The Memorial Athletic and Recreation Complex was one of three public reuse options evaluated by an advisory group. The estimated $80-million project would create three levels within the structure, with swimming and hockey on the ground floor, a half-dozen basketball courts on the second floor and an area for things like indoor soccer, gymnastics and lacrosse on the third level. The other public reuse proposals were for a major modernization of Memorial Coliseum for its continued use as a spectator venue, and for converting of the building into a covered, open-air amphitheater. Both projects were estimated at between $10 million and $20 million.

As a private reuse alternative, billionaire Paul Allen's Oregon Arena Corp., owner of the adjacent Rose Garden Arena and the NBA's Portland Trailblazers, last spring offered up the idea of filling the structure with big box retailers and parking. OAC said the city could reap $90 million in taxes and rent over a 30 years period if it signed off on the $40-million project. It would also get OAC off the hook for the facility's annual losses.

According to the 1992 development agreement that created the Rose Quarter as it stands today, Oregon Arena Corp. has the right of first refusal to develop all of the city-owned property within the 37-acre Rose Quarter, including the site of Memorial Coliseum. The catch is that Oregon Arena Corp.'s development rights for Memorial Coliseum only kick in if the city decides to make all or part of the facility available for private use. Until then, Oregon Arena Corp. is obligated to operate Memorial Coliseum and cover operating losses, which have totaled about $200,000 a year for the past four years as some second-tier indoors sports franchises have failed and stopped renting the facility, according to David Logsdon, the city's spectator facilities manager.