Hailey
The proposed new Kansas City Chiefs stadium in Kansas is one of the largest and most complex sports infrastructure projects in the region’s history.
With an estimated $3 billion total cost, public financing will play a major role. A significant portion of that funding will come through STAR Bonds, a Kansas-based economic development financing tool. Many fans and taxpayers are asking one key question: who is handling the sale of STAR Bonds for the new Chiefs stadium?
This article explains who is managing the STAR Bond sale, how the financing works, and what figures and timelines are involved.
What Are STAR Bonds And Why They Matter
STAR Bonds, officially known as Sales Tax and Revenue Bonds, are issued by the State of Kansas to support large development projects. Instead of using existing tax money, these bonds are repaid using new sales tax revenue generated inside a designated district.
For the Chiefs stadium project, STAR Bonds are expected to cover up to 60 percent of construction costs, making them one of the most critical funding tools in the plan.
Who Is Handling The Sale Of STAR Bonds
The Kansas Department of Commerce, working alongside the Kansas Development Finance Authority, is overseeing the STAR Bond process.
The Chiefs organization itself is not selling the bonds directly. Instead, a professional financing team has been appointed to manage issuance, legal compliance, and investor distribution.
Key Organizations Handling The Bond Sale
| Role | Responsible Entity | Purpose |
|---|---|---|
| Lead Underwriter | Bank of America | Markets and sells STAR Bonds to investors |
| Co-Senior Manager | Wells Fargo | Assists in bond distribution |
| Financial Advisor | Public Financial Management | Structures financial terms and repayment models |
| Bond Counsel | Gilmore & Bell | Ensures legal compliance of bond issuance |
| Issuer’s Counsel | Kutak Rock | Provides legal advice to issuing authorities |
| Issuing Authority | Kansas Department of Commerce | Oversees STAR Bond approval and execution |
This team structure ensures the bonds are professionally managed, legally sound, and financially viable before they are sold to institutional investors.
Financial Figures Behind The Chiefs Stadium Project
The STAR Bond plan involves several major financial commitments that affect both the state and local governments.
- Estimated Stadium Cost: Approximately $3 billion
- STAR Bond Funding Cap: Up to $1.8 billion
- Private Investment: Roughly 40 percent, paid by the Chiefs organization
- Bond Repayment Source: Incremental sales tax revenue from designated STAR Bond districts
- Bond Term Length: Estimated 15 to 20 years, with a legal maximum of 30 years
Unlike traditional bonds backed by general tax revenue, these bonds rely entirely on new economic activity generated by the stadium, retail, hospitality, and entertainment development surrounding it.
Local Government Participation
Local governments play a critical role in STAR Bond success. Wyandotte County is expected to host the stadium and contribute sales tax growth from the surrounding district. Additionally, Olathe is reviewing a separate STAR Bond district tied to the Chiefs’ future headquarters and training facility.
Without local participation, STAR Bonds cannot be issued at the scale required to fund the stadium.
Timeline For STAR Bond Issuance
Officials involved in the project have indicated that the STAR Bonds could be issued within 10 to 12 months, pending final approvals, zoning decisions, and bond market conditions. Construction of the stadium is targeted for completion in time for the 2031 NFL season.
The sale of STAR Bonds for the new Chiefs stadium is being handled by a state-led financing team, not the team itself. Under the direction of the Kansas Department of Commerce, major financial institutions, legal firms, and advisors are preparing to issue up to $1.8 billion in STAR Bonds.
These bonds will be repaid using future sales tax revenue generated by the stadium district, making economic growth essential to the project’s success. As approvals continue, STAR Bonds remain the backbone of Kansas’ strategy to secure the Chiefs’ long-term future in the state.