CRA board adopts term sheet for amended Delta Center lease tying team covenants and expanding tenant responsibilities

The Salt Lake City Community Reinvestment Agency board on Aug. 12 voted to adopt a term sheet for an amended and restated lease of the Delta Center that would preserve public ownership of the land beneath the arena while granting a long-term lease to Jazz Arena Investors, an affiliate of Smith Entertainment Group (SEG).

Mayor Mendenhall told the board the update "reflects the changes and the growth that we've seen in the area" and emphasized that the city will maintain ownership of the land beneath the arena. "The dollar amount has never been the purpose of this lease. It's about long term value that we see in the arena and in our downtown core," she said.

Mark, representing the city's negotiating team, outlined the principal terms in the term sheet: an initial 30-year lease term with seven optional 10-year renewals (potentially a 100-year term), an initial fixed rent of $1 per year…