Citrus Heights is officially putting real money behind a big swing at reviving the long-struggling Sunrise Mall site, clearing the way for a massive new ice arena and sports complex that backers say could turn the shuttered shopping center into a regional draw.
On Wednesday, the City Council took its first formal step by authorizing an economic partnership that lets developers pursue the Sunrise Sports Center concept. The pitch is a roughly 160,000-square-foot complex built around a 4,000-seat arena with two NHL-sized ice rinks and covered turf fields for year-round events. Supporters say the venue could draw tournaments, concerts and a steady flow of new visitors to the dormant mall property.
Council authorizes city-backed financing
The council voted to let staff execute an Economic Development and Participation Agreement that would allow the city to issue up to about $60 million in debt financing, secured by a first-priority deed of trust on the development site. That city-backed borrowing is expected to be matched by roughly $60 million in private equity, for an estimated $120 million buildout. As outlined by the City of Citrus Heights, bond payments are intended to come from project revenues, but the EDPA notes that if those revenues fall short, other legally available city revenues could be used while the city would retain the ability to foreclose on the secured lien.
What developers want to build
The Mettle Shop, which is leading the proposal, describes Sunrise Sports Center as a mixed-use sports and entertainment hub featuring two NHL-sized ice sheets, a 4,000-seat arena with suites and a 126,000-square-foot covered turf pavilion. The project's promotional site also lists training and sports-medicine space, a live-music venue and leasable retail and hospitality rooms aimed at supporting tournaments and weekend events, according to Sunrise Sports Center. In other words, it is pitched as a one-stop shop for youth sports, concerts and out-of-town teams looking for somewhere to stay and spend.
The economic case and the caveats
A demand and economic-impact analysis attached to the EDPA projects about 1.29 million annual visits, more than $41 million in on-site revenue and roughly $26.2 million in annual economic output for the surrounding area. The same analysis forecasts about 352 full-time equivalent jobs tied to the complex. The report and the EDPA both emphasize that the city's $60 million in support is structured to be repaid from project revenues, but they also spell out the less rosy side: if revenues come up short, the city could tap other legally available revenues and then pursue foreclosure on the project's lien, a scenario that would put city finances at risk, as detailed by the City of Citrus Heights.
What is next
City staff and developers say several steps still stand between this vision and a groundbreaking. Traffic and noise studies, final planning designs and broader community outreach all need to be completed before entitlements or building permits are in hand. Developers told the council they hope to break ground later this year and “get in the ground end of this year,” with an “ideal” opening in the first half of 2028, a timeline reported by KCRA.
Who is behind it and why it matters
The proposal is led by The Mettle Shop, headed by CEO Joe Wagoner, in partnership with Tallen Capital Partners. Backers say the complex would serve as a catalyst for hotels, dining and other investment around the roughly 100-acre Sunrise Mall site. Local leaders and residents, however, still have to decide whether the potential economic boost is worth the city's significant financial backing and the long-term reshaping of the mall property, as reported by CBS Sacramento.
