Santa Clara 49ers Stadium To Cost Millions Less Than Expected
SANTA CLARA (KCBS) – Some good news out of Santa Clara as the price of the new 49ers stadium, which is partially funded with public money, is expected to drop by as much as $90 million.
The main reason for the cost savings is refinancing. The 49ers and the city of Santa Clara are taking out a new mortgage on the $850 million public loan they took out 14 months ago to pay for the bulk of the new stadium. Since construction began, rates have dropped and that translates into savings of up to $90 million.
Project Executive Jack Hill said the stadium is already about 40 percent complete.
“We’re here less than a year after we broke ground and the progress has just been amazing,” Hill said. “Great cooperation from the building trades that are building the stadium and all the other 49er partners. They’ve done a great job of getting it to this point.”
The team is also borrowing less money because fans have been purchasing seat licenses faster than expected. So far, fans have committed to buying more than $410 million in those licenses.
The new refinancing deal will have to be approved by the Santa Clara Stadium Authority in June.
The stadium is expected to open in the summer of 2014.
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