Home Plate Update December 2019 | Page 8

Six Flags To Open New Global Headquarters At Globe Life Park Globe Life Park in Arlington will soon be home to Six Flags Entertainment Corporation’s new global corporate headquarters, as the City continues to deliver on its promise to repurpose the iconic venue to have a new, long life in Arlington. The Arlington City Council approved economic development incentives on Oct. 15 for Six Flags, which plans to renovate nearly 41,000 square feet of office space at the ballpark’s Centerfield Office Building. That space is currently occupied by the Texas Rangers, who will be moving its corporate headquarters to nearby Globe Life Field prior to the new ballpark’s March 2020 opening. Under the agreement, the Six Flags global corporate headquarters is expected to house at least 120 full- time employees, who are currently located in Illinois, New York and elsewhere in Texas. The company’s new headquarters is projected to generate more than $80 million in taxable sales and purchases and the retention or creation of 176 direct and indirect jobs with a $331 million estimated payroll during the terms of the agreement, according to an economic impact analysis conducted by Impact Data Source. Six Flags, which began in Arlington nearly 60 years ago and now employs more than 50,000 people at its 26 parks worldwide, plans to lease office space at Globe Life Park for 15 years, with the option of two five-year lease extensions. In conjunction with Six Flags’ investment and long-term lease, the Texas Rangers are also expected to extend its lease of the City-owned Globe Life Park by 11 years. This agreement with Six Flags marks a clear step forward in the City’s ongoing preservation and adaptation of the 25-year-old Globe Life Park, which will become home to XFL’s Renegades and the North Texas Soccer Club starting next year. Additionally, the extension of the Rangers existing ballpark lease will allow the City to avoid significant operating and maintenance costs, which are projected at $2 million annually or $22 million over the team’s lease extension. Rangers Extend Lease Agreement on Globe Life Park Though moving to their new home, Globe Life Field, in March 2020, the Texas Rangers have agreed to extend its commitment on the City-owned Globe Life Park. On Dec. 3, the Arlington City Council approved an amended lease with the Rangers organization as part of ongoing efforts to preserve and adapt the former major league ballpark. Under the new agreement, the Rangers have extended its lease of the former major league ballpark through August 2030, with three additional renewal terms of five years each that may be exercised at the Rangers organization’s option. This extended term will allow the City of Arlington to avoid significant operational and maintenance costs, currently projected at $2 million annually. Other lease highlights include: » » The Rangers will obtain the City’s consent for any alteration or demolition of the roof, walls, or mechanical systems that cost more than $5 million, as well any demolition or alternation to the façade of Globe Life Park regardless of the cost. 8 » » If the Rangers exercise the option to purchase Globe Life Park from the City, the deed would include a restrictive covenant requiring that the Rangers obtain the City’s consent for any demolition or alteration to the façade. However, the City’s consent is deemed to have been granted for any demolition or alteration of the southwest corner, also known as First Base Gate, to allow for future development potential that is compatible with Globe Life Park and the adjacent Texas Live. Along with extending its commitment on Globe Life Park, the Rangers have agreed to amend the development property lease to address future parking needs. Should the Rangers decide not to exercise a renewal option on Globe Life Park, the new agreement provides the City with access to parking lots to accommodate onsite office tenants.