An $8.5 Million Tribal Project Expands New Opportunities for Economic Development
Client: FireLake Arena
Client Location: Shawnee, OK
CDFI: Citizen Potawatomi Community Development Corporation
CDFI Service Area: AZ, CA, CO, KS, ME, MI, MO, NE, NM, OK, OR, TX
Financing
Opened in January 2014, FireLake Arena has made its mark as “the” event center to choose in the Greater Shawnee area. Boasting more than 52,000 square feet of space, and seating up to 5,000, the spacious facility can host events of all kinds. As host of the Inter-Tribal Emergency Management Coalition Summit in its earliest days in 2015, the Arena has worked to build a strong reputation as a valuable partner in the community.
As the success of the Arena grew, it was apparent that they were in need of a lending partner to further their mission and expand business.
“The biggest challenge a place like this faces is brand recognition; getting people to know it is here,” said a former FireLake Arena event manager and talent buyer. “We’ll have shows and talk to people as they’re leaving and we always hear, ‘That was great! We didn’t know you all were here.’”
As the only Native CDFI approved and awarded capital through the U.S. Treasury Department’s CDFI Bond Guarantee Program, the Citizen Potawatomi Community Development Corporation (CPCDC) was there to lend a hand. As part of the first multi-party Bond Guarantee Issuance, coupled with a HEARTH Act leasehold mortgage of the FireLake Arena, CPCDC had the capacity to fund an $8.5 million-dollar tribal project for the Citizen Potawatomi Nation. These funds allowed for refinancing, consolidation, and cashing out of previously paid out-of-pocket capital improvements. These bond funds issued through CPCDC freed the FireLake Arena to reach new business heights, expand profit margins, and increase event bookings to see thousands of visitors walk through its doors.
Native CDFI Helps Expand Opportunity and Entertainment for All
Since working with CPCDC, the Arena has gone on to host concerts with bands like Lynyrd Skynyrd, the Randy Rogers Band, and more. The Arena has also hosted Domino Tournaments, URHunt Fest Outdoors and Fishing Expo as well as school graduation ceremonies and events. Fight Nights with Legacy Fighting Alliance and FireLake Championship Boxing always provide exciting entertainment as well as the Garden Bros Circus and Hollywood’s Greatest Game Show with Bob Eubanks.
The summer of 2017 brought a new venture to the Arena. The FireLake FireFlight Balloon Fest brought balloon pilots across the country together drawing crowds of people to tribal grounds by the hundreds. It was the event of the summer and made history in Shawnee, Oklahoma, and has become a highlighted annual event. In 2022, the Arena also became the home of a semi-pro basketball team called Potawatomi Fire, who have won the national TBL championships for the past two seasons.
The CPCDC loan to the FireLake Arena is laying the groundwork for Indian country to be able to do more, sail new heights, and expand opportunities with the ability to mortgage assets with financing from a nontraditional source. The success of FireLake Arena and ventures like it are why CPCDC exists, why they push forward for economic development in Indian country, and why they advocate everyday on behalf of Native success everywhere. Their success is all our success and together we can achieve anything.
Bond Guarantee Program Helps Reignite Local Economies Across America
Enacted through the Small Business Jobs Act of 2010, the CDFI Bond Guarantee Program responds to a critical market need—long-term, low-cost capital that can be used to spur economic growth and jump start community revitalization. Through the U.S. Treasury’s CDFI Bond Guarantee Program, Qualified Issuers (CDFIs or their designees) apply to the CDFI Fund for authorization to issue bonds worth a minimum of $100 million in total. The bonds provide CDFIs with access to substantial capital that is then used to reignite the economies of some of our nation’s most distressed communities.
The CDFI Bond Guarantee Program does not offer grants, but is instead a federal credit subsidy program, designed to function at no cost to taxpayers. The bond proceeds are debt instruments that must be repaid. The CDFI Bond Guarantee Program has guaranteed nearly $3 billion in bonds to date.
Learn more from the CDFI Fund.
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