Stadiums' Economic and Social Effects on Cities

The use of building sports complexes and arenas to generate revenue is a common occurrence across America. These projects use up a lot of valuable resources – land, money, labor – and often hinder traffic and pedestrian flow in the area and some argue whether or not the stadiums are an asset worth the investment and time. In short, it really depends on several different factors.

The WDSU News video New Orleans hopes for big economic impact from Sugar Bowl, discusses how the construction of a stadium can affect local businesses. The construction of a stadium can be a hindrance to businesses in the vicinity, where it becomes inconvenient for customers to frequent the area. Of course, if big events draw crowds to the area, the wait could pay off if business are able to stay afloat long enough for construction to end.

There are several urban theorists worth mentioning on this topic. Manuel Castells theorized that we have now come to the era of focusing on the ways in which people consume rather than how they produce. This is one reason why the constructions of stadiums have become so popular. John Logan and Harvey Molotch described the city as a growth machine. They talk about the “winners” and “losers” of the city, which is an especially important topic on the issues of stadiums given the amount of land used to accommodate them and the investment the “winners” make while the “losers” may feel some of the negative aspects of stadium construction. Karl Marx was also an important voice in discussing the inequalities of modern capitalism and its effects on the city. Jane Jacobs provided great insight into the idea of community in the modern metropolis, conflicting greatly with earlier perspectives of the city as making individuals isolated from each other. The stadium can be seen as a place where the community can gather together and interact with each other but it can also be seen as a destroyer of the community that existed before it. This leads me to Sharon Zukin’s ideas of gentrification, which may or may not happen in sports stadium’s surrounding areas depending on other influences and how they are executed. If the stadium does not cause a boost in economy as intended it may find itself in decline, becoming a burden on a city rather than an asset, such as with the abandoned Pontiac Silverdome Stadium in Michigan.

In my hometown of Fort Wayne, IN, Parkview Field, home to the minor league baseball team the TinCaps, was completed in 2009 and the old stadium – Memorial Stadium – was demolished. Parkview Field’s new location downtown can be easily accessed by foot or vehicle due to the walkability of downtown compared to the Memorial Stadium location out north near suburbs, located on one of Fort Wayne’s busiest streets and not in walking distance of virtually anything. Parkview Field was a major force in beginning downtown revitalization.

After its construction, the once dull downtown began to see many major changes, including several stores, restaurants, and bars popping up on the street and blocks around it. A project for new condos overlooking the stadium just completed this year and several apartment buildings in the area have gone through various renovation projects. While downtown has certainly become a much safer and more fun place to be, improvements in the area has also had some negative effects that residents are beginning to notice. For instance, rents are beginning to skyrocket – Fort Wayne has always been known for their considerably low cost of living but the past year or two have seen increasing rates downtown.

In Fort Wayne’s case, and many other cities, the construction of a stadium can bring both positive and negative attributes. It has generated revenue for the city, it creates a fun escape for residents, it built up the areas surrounding it, but it also contributed to many residents having to leave the area due to an increase in living costs. While this is a more positive outcome than other stadiums have experienced, such as urban blight, current residents should always be considered in regards to any downtown improvement project. Fort Wayne has made efforts to retain their residents with low-income housing projects and locked-in rental rates. Ideally, downtown growth will be able to accommodate both the economic development of Fort Wayne and the retention of long-time residents.

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