Two years is a long time to work out such a deal, but nevertheless, we commend General Assembly leaders and city officials for putting the finishing touches on a plan that has the state buying the 33-year-old Dunkin’ Donuts Center from the city.
The $90.5 million deal includes $28.5 million for the building and land on which it sits and $62 million to overhaul the facility and connect it to the Rhode Island Convention Center, a move that should provide a significant boost for those who market the capital city for conventions.
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The $90.5 million would be raised through a state bond issued and paid back over 30 years from a combination of revenues from events at the building and taxpayer contributions.
The plan is to be forwarded to Gov. Donald L. Carcieri as part of the state budget.
We urge the governor to sign off on it.
A complete overhaul of The Dunk is long overdue and could not come at a better time. The Providence renaissance – perhaps best described as having been ‘at rest’ for a couple of years – is back on, with several apartment and condominium projects now coming to fruition, new hotels being built and existing ones being expanded and GTECH’s world headquarters currently under construction in the heart of downtown.
In fact, on each side of The Dunk, exciting redevelopment projects are about to proceed. Cranston-based Procaccianti Group plans to expand its downtown Holiday Inn and expects within months to begin construction on a second tower at The Westin Providence, which it recently purchased. The so-called “power block” that the developer has described is poised to emerge as yet another bustling corridor for downtown Providence.
Providence needs – and deserves – a first-class arena. Right now, The Dunk does not qualify as one. That simply needs to change.
The $90.5 million price tag is steep, but we see it as an investment that should pay dividends for years to come. The potential for lost revenue from major events – like NCAA championship tournament basketball games or large-scale conventions – is immeasurable.
There are aspects of the proposed deal that we like very much. For example, it requires that the Convention Center Authority, the entity that would oversee the facility, to set aside a fund for regular repair and upkeep to the building. We also support the idea of the major overhaul, as opposed to a watered-down approach that might have cost closer to $40 million.
To us, an overhaul of this facility must be dramatic and must include it being connected to the convention center. The less expensive alternative would not accomplish that goal.
With just a week or so left in the General Assembly’s 2005 session, it does not appear as if it will be one filled with many highlights. Moving on the Dunkin’ Donuts Center would represent a coup of sorts – a positive economic development initiative.
It should not have taken this long to get done, but now that it’s come this far, we hope this deal becomes reality before any political posturing puts it off any longer.
