The figure includes $700 million to clear the land and construct the addition along with $6 million a year for up to 30 years to help operate the facility. The funding is part of a $1.6-billion Gaming Economic Development & Tourism Capital Budget.
The state funding will come from taxes on casino revenues from throughout the Commonwealth. Just three Pennsylvania casinos, all at racetracks, are currently open, and not all of them have been open all year. According to the Pennsylvania Gaming Control Board, the combined year-to-date revenues from Mohegan Sun at Pocono Downs in Wilkes-Barre, Philadelphia Park in Bensalem, and Harrah's Chester Downs in Chester is approximately $4.3 billion, and revenues are taxed at 55%.
The Philadelphia Redevelopment Authority has acquired the 27 parcels that extend two blocks west to Broad Street between Race and Arch streets. Plans for the expansion began nearly eight years ago and became mired in the existing center's myriad problems with trade unions and management. The Convention Center Authority approved an initial design and the $700-million budget in December 2006.
Expansion will add approximately 300,000 sf to the center's existing 640,000 sf, raise the number of exhibit halls from four to seven, and add 60,000 sf of ballroom space and 72,000 sf of additional meeting-room space. It is expected to open in 2010.
The current center stretches from 11th to 12th streets between Race and Arch with an extension to Market Street at 12th Street above the Reading Terminal Market. It was completed in 1993.
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