Reno redevelopment board approves GSR tax-increment deal to help build arena for UNR

The Reno Redevelopment Agency voted to approve a tax-increment financing (TIF) participation agreement with Grand Sierra Resort that will redirect a portion of the project’s future property tax growth to reimburse the developer for part of the arena and related infrastructure costs.

The agency approved the deal after a lengthy public hearing and a presentation by the developer and independent consultants; the measure passed on a 6–1 roll call vote by the agency board. The approved term sheet calls for a pay-as-you-go reimbursement tied to property tax increment generated by the built project through the redevelopment area’s current sunset date in 2035.

The agreement is structured so the city and agency assume no upfront debt or general-fund exposure. The developer, which has proposed a phased expansion of Grand Sierra Resort including a 10,000-seat arena, will build the project and pay property taxes as the assessor values the new buildings. The agency will then reimburse the developer a negotiated percentage of the new property tax each year once the tax increment arrives in the agency’s bank account.

Why it matters

Backers say the privately financed arena would raise Reno’s profile, provide a new home for University of Nevada athletics and concerts and generate new local jobs and tax revenue. Local officials and university leaders argued the project could spur tens of millions of dollars in new tax revenue for the city, county and school district over time and create immediate construction work.

Independent consultant Hunden Partners presented the agency with a financial gap…