The owners of Phoenix International Raceway recently said they’ll spend their own cash to redevelop the 52-year-old facility located in the southwest Valley.
The announcement comes at the end of a year when Arizona’s professional baseball and hockey teams have said they want the public to invest as much as $387 million in sports venues.
About $178 million will get pumped into PIR, which hosts two NASCAR weekends and an IndyCar race each year.
PIR is in Avondale, and the city has paid for water and sewer infrastructure at the racetrack.
The money came from fees paid by developers and also went toward extending infrastructure to the southern part of the city, said Jeff Fairman, who works for Avondale’s economic development department. Fairman added that PIR’s business model is different than other sports entities.
“They don’t say to us, ‘We’re going to move if you don’t give us X number of dollars,’ or ‘We need this much money to build a new track,’” Fairman said. “We just don’t have that kind of relationship with them.”
The Arizona Diamondbacks threatened to leave downtown Phoenix if Maricopa County doesn't pay to upgrade Chase Field, and the Arizona Coyotes will need public money to help build a new arena in Tempe.
Government funding for sports entertainment is alright, as long as the investment made by John and Jane Q. Public has protections in case a deal goes south, said Jim Manley, senior attorney for the Goldwater Institute.
“I think the announcement that PIR is going to be refurbished with private money has to make everyone wonder why these other venues need taxpayer subsidies,” Manley said.
PIR is among a handful of racetracks owned by International Speedway Corporation. The publicly traded company plans to spend more than a third of a five year capital improvement budget at PIR.
