Worcester Business Journal

8 Worcester Business Journal | February 3, 2020 | wbjournal.com Grow your small business today with a great interest rate! At Webster Five, we are known for the fast, flexible and hassle-free loans your business needs to reach its full potential. PREPARING FOR GROWTH. SEEKING A TRUSTED LENDER. Visit web5.com/business-loans or call 800.696.9401 WEBSTER • DUDLEY • OXFORD • AUBURN • WORCESTER • SHREWSBURY Member FDIC Member DIF NMLS #523049 *Rate effective 10/31/2019. The prime rate is the rate published in the WSJ, currently 4.75%. The Annual Percentage Rate (APR) is the prime rate minus 1.50% for the first year on lines of credit and term loans. After the first year, the rate on lines of credit adjusts to prime plus 2.00%, and term loans will adjust to a fixed rate to be determined at that time. Ask us for details. Offer can be withdrawn at any time. IF THIS IS YOU, THEN THIS IS YOUR BANK. 3.25% fire coverage, schools, snow plowing or other needs. By devoting new revenue to the ballpark bond, other city properties will have to make up the difference. "Part of the economic activity that will occur in the redevelopment zone will substitute for economic activity that now takes place elsewhere in the city," Noll said. "us, tax revenues from outside of the development project will be lower than otherwise would occur in the absence of the development." Feasibility becomes harder e special tax district was originally to encompass mostly mixed-use buildings expected to rise beyond le field and across Madison Street. Now, the city is looking to add 14 more properties along the west side of Green Street. Along with an increase in the parking fees for WooSox games, those 14 properties are responsible for making up about $20 million in the public cost overruns for the stadium project. But as they valued at a little over $3 million combined, the 14 sites brought in less than $1 million combined in city taxes in the most recent fiscal year. e parcels will need to create more than that amount in additional revenue every year to pay off the ballpark, putting pressure on new development to take place there. Revenue from the tax district is not guaranteed and typically unsuccessful, said Nola Agha, an economics professor at the University of San Francisco whose work specializes in minor league baseball. e city's revenue streams are largely vague and built on assumptions, Agha said. e team's revenue, on the other hand, is virtually guaranteed, including through ticket revenue, she said. Public costs for the project are now so high – the city needs to pay off $137 million over 30 years – virtually everything would need to go as ideally as could be for new revenue even approaching that amount. e team is paying $43.5 million of that money over 20 years, but it will be able to keep most of the ballpark revenue, including the facility's corporate naming rights from Worcester drink manufacturer Polar Beverages. Allen Sanderson, an economist at the University of Chicago, described the city's costs as out of the ordinary for public spending on stadiums. "I'd regard this one as extreme in terms of the city's commitment or exposure," he said. "ey should have been able to negotiate a much better split." Nola Agha, University of San Francisco Continued from Page 7 UniBank's team of business experts provide customized solutions that help you meet the modern-day demands of running a business. Our comprehensive suite of products and services, including our UniPay Online Payment solution, were designed to provide businesses the competitive edge needed to strategically navigate fi nancial challenges. You be you. You you. bank Member FDIC/Member DIF Contact one of our experts or visit unibank.com to fi nd out more. Kristy L. Genga AVP, UniPay Business Sales Offi cer 508.849.4245 Todd Mandella SVP, Senior Commercial Lender 508.849.4253 Lemonia Mironidis VP, Branch Manager Worcester 508.756.0807 Tom McGregor SVP, Chief Commercial Lending Offi cer 508.849.4340

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