MLB’s Rays Bail on Deal for New Ballpark in St. Petersburg

The Tampa Bay Rays are backing out of a deal to build a new $1.37 billion stadium in St. Petersburg, Florida, the team announced on Thursday.

The Major League Baseball team was expected to partner with the city and Pinellas County to build a ballpark under an agreement struck late last year. It had committed to contributing $700 million of its own money, with the localities allocating $600 million of public funds.

“After careful deliberation, we have concluded we cannot move forward with a new ballpark and development project at this moment,” the team’s owner, Stu Sternberg, said in a statement posted to X. “We continue to focus on finding a ballpark solution that serves the best interests of our region, Major League Baseball and our organization.”

Under the agreement, which was approved by local officials in December after months of intense negotiations, the team would have been responsible for any cost overruns. The Rays had until March 31 to demonstrate that they could produce the $700 million they had agreed to contribute for the new site.

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Local officials were left frustrated by the failed talks. “There’s no negotiating with Stu Sternberg, his word doesn’t mean much, and the quicker he sells the team the better it’ll be for everybody in the region,” said Pinellas County Commissioner Chris Latvala. “He wasted tax dollars that were spent negotiating this deal and now he just walks away.” A representative for Sternberg and the Rays declined to comment.

The prospects for a new ballpark on Florida’s west coast were rocky after Hurricane Milton flooded the area last October. The storm blew the roof off Tropicana Field, the current home of the team, and fueled concerns over the project’s timeline and costs.

The team’s lease at that stadium ends after the 2027 season, though the Rays will play next season at the spring-training facility for the New York Yankees in Tampa as repairs to Tropicana move forward. After the storm, Rays leadership called for new talks to address the funding gap that they said was created by Milton.

There are fears that the team could move to a different city. MLB Commissioner Ron Manfred has reiterated his commitment to keeping the franchise in the Tampa Bay region several times during the negotiations. But it’s unlikely that Pinellas County will help to fill the funding gap.

“I’m not sure what comes next,” said Pinellas County Commissioner Kathleen Peters, “but we’ve been very clear we’re not giving a penny more.”

Photo: Roof damage at Tropicana Field after Hurricane Milton made landfall in St. Petersburg, Florida, on Thursday, Oct. 10, 2024. (Bloomberg)