Keystone accuses Hogsett administration of trying to walk away from Eleven Park deal

Indianapolis-based developer Keystone Group on Thursday accused Mayor Joe Hogsett's administration of trying to walk away from a deal to develop Eleven Park, a more than $1 billion mixed-use development anchored by an Indy Eleven soccer stadium under construction at the former Diamond Chain Co. site downtown near the White River.

In a statement, the company accused Hogsett's negotiation team of "shopping state legislation championed by Indy Eleven, working behind closed doors to offer publicly-owned real estate and public financing to the highest bidder, with assurances that neither the redevelopment of this riverfront parcel nor the continuation of the Indy Eleven as a team would be requirements for city support."

Keystone, which is founded by Indy Eleven owner Ersal Ozdemir, did not respond to a request for a follow-up interview.

In the statement, the company said the mayor's office has refused to submit a Professional Sports Development Area map approved by the Indianapolis City Council in December to the State Budget Committee as required. The resolution approved an area plan for a special taxing district for the Eleven Park project.

"This is more than disappointing – it's a shocking reversal of Mayor Hogsett's public support for this project at the 2023 groundbreaking, for the dozens of local investors in this team, the thousands of Marion County jobs committed by Indiana companies who have been working on this project, and the tens of thousands of Indy Eleven fans in Indiana and across the country," the statement said.

A spokeswoman for Hogsett declined to comment on Keystone's accusations at this time, instead deferring to an alert from the mayor's office that Hogsett will make a "significant announcement about the future of sports in Indianapolis" at a 5:30 p.m. meeting in the City-County Building.

Eleven Park would occupy roughly 20 acres near Kentucky Avenue. Plans call for it include a 20,000-seat multipurpose stadium that would become the new home to the Indy Eleven soccer team.

The project, which is expected to be completed in phases, also would have more than 600 apartments overlooking White River, 205,000-square feet of office space, and more than 197,000 square feet for retail and restaurants. A hotel is also planned at this site as well as a parking garage. Amenities would include public plazas and greenspace.

The project would be financed through a public-private partnership. The Indiana General Assembly approved legislation providing the framework for the financing in 2019. Taxes from a special tax district from the development would pay back 80% of the cost of the stadium. Indy Eleven would shoulder the remaining 20% of the cost and cover any shortfalls if needed.

Keystone broke ground on the development last year.

This story will be updated.

Contact IndyStar investigative reporter Alexandria Burris at aburris@gannett.com. Follow her on X, formerly Twitter, at @allyburris

This article originally appeared on Indianapolis Star: Keystone: Hogsett administration trying to walk away from Eleven Park