Potomac Yard Arena Bill Passed By Virginia House

ALEXANDRIA, VA — The Virginia House of Delegates has approved legislation to create a sport authority that would finance a Washington Capitals and Wizards arena and entertainment district in Alexandria's Potomac Yard.

The House bill sponsored by Del. Luke Torian (D-Prince William) and co-patron Del. Terry Kilgore (R-Scott County) passed 59-40. The bill will go to the Virginia Senate, where a companion bill is not getting a committee hearing before the crossover deadline when bills get sent to the other chamber for approval. The bill passed by the House maintains that the Virginia General Assembly must vote on the measure again in 2025 before it is enacted.

Monumental Sports and Entertainment, the Washington Capitals and Wizards owner, expressed support for the bill's progression.

"We are so encouraged by the bipartisan support for this monumental opportunity to create jobs and generate revenue that will benefit the city, the region, and the entire Commonwealth of Virginia," said Monica Dixon of Monumental Sports and Entertainment. "This is a big step forward in the process, but we know it is not the last step. We believe this is the right project for Alexandria, for Virginia, and for our fans, players, coaches, and employees."

The Coalition to Stop the Arena at Potomac Yard, which has lobbied against the bill in Richmond, criticized the bill's advancement.

"It has been exactly two months since Governor Youngkin and Ted Leonsis stood on stage in Alexandria to announce this project. Despite a lot of flashy presentations and social media posts, serious questions have piled up and opposition is growing," said Adrien Lopez, a Potomac Yard resident and co-founder of the coalition. "We believe this idea is fatally flawed and the Senate should pursue other important matters before the Commonwealth."

The proposed $2 billion entertainment district, which would require approvals from the City of Alexandria and Virginia General Assembly, would have a Washington Capitals and Wizards arena, corporate headquarters for the teams' owner Monumental Sports & Entertainment, a Monumental Sports Network media studio, Wizards practice facility, performing arts venue and expanded e-sports facility.

The legislation would create a Virginia Sports and Entertainment Authority to issue $1.05 billion in project revenue bonds and $416 million in lease revenue bonds for the arena and entertainment district. The project would also receive a $403 million contribution from Monumental Sports & Entertainment and $106 million from the City of Alexandria to build a performing arts venue in partnership with Monumental Sports & Entertainment and related underground parking.

Meanwhile, the Senate version of the bill by state Sen. Scott Surovell (D-Fairfax) will not get a hearing in the Senate Committee on Finance and Appropriations before Tuesday's crossover deadline.