What could a new downtown arena do for Saskatoon's economy?

While Saskatoon takes steps toward a new downtown arena, experts say it may make the downtown more vibrant, but isn't likely to increase money spent on tourism.

The city unveiled illustrations of the potential downtown arena in late August, with councillors receiving a report about the ros and consof its possible locations.

Despite all the work done so far, it will stillbe at least six years of designing, budgeting, council decisions and construction before the ribbon is cut, according to Dan Willems, the city's director of technicalservices.

One of the first decisions to be made is where the downtown arena is erected. City administration has saidthe parking lot just north of Midtown Plaza is the prefered spot.

Victor Matheson, a sports economic expert at the College of the Holy Cross in Worcester, Mass., has been studying downtown arena developments across North America. He said new arenas can make a downtown more vibrant, but are unlikely to improve a city's economy.

"There is almost no effect in terms of hotel or tourism revenue, at least from primary tenants," said Matheson."The NHL does not appear to drive any significant hotel demand in cities that have downtown arenas, nor does the NBA."

Willems said the new arena is poised to hold about 15,000 people, with room for expansion.

The city's current stadium, Sasktel Centre, hosts smaller teams like the Western Hockey League's Saskatoon Blades, the the National Lacrosse League's Saskatchewan Rush and the Canadian Elite Basketball League'sSaskatchewan Rattlers.

While music performances like Taylor Swift or Garth Brooks can increase the number of hotel stays, Matheson said, it's more likely to concentrate the money being spent on dining to a central location rather than lead to a surge in restaurant revenue across the city.

"That's good for those bars and restaurants right in that area of the new arena, but it's not good for the restaurants elsewhere in the city," he said. "On net, it's a pretty expensive way to simply relocate where people have dinner."

He said research also shows that a new arena in Saskatoon likely won't attract larger or more popular music performances.

Matheson recommends the city make the arena flexible and ensure it can accommodate large and small shows, and cheap and expensive seats.

Rogers Place in Edmonton, Alta., opened in 2016, contributing to the transformation of the downtown, saidPuneeta McBryan, executive director of the Edmonton Downtown Business Association.

McBryan said the downtown was different before the arena and entertainment district moved in.

"It was an old Greyhound station and tons of these surface gravel parking lots that nobody loved, nobody used," she said.

Now, she said, the ICE district is home to performances, sports games and businesses. McBryan said it also led developers to erect three new residential towers in the area.

"I think there is a case to be made that an entertainment district if you do it right and you think about the whole area around the arena as well it can really, really transform a downtown," she said.