The city and state will spend an estimated $220 million on work related to the stadium, bringing the total cost to more than $1 billion.
The city is expected to spend about $140 million to replace the roughly 17 acres of Macombs Dam Park and Mullaly Park that the new stadium will occupy with a 28-acre waterfront park along the Harlem River.
Although the new stadium, like the old one, will go up on city-owned land, the team will not pay rent or property taxes under the terms of the deal with the city and the state. The Yankees and the Mets have existing leases with the city that are widely regarded as especially favorable to the teams. From 2000 through 2004, the Yankees paid a total of $26.43 million in rent, or a little more than $5 million a year.
To finance the construction, the city and the state would create a local development corporation that would issue tax-free bonds, which would be paid off by the Yankees. That allows the team to save an estimated $12.8 million a year in financing costs, although it reduces tax revenue.