The Tiger Athletic Foundation, which supports LSU and its athletic department, uses a couple of financing methods. In 1999, the foundation issued $43.6 million in bonds for renovations and improvements to the east-side upper deck of Tiger Stadium. And the foundation issued $90 million more in bonds in 2004 to finance the renovation of the west-side upper deck.
A provision of the bond agreements for both issuances requires the athletic department to pay rent of a combined $4.5 million per year, which is the second example of athletic facility finance.
Some universities will pay for construction projects, then rent the facilities to the athletic departments. At Ohio State, the athletic department paid more than $2 million to rent the Jerome Schottenstein Center for the 2011-12 school year for men’s and women’s basketball and men’s ice hockey. It paid another $1.2 million for its share of operational expenses for the McCorkle Aquatic Pavilion. In addition, the athletic department paid rent for two buildings used for academic services for athletes: the Younkin Success Center at a cost of $501,338 and the Fawcett Center at $76,613. The athletic department also paid $986,000 for use of the Fawcett Center for athletic offices.
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