Simon Group Seeks Ownership of Reno's Downtown Ballpark

Real estate mogul proposes 20-year extension and $40 million investment in exchange for public stadium transfer—highlighting minor league ballparks' emerging role as urban revitalization anchors

A group led by real estate billionaire Herb Simon is pursuing ownership of Greater Nevada Field, the downtown Reno baseball stadium that has served as a cornerstone of the city's urban revitalization strategy. The negotiation transcends a simple sports facility transaction, illustrating how minor league ballparks across America have evolved into critical infrastructure for downtown renewal and regional economic development.

Minor League Ballparks: The New Anchors of Downtown Revival

Across the United States, minor league baseball stadiums have transformed from mere sports venues into anchor facilities driving urban revitalization. With more than 70 home games annually, these ballparks generate consistent foot traffic for surrounding businesses while serving as multipurpose event spaces for concerts, festivals, and corporate gatherings.

Greater Nevada Field, which opened in 2009, was a landmark project in Reno's downtown redevelopment efforts. The stadium has played a pivotal role in the city's strategy to diversify its economy beyond casino dependence. According to team ownership, the Reno Aces generate approximately $21.9 million in annual economic impact and support roughly 120 jobs.

Public Investment, Private Ownership: America's Perennial Stadium Dilemma

The proposal reignites a persistent debate in American sports facility development: whether taxpayers receive adequate returns when publicly funded venues transfer to private hands.

Greater Nevada Field was constructed through a public-private partnership, with the City of Reno contributing $1 million annually—totaling $30 million over the life of the agreement. The stadium is also tied to a tax increment financing (TIF) mechanism established to support downtown projects.

The facility faced insolvency and back-tax issues during the Great Recession, leading to a 2013 restructuring that reduced the city's annual debt payment to $1 million but extended the payment period from 20 to 30 years. That settlement also designated Reno's general fund as a guarantor of the debt, exposing the city to significant financial risk.

Nevada Land's current proposal attempts to strike a balance by offering to remove the city's guarantor obligations, commit $40 million in capital improvements over 10 years, extend its operating agreement by 20 years, and include a profit-sharing clause should the stadium be sold. However, the fundamental controversy surrounding the privatization of a public asset is unlikely to dissipate.

The Simon Empire Expands: From Shopping Malls to Sports

Herb Simon is no ordinary team owner. Simon Property Group, which he co-founded, is the largest shopping mall REIT in the United States, owning and operating more than 200 retail properties nationwide—including Reno's Meadowood Mall.

Simon also holds a majority stake in the NBA's Indiana Pacers and has long pursued a "sports-anchored development" strategy that integrates athletic venues with real estate development. The Reno ballpark acquisition represents a further expansion of his sports-real estate portfolio.

Contract Misalignment: The Legal Trigger for Negotiations

The immediate catalyst for these negotiations is a structural flaw in the existing agreements. The Reno Aces' current operating agreement and non-relocation commitment expires in April 2029, while the lease and payment settlement agreement extends through 2043.

This misalignment creates a scenario where the Aces could relocate to another city after 2029, leaving Reno contractually obligated to an empty stadium for 14 additional years. Nevada Land is requesting ownership transfer in exchange for extending its operating commitment through 2049—a 20-year extension.

"At its core, this is about alignment," said Eric Edelstein, president of the Reno Aces. "The City and the team working together with a shared goal of making downtown stronger, more active, and more resilient over time."

Key Terms of the Proposal

Nevada Land's proposal includes several significant provisions:

What Nevada Land Offers:

• Remove the city's general fund as debt guarantor, transferring all obligations to the Reno Redevelopment Agency
• Extend operating agreement and non-relocation commitment by 20 years through 2049
• Invest $40 million in stadium and surrounding area improvements over 10 years
• Allow continued city and community use of the ballpark for events
• Assume responsibility for all real estate and property taxes
• Include profit-sharing clause if stadium is sold after ownership transfer
• Accept clawback provision returning ownership to the city if commitments are not fulfilled

What Nevada Land Receives:

• Full ownership of Greater Nevada Field
• Sole ownership and authority over naming rights

Reno's Choice: A New Model for Urban Sports Partnerships?

The proposal is scheduled for discussion at the Reno Redevelopment Agency advisory board meeting on Monday, January 26.

For Reno, the deal offers tangible benefits: elimination of 14 years of legal risk exposure, $40 million in private investment, and a 20-year commitment keeping the team downtown. However, transferring an asset built with decades of public funding to private ownership requires careful civic deliberation.

As public-private partnership models for sports facilities face renewed scrutiny across the nation, Reno's decision could establish a new precedent for minor league sports infrastructure governance in mid-sized American cities.

The outcome will signal whether such arrangements can evolve beyond their historically contentious dynamics into genuinely balanced partnerships—or whether the structural advantages will continue to favor private capital over public interest.

Source: Reno Gazette Journal, January 23, 2025