NOLA Convention Center sees $38M hit this year from coronavirus & its President steps down

This article basically says the $1 billion dollar entertainment district is now blown-up along with the 1200 room hotel the state wanted to run. Also sounds like Melvin got out because the Convention Center is about to get hit even harder because only 19 of the 50 events have been cancelled thus far and its highly likely all 50 will be cancelled.

But hey we got new sidewalks coming!

"Ernest N. Morial Convention Center officials expect the loss of event business and tumbling tax revenues due to the coronavirus crisis will create a massive, multi-million dollar hole in its finances and require reaching into the pot of money long set aside for its hotel project.

During a virtual meeting of the Convention Center's board of directors Tuesday, finance chief Alita Caparotta said she now expects revenues from conventions and taxes will come in $38 million below expectations in 2020, resulting in a $19.3 million loss for the year.

Caparotta said the disruption to conventions would mean a loss of about $7.5 million in revenue this year, or 21% below budget. But a much bigger hit comes from a near halving of the center's expected share of tax revenue, which is forecast to be down more than $31 million to $35 million

Accompanying the report on the rapid deterioration in the Convention Center's business outlook, on Tuesday board president Melvin Rodrigue said he would be stepping down from the position he has held since 2008.

"The loss of revenue and the need to dip into reserves could put a question mark over several of the center's major projects and initiatives, including its planned hotel and entertainment district, as well as contributions it makes to the City of New Orleans for public safety and infrastructure improvements."

The much-delayed hotel and entertainment district projects together are expected to cost well above $1 billion to develop. Both have met resistance from those that oppose the state-owned convention center being involved in such substantial private development projects.

NOLA

On Tuesday, several unions and advocates submitted letters to the board asking them to release $100 million from the center's reserves to help hospitality workers who have been furloughed or laid off in their thousands because of the COVID19 shutdown.