Pawtucket soccer stadium's financing is complete. Here's what's behind the $137M project

Patrick Anderson, Providence Journal
Updated ·2 min read

PAWTUCKET – The city on Thursday said it had sold $54.3 million in bonds to complete the financing of the professional soccer stadium being built on the Seekonk River.

The public borrowing is the biggest chunk of a public assistance package for the stadium that also includes $10 million of Pawtucket's pandemic aid and $10 million in state tax credits.

At the same time the bonds closed, stadium developer Fortuitous Partners closed on its private financing and the state tax credits, according to a news release from Mayor Donald Grebien's office.

The Tidewater Soccer Stadium in Pawtucket as seen from the east bank of the Seekonk River on Oct. 10, 2023.
The Tidewater Soccer Stadium in Pawtucket as seen from the east bank of the Seekonk River on Oct. 10, 2023.

A look at the full picture of Tidewater Stadium financing

The bonds, issued by the Pawtucket Redevelopment Agency, will provide Fortuitous with $27 million for the stadium, with the other half of the proceeds going into debt-service reserves. The bonds will be paid off with state tax revenue.

When the state Commerce Corporation approved public financing of the stadium in 2022, it expected to float a $36-million bond. However, because of the rise in interest rates and construction costs since then, investors demanded larger reserves, increasing the size of the bond by $18 million.

The state will pay a 7.5% interest rate on the bonds, according to Grace Voll, spokesperson for Grebien. The buyer is "an institutional investor focused on investing in the U.S. municipal, not-for-profit and sustainable infrastructure sectors."

A debt service schedule provided by the city shows combined principal and interest payments on the bonds totalling $131.7 million by the time the bonds mature in 2053.

When will the stadium be finished?

The $137-million, 10,500-seat stadium is expected to be finished early next year, in time for Rhode Island FC to play its second season in the USL Championship, the second tier of American professional soccer.

This year, Rhode Island FC will play its first season starting next month at Bryant University's Beirne Stadium in Smithfield.

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“We are all extremely pleased to reach this important milestone and further accelerate the construction of the stadium at Tidewater Landing," Fortuitous Partners, Pawtucket, the Pawtucket Redevelopment Agency and Rhode Island Commerce wrote in a joint statement. “We all look forward to cutting the ribbon on the stadium [and] taking our seats for the opening Rhode Island FC match in this world-class venue that will provide people and families across our state with opportunities to enjoy for years to come."

This article originally appeared on The Providence Journal: Pawtucket raises $54.3 million to finance professional soccer stadium