Everett to Direct $33 Million from Transit Merger to Downtown Stadium

Everett officials plan to allocate $33 million from its upcoming transit merger to fund a new downtown stadium, a move that anchors the city’s revised financial strategy for the project.

The city’s financial plan, scheduled for release on Friday, lists the total projected cost of the Outdoor Event Center at $144 million. That figure represents a $24 million increase since the beginning of the year, a rise city staff attributed to higher property acquisition and construction costs.

The timing of the announcement follows the formal consolidation of Everett Transit into Community Transit, an agreement approved on Thursday afternoon that takes effect April 1, 2027. Under the terms of the merger, Community Transit will pay the city approximately $54 million for transit property and assets. Combined with existing reserves, the city will hold over $80 million in transit funds to be divided between economic development and transportation infrastructure.

The proposed spending plan directs $30 million toward the stadium, with an additional $3 million earmarked for street improvements around the site. Finance Director Chris Godwin stated that using this one-time funding allows the city to pay more upfront, thereby reducing long-term interest costs. The plan also includes $2 million for a separate economic development project in south Everett.

To finance the construction, the city intends to issue roughly $92 million in debt. This will be supplemented by capital contributions from the state, Snohomish County, the Everett AquaSox, the United Soccer League, and an unnamed business partner providing $5 million. The business partner’s identity is currently protected by a nondisclosure agreement, though city project manager Scott Pattison noted that the funding is tied to stadium naming rights.

City staff indicated that the $144 million figure represents a guaranteed maximum price due to the project’s design-build process. If approved, the city will use a three-year line of credit during construction, with interest payments estimated at $3.6 million in 2027. These costs will be covered by a business and occupation tax overhaul approved by the council in October, which generates an additional $2.9 million annually.

After construction, the debt will convert to long-term general obligation debt at an estimated 6.3% interest rate. The city projects annual debt service of approximately $6.2 million over 30 years, offset by $4.1 million in direct stadium revenues and $2.9 million from the new tax structure. The stadium is designed to seat 5,000 people and will be leased to the AquaSox and the United Soccer League, with the USL team serving as the primary tenant.

Council members are scheduled to vote on the funding plan, lease agreements, and construction contracts on Dec. 2. The site, located between Pacific Avenue and Hewitt Avenue, currently involves the purchase of six plots of land for which the city has spent $18.1 million. Negotiations continue for five additional properties, with three condemnation lawsuits pending.