Every now and then, an opportunity to be a part of something transformative comes along. Something impactful. Historic. Only those who are enthusiastic, equipped and prepared to respond will answer the call successfully.
In the instance of the Philadelphia 76ers’ new arena, the city of Camden and the state of New Jersey are all of those things and more.
Answering the call is precisely what New Jersey did earlier this month when the New Jersey Economic Development Authority sent a letter to Harris Blitzer Sports & Entertainment outlining a comprehensive proposal that totals nearly $1 billion in financial incentives to encourage the Sixers to seriously consider Camden as a location for their new arena.
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On Wednesday, the city of Philadelphia finally answered the call, when Mayor Cherelle Parker announced her support to build a new Sixers arena in Center City.
Still, government tends to move slowly, especially when city council members must concur with the mayor’s decision. This means that, although New Jersey may be the underdog in this bidding war, we are not out of the race yet.
Although the underdog, the Sixers do not need to be sold on the city of Camden, because they already proudly call it home. The Sixers’ team offices and practice facility already are in Camden, at a 66,230-square-foot facility that opened in 2016. Similarly, HBSE knows New Jersey well. It currently owns and operates the Prudential Center, home of the New Jersey Devils, in Newark, and the team’s owners have worked well with current and former statewide political leaders for many years, including Gov. Phil Murphy.
The project being presented by the Philadelphia 76ers is one that New Jersey’s Aspire tax credit program was designed to attract. As outlined by the Sixers, the new arena would enable the development of significant residential, commercial and retail offerings within the city of Camden. This, coupled with the state’s commitment to work with the Legislature on the structuring of up to $500 million of special-purpose bonds, would support the development of the project and sweeten the pot further, making this proposal an extremely attractive offer.
Importantly, while working with the Legislature, there would be negotiations around a Community Benefits Agreement. This agreement would be designed to focus on local hiring provisions for Camden residents, union labor provisions and other requirements to ensure that the residents and businesses of the city of Camden and the state of New Jersey reap the benefits that a major mixed-use development project of this magnitude this would bring.
Then there is the issue of location, and the state of New Jersey has one that is as close to shovel-ready as possible — very different than the proposed Center City location. The EDA has been seeking developers for the site of the former Riverfront State Prison in Camden since 2013, to no avail. It is a multiacre site that looks directly at the Philadelphia skyline on the Camden waterfront, immediately north of the Benjamin Franklin Bridge with easy access to mass transit options in and out of the city.
All of these crucial details aside, the difference between the city of Philadelphia and the state of New Jersey’s enthusiasm for this project cannot be starker. In New Jersey, local, county and statewide political leaders are rolling out the red carpet for the Sixers. Regional and statewide organized labor leaders are anxious to have their men and women working on a mixed-use development project of this magnitude. Businesses, large and small, from varying industries are excited for future collaborations and procurement opportunities with HBSE. The list goes on and on, with one stakeholder more enthusiastic than the next.
On the other hand, the city of Philadelphia had nearly five years to respond to the Sixers. Parker finally did so today, but city council also needs to be onboard for any agreement to be finalized.
It’s not “game over” for New Jersey’s proposal. The path to the Sixers arena in Camden is much clearer and has been met with overwhelming enthusiasm, with far fewer hurdles to overcome. All the Sixers have left to do is say “yes.”
Daniel Cosner is the president of the Southern New Jersey Building Trades Council. Christina Renna is the CEO of the Chamber of Commerce Southern New Jersey.
