This article has been edited since it first appeared in print.
The Diamond, current home of the Richmond Flying Squirrels (Photo by Justin Vaughan)
June 2001: Tim Kaine was mayor of Richmond, George W. Bush was a peacetime president and Greg Maddux won five games for the Atlanta Braves. It was the first time the Richmond City Council voted to explore options to replace the Diamond, opened in 1985.
This June, the council expects to see shovels in the ground on Arthur Ashe Boulevard.
Construction of a minor league ballpark for the Richmond Flying Squirrels and first-phase development of the Diamond District, a 67-acre site between Interstate 95 and the CSX railroad tracks near Leigh Street, will be financed with a $170 million bond. The new financial plan was unanimously passed by the council May 8.
This stage of development was slated to utilize a community development authority funding approach. But on April 8, the city administration announced changes to the plan. Now, the ballpark and first-phase development of the Diamond District will be funded with a city special revenue bond.
“With a CDA plan, agreements between all parties involved — including leasees and lessors — would be responsible for managing debt agreements. The bond market is impacted by current interest rates, so they are at the whims of the market,” explains 1st District City Councilman Andreas Addison. As of early May, interest rates were at 8%.
In contrast, a city special revenue bond is backed by the city of Richmond. The city can leverage its properties to lock in a 4% interest rate on the $170 million bond, which will be repaid over 30 years using revenue generated from development. That 3-percentage-point reduction in interest is projected to save the city $215 million.
Major League Baseball, which governs the Double-A Flying Squirrels team, has warned the city that the stadium must be ready by Opening Day 2026 to comply with stadium guidelines released in 2020. If construction begins before June 30, 2024, the city can take advantage of a $25 million state tax benefit.
On April 16, construction plans got another boost, as the Richmond Economic Development Authority authorized $1.5 million for ballpark design.
Addison says the new ballpark is necessary to anchor the development of the Diamond District, which is expected to generate over $2 billion of private investment. “We’re not just building a ballpark,” he says. “We are freeing up 47 acres of publicly owned land — that currently generates no taxes — for new neighborhoods and new developments, which means revenue in perpetuity.”
In an April 8 press release, Flying Squirrels President Lou DiBella expressed cautious optimism, saying that the changes to the funding plan represent “an important step toward ensuring the Squirrels will have a new home in Richmond.”
“April 2026 is just around the corner,” he added. “It is imperative that all stakeholders move forward collectively and with a sense of urgency.”
