Charlotte City Council has approved the proposed $275 million financing package for renovations to Spectrum Center, home of the NBA’s Charlotte Hornets. 

The budget includes $60 million to build a new basketball practice training facility that will be funded via new revenue generated from sponsorships and naming rights agreement. 

The plan also extends the team’s lease through 2045, an additional 15 years from its lease expiration in 2030.

Financing for the city’s role in the $215 million in renovations to Spectrum Center (approximately $173 million) will be sourced from rental car and hotel taxes. 

The 17-year-old Spectrum Center is owned by the City of Charlotte, and leased to and operated by the Charlotte Hornets and Hornets Sports and Entertainment. 

The original operating agreement was executed in 2003 and the arena opened in 2005 under the original team ownership. The Charlotte Hornets assumed the operating agreement in 2010. The current lease expires at the end of the 2029-2030 NBA season.

The City of Charlotte owns Spectrum Center and is contractually obligated to maintain and make improvements to the building. 

In addition to paying for the $173 million renovations it is contractually obligated to make, the city will contribute $42 million dollars for additional upgrades.

Renovations from the $215 million pool would include: entryways, bathrooms, escalators, elevators, new HVAC systems, plumbing repairs and roof repairs.

The new practice facility would include two full courts, expanded locker room space and a health care space. It’s expected to either replace the existing Charlotte Transportation Center or be built in the existing parking are beghind the stadium.

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