Pro soccer deal in Chester near, investors say

A group of investors say they own the site and have the private financial backing necessary for a Major League Soccer stadium in Chester, and believe they will get the state aid and the league approval necessary to complete the deal in the coming months.

The investors own the property south of the Commodore Barry Bridge, and Gov. Rendell's administration says it is willing to provide state aid. A league official said franchise negotiations with the Philadelphia group are in an advanced stage, but cautioned no deal is done.

"The short story here is that this is the beginning of a process one that we hope will come to fruition hopefully within the next number of months," said Donald P. Garber, the league's commissioner.

There are 13 Major League Soccer teams, and the organization expects to issue two new franchises by the end of the year. Those teams would begin play in either 2009 or 2010. Other cities are currently vying for the two available expansion teams according to league officials.

The old industrial site of more than 50 acres in Chester has space for a mixed use development of residential, office, and retail space that would be anchored by the stadium complex. The property is owned by Buccini/Pollin Group, a Delaware-based firm that developed the minor league Wilmington Blue Rocks baseball stadium.

The investors group is headed by Jay Sugarman, CEO of New York-based iStar Financial. The other major investors are Christopher and Robert Buccini and David Pollin; James Nevels, a Swarthmore businessman and former Philadelphia School Reform Commission chairman; and William Doran, a partner at the law firm of Morgan Lewis.

"We have been working on it pretty aggressively for the last six months to a year," said Charles G. Kopp, an attorney representing the investor group. "We are pleased with the reaction we have gotten from the city, county and state."

Over $300 million would be needed for the entire development project. About $170 million, including a $30 million franchise fee, would be for the sports complex including four practice fields, that would be made available for community use, said Kopp.

How much would be private investment, and how much public, has not been disclosed.

"We don't have any exact [financial] numbers," said Andrew Reilly, Chairman of the Delaware County county council. "That is going to be the subject of the [next] meeting."

Garber said that, before the league could award its 16th franchise, the funding from the state, county, city as well as an ownership group would need to be finalized.

"These moving parts need to come together," Garber said. He said they would like to have an agreement in place by December or the Chester site would "fall down the list."

Reilly said the county would have to have some type of security, such as ownership of the stadium, so the taxpayers would be protected in case the project failed.

Gov. Rendell has already voiced support of a Chester soccer team.