NASHVILLE, Tenn. -- The Tennessee Titans have an agreement in place with Nashville Mayor John Cooper to build a new stadium.
"When my father brought this team to Tennessee 25 years ago, I don't think he could have imagined a better home for our organization," said Titans controlling owner Amy Adams Strunk. "The way the people of Tennessee have embraced this team as their own is truly something special, and I am thrilled that with this new agreement, we will cement our future here in Nashville for another generation."
The 1.7-million-square-foot stadium will have a dome, making it possible to host a Super Bowl and other major events year-round. It will be located east of Nissan Stadium along the East Bank.
The project is said to cost up to $2.1 billion and must be approved by the Metro Council.
Titans ownership has reportedly agreed to put up $800 million to help fund the project. The stadium also will be funded by a $500 million investment by the state.
"This new stadium proposal protects Metro taxpayers by not spending a single dollar that could be spent elsewhere on our core priorities like education and public safety," Mayor John Cooper said.
Funding for the new stadium comes from four separate revenue sources. The Titans, the NFL and personal seat license (PSL) sales combined represent the largest source of funding for the new stadium. General obligation bonds are not a part of the proposal, and zero dollars are required from Metro's operating budget.
Additionally, the team agrees to waive $32 million of outstanding bills owed by the city for construction and maintenance performed on Nissan Stadium over the past four years. As part of the overall project budget, the team also agrees to pay off the remaining $30 million in bonds owed on Nissan Stadium. This represents $62 million in additional unfunded liabilities relieved as part of the agreement.
The Titans have agreed to maintain and backstop upkeep over the life of the lease, and Metro will own the stadium when the lease expires -- creating a multibillion-dollar asset for the city.
The deal is a result of Nissan Stadium needing renovation after 23 years of wear and tear. A provision in the current lease requires the stadium's condition to be kept on par with other sports venues built around the same time.
That project was going to cost approximately $1.8 billion over the next 17 years. Cooper called it "financially irresponsible" to renovate Nissan Stadium instead of building a new facility, which supporters say would attract more tourists year-round. But the Nashville Metro Council has reportedly been reluctant to approve more big spending for tourism projects. The new stadium would represent the largest building project in Metro history.