- An agreement was reached in a local government cabinet meeting on Friday 19 June for the concession of the 21,500 square meter plot of land located between Calle Ángel Villena, Calle Bomber Ramon Duart and Calle Antonio Ferrandis (alongside L’Alqueria del Basket and the Pavelló Font de San Lluís) to Licampa 1617 S.L.
- The agreement reached sets forth that Licampa 1617 S.L. shall pay an annual fee of €200,000 in favour of the Municipal Council, which can be updated, and that once the 50 year concession period ends, the venue will fall under the ownership of the municipality at no cost whatsoever to the city
- Licampa 1617 S.L. plans to invest, through the personal assets of Juan Roig, 220 million euros for the total financing of the project. Of this amount, it plans to invest 26 million euros in 2020, thus helping to kickstart the local economy
Valencia, 23 June 2020 — The mayor of Valencia, Joan Ribó, met this afternoon with Juan Roig (who set up the company Licampa 1617 S.L. with his personal assets in order to promote the construction of an Arena in Valencia) to sign the contract that governs the concession of the land upon which the Arena will be constructed, following the agreement reached in a local government cabinet meeting on Friday 19 June to grant the 21,500 square meter plot located between Calle Ángel Villena, Calle Bomber Ramon Duart and Calle Antonio Ferrandis (alongside L’Alqueria del Basket and the Pavelló Font de San Lluís) to Licampa 1617 S.L.
This marks a key milestone in the Arena project, which is a personal and altruistic initiative of Juan Roig. This project is the result of public-private initiative and collaboration, which seeks to provide the city with a multi-purpose venue that positions Valencia and the wider Valencian Community as global figureheads in the hosting of first-rate sporting, cultural and entertainment events featuring performers and artists from Spain and further afield.
This agreement gives way to the final procedures involved in securing the building permit, which is required in order to carry out the construction. If all of the procedures go ahead as planned, construction work could begin on the Arena as early as summer 2020, with a view to opening its doors in Valencia in 2023. This would also contribute to economic revival, which this whole construction process will bring about from the outset.
One of the main characteristics of the contract that has been signed into is that Licampa 1617 S.L. shall pay an annual fee of €200,000, which can be updated, in favour of the Municipal Council. Furthermore, once the 50 year concession period ends, the venue will fall under the ownership of the municipality at no cost whatsoever to the city.
The Mayor, Joan Ribó, has highlighted the excellent work of the Valencia City Council in promoting important projects that serve to kickstart the local economy and create employment. Furthermore, according to the Mayor, this project arrives at a time in which it is necessary to recover economic activity in order to mitigate the negative impact of the coronavirus pandemic. “Let’s take a step forward by promoting a huge investment that will help the city to overcome these difficult circumstances”. In this sense, it has valued public-private collaboration in order to incentivise plans and projects such as that of the Valencia Arena, which contribute to the growth of the city of Valencia and the projection of its image and reputation. For the Mayor, “the construction of the Valencia Arena is a fantastic opportunity that will place the city amongst basketball’s international elite; furthermore, with a capacity for 18,600 spectators, it will also host large-scale music concerts and artistic performances that were not previously possible, as the city did not have a venue of this size”. Ribó also added that “we’re promoting the idea of Valencia being a capital of both sport and music”.
Juan Roig, meanwhile, stated that “my commitment to the development of a project such as the construction of an Arena is based on pride, as it will help to reactivate the city’s economy while improving the visibility and reputation of Valencia and the wider Valencian Community. When we started developing this entrepreneurial idea, we were always clear that our initiative needed to be, as well as being sustainable, a collaborative project that would provide value to all Valencian people. For this, we required the commitment of all the technical, social and political actors of the Valencia City Council and the Generalitat Valenciana, led by mayor Joan Ribó. I would like to offer my thanks to these individuals for the huge effort that they have made during this difficult period, that has allowed the Arena project to start to become a reality”.
The investment foreseen for this first year, which will be funded entirely from Juan Roig’s personal assets, is 26 million euros. The entire project is expected to cost 220 million euros, which will cover the construction of a covered venue, a new car park and a series of complementary infrastructures that will rejuvenate the neighbourhood such as a public park with green spaces and the construction of a new and modern infrastructure for the “Les Arts” state school.
This Arena will have a maximum capacity of 15,600 spectators in basketball mode and 18,600 spectators in concert mode. In total, the venue will occupy a total constructed surface area of approximately 47,000 square meter. The project is also foreseen to include the construction of an underground and above-ground car park with approximately 1,300 parking spaces, the new headquarters of the Valencia Basket Club as an annex to the main building, a 1,200 square meter multi-purpose room, various restaurant areas and a wide range of premises, terraces and VIP zones.
The Arena is part of the Juan Roig Legacy Project. Just like the other initiatives that are part of the project—including Marina de Empresas, Trinidad Alfonso Foundation, Valencia Basket and L’Alqueria del Basket, amongst others—it seeks to share with the city part of the huge revenues that it receives from it. It will therefore be entirely financed by Juan Roig’s personal assets via his company, Licampa 1617 S.L. As the project progresses, Licampa 1617 will define the management model based on the project’s specific requirements at any given time.
A venue that will generate wealth and wellbeing in its surroundings
In addition to these benefits for the city, the latest report produced by the Valencian Institute of Economic Research (Ivie) finds that the venue will create approximately 300 jobs (both direct and indirect), and will contribute more than 10 million euros per year to Valencia’s GDP.