Why are we not negotiating (or renegotiating) with the Rays before fixing Tropicana Field?
The Rays Stadium Deal is Dead
The agreement between the Tampa Bay Rays and St. Petersburg for a new stadium is officially over. The Rays had until March 31, 2025, to meet specific conditions for the deal to proceed. They failed to do so, leading to the deal’s termination.
St. Petersburg and Pinellas County, which had pledged a combined $2.4 billion toward the proposed stadium, should now acknowledge a few key realities:
Baseball does not drive economic growth or attract significant tourism.
The St. Petersburg Gas Plant property is not an ideal location for a baseball stadium.
Demolishing Tropicana Field and redeveloping the Gas Plant site will create a substantial financial windfall for the city.
Before St. Pete. can move on
Before St. Petersburg can move forward, it must navigate the existing agreement with the Rays. The team is contractually bound to play three more seasons at Tropicana Field. However, the stadium suffered severe damage in recent hurricanes, including the loss of its roof.
The Uncertain Fate of Tropicana Field
Per the current agreement, the city must repair the stadium if a major event, like a hurricane, causes significant damage. Once repairs are completed, the Rays must resume playing there for the remaining three years of the contract.
Now, St. Petersburg is pushing forward with reconstruction. On April 3, the city council is being asked to vote on approving a $22.5 million contract just to repair the roof. Yet, the full cost of restoring the stadium remains unknown, with estimates reaching $60 million or more.
Insurance would cover up to $25 million, potentially leaving the city responsible for $35 million—a sum it hopes FEMA might help cover. However, there is no certainty about how much, if anything, FEMA will contribute or when those funds would be available.
Weighing the Risks
Risks to St. Petersburg
Many residents have had to decide whether to rebuild homes destroyed by hurricanes, knowing another storm could wipe them out again. The city now faces a similar dilemma. Hurricanes are a known threat to St. Pete, and the last one ripped the roof off Tropicana Field.
Can a fabric roof withstand another major storm? Why take the risk, especially when the stadium will be demolished after the Rays leave? If another hurricane strikes during reconstruction or the three-year play period, costs could balloon from $60 million to $90 million or more.
Risks to the Rays
The Rays are betting that Tropicana Field will be repaired in time for the 2026 season. But what if another hurricane hits during reconstruction? What if the repairs take longer than expected?
Where will they play in 2026 if the stadium isn’t ready? And if the new roof fails during those three years, what then? The team needs certainty for its future, but Tropicana Field comes with too many risks.
A Smarter Path Forward for Both Sides
The city is poised to spend at least $60 million for just three more years of baseball. Is that a wise investment? Wouldn’t it be smarter to negotiate a settlement with the Rays instead of committing millions to a stadium with no future?
Rather than pouring money into repairs, the city could collect $25 million in insurance proceeds and use that as leverage in negotiations with the Rays. If an agreement can be reached, the city could save $35 million and gain years of headway in redeveloping the 86-acre site.
Why Negotiating Benefits the Rays
For the Rays, negotiating a settlement could also be in their best interest. The franchise is already looking toward a future in Tampa or another location. Resolving their remaining years in St. Petersburg would allow them to focus on securing their next home.
Rather than dealing with potential delays, construction risks, or another catastrophic storm, the team could finalize a new stadium deal without being tied to Tropicana Field. A negotiated buyout could give them the flexibility to accelerate their transition while avoiding the headaches of playing in a stadium with an uncertain future.
Key Questions the City Council Must Get Answered
Before approving $22.5 million for roof repairs, the city council must address critical questions:
Why isn’t the city negotiating or renegotiating with the Rays?
What is the total cost of repairs? Is there a fixed-price contract?
Has MLB approved the reconstruction plan and the roof design?
Can the new fabric roof withstand a Category 5 hurricane?
Who pays if the roof fails during or after construction?
How much insurance coverage exists for the reconstructed stadium, and what is the deductible?
What happens if the stadium isn’t ready by 2026?
Does a legal agreement force the Rays to play at Tropicana Field after repairs?
Why approve $22.5 million for a roof without having answers to these questions?
The Best Path Forward
Given the financial risks and uncertainties, both the city and the Rays should seriously consider negotiating a settlement. And if they have tried, they should try again. A well-crafted deal could save taxpayers millions while accelerating the redevelopment of the Gas Plant property.
For the Rays, a settlement would allow them to move forward with clarity, avoiding the disruptions of playing in a stadium under constant threat of damage.
Wouldn’t that be a smarter move for everyone involved?
3 comments
Ron, great summary of the questions that must be answered before the city council votes on April 3 to spend or waste another$22.5 million on repairing the stadium. Please keep up your great work. The city council should be listening.
I agree with your views regarding reaching an agreement with the Rays to avoid the expense of restoring the stadium .
A renegotiated deal is certainly the best option. Failing that, the City should consider defaulting on its obligation to reconstruct the Trop. Given the seemingly mediocre financial performance of the Rays, the damages incurred by the City by defaulting could very well be substantially less than the cost of rebuilding a stadium that will only be used for a few seasons of play.
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