Georgia Dome (Getty Images file)
ATLANTA -- Atlanta Mayor Kasim Reed announced Thursday afternoon that a tentative deal had been reached to develop and build a new $1 billion stadium in Atlanta for the Falcons.
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The Falcons will pay about $800 million for the stadium, which would be located near the present Georgia Dome. The remaining $200 million will come from the city's hotel-motel tax. Reed emphasized that more than 80 percent of proceeds from the hotel-motel tax comes from visitors to Atlanta, as opposed to local citizens.
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In addition, the city, state and the Falcons have come to an agreement regarding infrastructure investment in the Castleberry Hill, Vine City and English Avenue areas to the southwest and west of downtown Atlanta.
Reed says the city hopes to make a deal with Friendship Baptist Church and Mount Vernon Baptist Church, located just south of the Georgia Dome, in order to locate the new stadium in that area. If that is not possible, Reed said, the stadium would be built to the north of the Dome.
Under the deal, the existing remaining debt on the Georgia Dome will be paid off.
Reed says the new deal is a major part of his effort to revitalize Martin Luther King Drive in Atlanta.
The agreement has to go before the full Atlanta City Council for approval. A majority of the
members of the council were at the Thursday news conference, along with Gov. Nathan Deal and Falcons owner Arthur Blank.