Sports stadium economics in two cities

Atlanta’s Mercedes-Benz Stadium+Detroit’s Little Caesars Arena – how did these two landmarks contribute to the cities they call home is the focus of Matthew Monsour’s ARP.

You started out with a much bigger scope of studying the economic prosperity of both cities, but narrowed it down to a more digestible look at each city’s sports stadium. Walk us through your research.
Sure. I decided to focus in on three areas of interest: funding, impact on housing, and other workforce issues. I found the funding part of this very interesting, and learned that the majority of Little Caesars Arena (LCA) funding came from private sources, and the rest came from tax incremental funding, or TIF, on city buildings. As the building taxes increase, a portion will go to finance the arena, and will pay it off over 30 years, and also fund other projects. In Atlanta, they used a simple extra service tax on hotel rooms, and some private funding.

In Detroit, no housing was displaced because LCA was built on a vacant lot owned by the Illitch family, the owners of LCA. As part of the agreement, two buildings will be made into affordable housing, the Eddystone, and the United Artists Theatre Building, which will be mixed residential and office space.

Workforce was most impacted by LCA. By executive order, more than 50 percent of workers on the project had to be Detroit residents, and 30 percent of contracting firms had to be based in Detroit. More than 60 percent of the firms were located in Detroit, but only 27 percent of workers came from Detroit, so $3 million in fines were levied by the city. The fines contributed to training programs to kickstart the workforce.

Your brother and sister were also lifers at Liggett. Did they do ARPs?
My sister was the second class to do an ARP, and she focused on obesity in the U.S. I don’t know all the details, but I’m sure she still does! My brother did an internship instead.

What are your favorite Liggett classes?
American Government and the American Electoral Process were my two favorites. I’m really interested in the political process and I had a great time taking those classes last year. It was great how they lined up with the election. I’m currently in a class on the Middle East, and we’re learning about the Arab-Israeli conflict. It’s so complicated, so I’m interested to sit and learn what is going on. I really enjoy it.

What else do you like to do?
I’m a drummer, and in college, I’ll probably expand on this. I love to play golf, hang out with my family, exercise, and keep as busy as I can throughout the day. In college, I’m hoping to study business, real estate or business law…and work on music.

What benefit have you enjoyed from attending Liggett?
Liggett has helped me make connections outside the community, and encouraged me to stretch out and be independent. Liggett allows you to take that step to initiate discussions and ask questions. I like how they let you have your own voice and lead things. Having that responsibility prepares me for the coming years, and it’s great to have the trust of the faculty to do the very best you can.