On August 21, 2025, City Council gave the City Manager permission to finish talks and sign a non-binding Term Sheet with the San Antonio Spurs for a new downtown arena.
The Spurs are pledging $2 billion for downtown projects. This includes $500 million for a new arena (plus any extra costs), $1.4 billion in improvements to Hemisfair Park and nearby areas, $30 million to buy and redevelop the old federal building on Cesar Chavez Blvd., and $75 million for City Council to invest in community benefits.
The City will contribute up to $489 million, but none of that money comes from local taxpayers or existing City General Fund dollars. The funds will come from tourists and developers—people renting hotel rooms, rental cars, or building in Hemisfair Park.
Most of the City’s share—52%—comes from private sources like lease payments from the Spurs, new development, and ground leases. The rest comes from hotel revenue that would normally go to the state.
The term sheet has the Spurs staying in San Antonio for 30 years. Continued progress under the term sheet depends on Bexar County voters approving $311 million for the arena in the November 4, 2025, election.