Virginia Beach Arena Project Abandoned

- This was the second attempt at an arena project on the same site near the Virginia Beach Convention Center to fail in the last decade; a previous deal with developer Mid-Atlantic Arena LLC for an 18,000-seat arena was terminated by the city in 2017 over the developer's failure to secure financing. - The recent project, named "Neptune's Pinnacle," was a $700 million proposal for a 20,000-seat arena that was intended to be entirely privately funded. - The project's funding model included a crowdfunding effort that raised over $2 million from more than 2,000 investors, a majority of whom were from the Hampton Roads area; the proponent has promised full refunds. - The primary reason for the project's abandonment was the Virginia Beach Development Authority's decision not to shortlist the proposal for the use of city-owned land, which was critical for the project's infrastructure, including a parking garage. - The previous failed project from 2017 resulted in a lawsuit filed by the developer against the city for breach of contract, but the Supreme Court of Virginia ultimately ruled in favor of the city, affirming that the developer had not met its obligations under the development agreement. - An even earlier attempt to bring a major league team to the city involved a 2013 plan to relocate the NBA's Sacramento Kings, which also fell through due to the lack of a suitable arena. - The project's backer, Coleman Ferguson, now intends to seek privately-owned land for the arena, a process he estimates could take from six months to two years. - The ultimate goal of the arena was to attract a major professional sports franchise, such as an NBA or NHL team, to Virginia Beach, which is one of the largest metropolitan areas in the U.S. without such a team.