The Michigan State University Board of Trustees scaled back plans for the Spartan Gateway District in a 7-1 vote Friday.
The original proposal for the district included a hotel, housing, retail and restaurants, office space, parking, academic and/or healthcare facilities, and an approximately 6,000-seat Olympic sports arena. The updated proposal still includes hotel and housing, retail and restaurants, office space and parking.
The Olympic sports arena, which was the only portion of the development MSU would have funded itself, was cut from the project. MSU’s original proposed budget for the arena was $150 million. The updated proposal will “explore opportunities to utilize existing facilities to support Olympic sports."
“Without the arena piece,” Trustee Mike Balow said at the board meeting, “we have a great new athletic director that’s taking a proactive look at investing in the Olympic and women’s sports, both for practice and competition. So even though you’re hearing that the arena right now is off the table, that thought of supporting those sports going forward is still very much on the table.”
The potential for future academic and/or healthcare facilities is not listed in the updated Spartan Gateway District proposal.
Trustee Dennis Denno was the sole vote in opposition to the project.
“I am strongly strongly strongly opposed to even the concept of putting a hotel on Munn Field and/or where IM West is,” Denno said of possible Spartan Gateway District locations. “I think we have way too many vehicles on campus as it is.”
While originally planned to be built on 14 acres on the corner of South Harrison and Trowbridge Roads, the project could be moved to a more central location on campus. The final location of the district will be determined during the planning phase.
Denno said the traffic pattern on campus is confusing enough as is, and that adding more traffice to central campus would make it worse.
“It’s important to note that we’ve been told that the original Gateway is still not off the table,” Balow said. “It’s still on the table, although perhaps in modified form.”
The university is now seeking bids from developers to plan the Spartan Gateway District. The original developer, the Gillespie Group, will need to resubmit a bid for the project.
According to the updated proposal, the chosen developer “will fund non-MSU-owned facilities” and the university “will provide minimal financial investment for the construction of shared facilities necessary to support the development.”
MSU’s financial contributions to the district will be derived from the general fund and philanthropy.
