TO SEEK ADDITIONAL TIME TO PURSUE NFL PROJECT AND
EXPLORE ALTERNATIVE PLANS WITH THE CITY OF LOS ANGELES
LOS ANGELES – September 29, 2014 – AEG announced today that it is seeking a six-month extension to its existing agreement with the City of Los Angeles for the Farmers Field Project. In a letter sent to Mayor Eric Garcetti, Los Angeles City Council President Herb Wesson and Council Member Curren Price, AEG advised that it is requesting this extension to allow additional time to pursue an NFL transaction and also to further assess and develop an alternative development plan for the expansion and modernization of the Convention Center and the potential construction of another large hotel at L.A LIVE.
The transactions approved by the City of Los Angeles in October 2012 for this project are currently scheduled to expire on October 18, 2014.
“We have resumed discussions with the NFL and, while much remains to be done before a deal could come together, we remain committed to this project,” said Dan Beckerman, President and CEO of AEG, “In light of the positive tone of recent conversations, we feel it would be productive to continue this dialogue while at the same time further exploring alternative plans with the City.”
An integral part of the Farmers Field project as initially conceived is the expansion and modernization of the Los Angeles Convention Center. Both the City of Los Angeles and AEG have voiced their commitment to accomplishing that important objective regardless of whether an NFL stadium is constructed at the site.
“We share the City’s vision for an improved Convention Center with additional hotel rooms nearby and we do not want to delay the pursuit of those objectives,” said Beckerman. “Therefore, as part of our request for an extension, we are making some explicit additional commitments to advance development and consideration of alternatives.”
AEG’s proposal submitted to the City today includes a commitment to spend up to $600,000 over the next six months to commission design services relating to a proposed alternative plan for Convention Center expansion and improvement, as well as the possibility of an additional 750-room hotel adjacent to L.A. LIVE and the Convention Center. In addition, AEG is offering to reimburse the City up to $150,000 to facilitate its review and consideration of such alternative plans.
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