Noles News: FSU looking to raise over $320 million from revenue bonds to finance stadium renovations, football facility construction

Grand Valley State defensive tackle transfer Jay’Viar Suggs took a trip to Tallahassee this weekend — he has taken official visits to Arkansas, Wisconsin and USC and holds offers from the likes of Iowa Hawkeyes, Kansas State Wildcats, Kentucky Wildcats, Louisville Cardinals, Miami Hurricanes, Michigan State Spartans, Minnesota Golden Gophers, Michigan Wolverines, Nebraska Cornhuskers, Purdue Boilermakers, TCU Horned Frogs

The combined cost of those two projects, the statement says, is $372.3 million, with $233.7 million attributed to the Doak Campbell Stadium renovations and $138.6 million to the new football building. The work is expected to be completed in August 2025.

The bonds, to be issued as early as next week by the State of Florida Board of Governors, are backed by revenue generated by the Seminoles, including conference payouts, ticket sales, annual booster donations and sponsorships. The $326.6 million is broken into two series—a $291.6 million Series 2024A and a $35 million taxable Series 2024B—and would join roughly $111 million in other athletics bonds, also tied to Seminoles revenue, with payments that are still outstanding.

Bonds are a common way for athletic departments to fund major projects, particularly ones for which it can make a direct case for increased revenue (which it uses to pay off the money). It’s an alternative to other common funding sources, such as booster donations, grants and cash reserves.

The document dedicates nearly 1,200 words to the “changing nature of college athletics,” under which it discusses the movement toward revenue-sharing with athletes, NIL, the looser transfer portal, conference realignment, and the school’s legal battle with the ACC.

“The above-referenced factors, collectively or individually, could result in a material change to FSU’s on-field performance and/or the Pledged Revenues over the life of the Series 2024A&B Bonds,” the offering statement says. “Buyers of the Series 2024A&B Bonds should take into consideration these developments, and other potential risk factors related to collegiate athletics, when deciding whether to purchase the Series 2024A&B Bonds.”

FSU spent $172 million on athletics in fiscal 2023, the 17^th-highest total among all public schools, according to data in Sportico’s college finance database. Clemson ranks No. 16, and every school in the top 15 will be in either the SEC or Big Ten next season.