
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, July 20, 1994                   TAG: 9407200103
SECTION: SPORTS                    PAGE: B-5   EDITION: METRO 
SOURCE: Associated Press
DATELINE: WASHINGTON                                LENGTH: Short

NEW ARENA MAY BE REALITY FOR WASHINGTON

Washington moved a step closer Tuesday to having a downtown sports arena and a new convention center when the D.C. Council passed legislation to raise money for the initial planning of the two projects.

The $150 million arena at Gallery Place, to be the new home of the Washington Capitals and Bullets, will be paid for, in part, by a tax on local businesses.

The $424 million convention center at Mount Vernon Square will be funded by increased surtaxes on hotels, restaurants, and car rentals.

Kwasi Holman, executive vice president of the D.C. Chamber of Commerce, said he was pleased with the results on the new arena scheduled to open in fall 1997 and expected to generate $100 million in local economic activity in its first year.

``We look forward to the next step,'' Holman said of upcoming negotiations with Bullets and Capitals owner Abe Pollin.

A lease is expected to be signed by late October, council member William Lightfoot said.

To finance a new convention center at Mount Vernon Square, the Council voted to raise the 11 percent tax on hotel room sales to 13 percent, earmarking 2.5 percent for the center.

by CNB