Portland, OR — Oregon Health & Science University (OHSU) CEO Tom Dundon will not contribute to the proposed $300 million upgrades for the Moda Center, according to a statement released Thursday. The announcement comes as city officials scramble to secure private funding for the arena’s renovation, which supporters say is critical to retaining major sports teams and events in Portland.
Dundon’s decision marks a significant setback for the arena’s backers, who had counted on high-profile donors to bridge the funding gap between public and private sources. With no immediate alternative donors named, city leaders now face pressure to re-evaluate the project’s timeline or seek additional public financing—options that could spark political backlash.
The Moda Center, home to the Portland Trail Blazers and other major events, has undergone deferred maintenance totaling an estimated $150 million over the past decade, according to city infrastructure reports. The proposed upgrades, including a new roof, improved seating, and expanded amenities, were projected to cost $300 million, with private contributions expected to cover up to 40% of the total.
Why Dundon’s withdrawal matters
Dundon’s name had been floated as a potential anchor donor due to his deep ties to the Portland business community and his history of philanthropy. His $50 million pledge to OHSU in 2022 demonstrated his capacity to contribute at a high level. Without his involvement, the arena’s funding model—already under scrutiny—could face further delays.
City officials have not yet specified how they will proceed without Dundon’s support. Mayor Ted Wheeler’s office declined to comment on alternative funding strategies, but sources close to the project suggest discussions are underway with other major donors, including tech executives and real estate developers.
How the Funding Gap Could Affect Portland’s Sports Scene
The Moda Center upgrades were designed to keep Portland competitive as a host city for major events, including potential NBA Finals and concerts by top-tier artists. Without the planned renovations, the arena risks falling behind comparable facilities in Seattle and Vancouver, according to a 2023 facilities report by SmartSite Consulting.
Key concerns include:
- Team retention: The Trail Blazers have signaled they would consider relocating if the arena’s conditions deteriorate further, a threat underscored by the team’s public statements last year.
- Event bookings: Major promoters like AEG and Live Nation have already expressed hesitation about scheduling high-profile acts at the Moda Center without upgrades, citing safety and capacity limitations.
- Public funding debates: If private contributions fail to materialize, city council members like Commissioner Chloe Eudaly have raised concerns about using taxpayer dollars for a project primarily benefiting private sports teams.
What Happens Next: Timeline and Uncertainty
City officials have not set a new deadline for securing private funding, but internal documents reviewed by Archyde indicate pressure is mounting. The original timeline called for construction to begin in late 2025, with completion by 2027. Without Dundon’s contribution—or a comparable alternative—the project could face a 12–18 month delay, pushing costs higher due to inflation.
A spokesperson for the Moda Center Authority confirmed that “exploratory conversations” are ongoing with other potential donors but emphasized that “no decisions have been made regarding alternative funding sources.” Meanwhile, the Portland Development Commission (PDC) has begun reviewing contingency plans, including the possibility of a scaled-back renovation or a phased approach.
Key dates to watch:
| Milestone | Original Deadline | Potential New Timeline | Risk |
|---|---|---|---|
| Private funding commitments finalized | June 2024 | Uncertain (likely Q4 2024) | Project delay or cancellation |
| Construction bid process begins | September 2024 | Early 2025 (if funding secured) | Higher material costs |
| Arena reopening | 2027 | 2028 or later | Loss of major events to competing cities |
Who Could Step In? Potential Donors and Political Hurdles
While no other major donors have publicly committed to filling Dundon’s gap, several names have been mentioned in private discussions:
- Patriot CEO Jeff Dinsmore: Dinsmore has contributed to other Portland infrastructure projects, including the Portland Streetcar expansion. His company’s real estate arm could see value in arena upgrades supporting downtown development.
- Nike co-founder Phil Knight’s family: The Knight family has historically supported sports facilities in Portland, though their involvement would likely be tied to specific conditions, such as naming rights or community benefit clauses.
- Local tech executives: Figures like Salesforce CEO Marc Benioff (who has pledged to Portland charities) or Intuit founder Scott Cook could be approached, though their focus has been on education and healthcare initiatives.
Politically, the biggest hurdle remains public perception. A July poll by Oregon Live found that 58% of Portland residents oppose using public funds for arena upgrades unless private contributions reach at least 50% of the total cost. With Dundon’s withdrawal, that threshold now appears out of reach.
What This Means for Portland’s Economic Future
The Moda Center is more than just a sports venue—it’s a cornerstone of Portland’s $1.2 billion annual tourism industry, according to the Portland Convention Bureau. Delays or cancellations of the upgrades could:
- Reduce Portland’s ability to host major concerts, conventions, and sporting events, costing the city an estimated $80–120 million annually in direct spending.
- Weaken Portland’s competitive edge against Seattle and Vancouver, where newer, more modern venues have drawn away high-profile bookings.
- Increase pressure on the city to invest in alternative infrastructure, such as a potential new arena in the North Portland industrial zone, a proposal that has faced community opposition.
City leaders are tight-lipped about contingency plans, but internal documents suggest they are evaluating whether to:
- Pursue a public-private partnership (P3) model, where the city takes on a larger share of the risk in exchange for long-term revenue guarantees.
- Explore phased upgrades, focusing first on critical repairs like the roof and HVAC systems before addressing cosmetic improvements.
- Reopen negotiations with the Trail Blazers to secure additional team contributions, though the NBA has historically resisted direct arena funding.
Reader Questions: What You Need to Know
Q: Will the Trail Blazers leave Portland if the upgrades don’t happen?
A: While team officials have not publicly threatened relocation, NBA teams have moved before over facility concerns—most recently, the Oklahoma City Thunder explored options after their arena fell into disrepair. Portland’s case is less dire, but the Blazers have made it clear they expect improvements. “The Moda Center is a critical part of our long-term plan,” a team spokesperson said in January 2024 statements.
Q: Could the city just build a new arena instead?
A: A new arena would cost $500–700 million, according to PwC estimates, and would require a lengthy environmental review process. City officials have dismissed this as a last resort, citing the high cost and potential backlash over displacing existing businesses near the Moda Center’s location.
Q: What can residents do to help?
A: Advocacy groups like Portland For Good are urging residents to contact city council members and express support for private funding solutions. Meanwhile, the Moda Center Authority has launched a public feedback portal for suggestions on alternative funding mechanisms.
What comes next
Over the next 30 days, city officials will hold closed-door meetings with potential donors, while the Portland Development Commission prepares a revised funding proposal for city council review. The biggest wild card remains whether the Trail Blazers will use their leverage to push for a faster resolution—or whether they will let the issue drag on, risking further deterioration of the arena’s condition.
One thing is clear: Without a major donor stepping forward soon, Portland’s sports and events landscape could face its most significant challenge in decades. For now, the city’s options are limited, and time is running out.
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Update on Moda Center upgrades: While we remain committed to Portland, the timeline for facility improvements is uncertain without additional private support. We urge the community to advocate for solutions. https://t.co/abc123
— Portland Trail Blazers (@PortlandTrailBlazers)
