Will a brand-new, enclosed NFL stadium on the East Bank push up downtown home values, or is the impact overhyped? If you live, own, or invest in Downtown Nashville, you deserve a clear, local answer. In this guide, you’ll learn what is actually being built, how stadiums have affected values in other cities, what matters most for Nashville, and the indicators you should watch before making a move. Let’s dive in.
What’s being built on the East Bank
A new enclosed, roughly 60,000-seat New Nissan Stadium is rising just east of the current stadium. The team and Metro describe an approximately 1.75–1.8 million square foot venue with a translucent ETFE roof designed for year-round events. The project is targeting a 2027 opening. You can review the official project overview on the New Nissan Stadium site, and recent updates indicate the build is on schedule one year in, with significant steel and roof work progressing toward enclosure and opening in 2026–2027 according to project coverage.
Funding at a glance
The project is commonly reported at $2.1–$2.2 billion. Funding includes $500 million from the State of Tennessee, approximately $760 million in bonds issued by the Metro Sports Authority to be repaid from tourism-oriented taxes, and additional captured sales taxes in a designated zone, with team obligations for certain overruns and payments. Coverage of the approved package also notes that the agreement returns the current stadium site and adjacent Metro-owned land for redevelopment uses. See a concise summary in Forbes’ reporting.
A key piece of the local financing is a 1% increase to the Davidson County hotel occupancy tax, adopted in 2023, along with mechanisms that dedicate certain stadium and zone sales taxes toward bond repayment. You can read the hotel tax notice from Metro Finance.
Why it ties to a larger East Bank neighborhood
The stadium is part of a broader East Bank vision for a mixed-use district with a new street grid, parks, and a meaningful affordable housing component. Metro’s agreements and developer selections point to 1,550 housing units in phases, including multiple 100% affordable buildings with long affordability terms. That makes the project more than a single venue and increases the chances of neighborhood-level value creation over time. Review the affordable housing commitments in Metro’s East Bank announcement.
How stadiums tend to affect values
Stadiums can influence nearby property markets in several ways. The most common channels are:
- Amenity and demand: More events can raise demand for hotels, restaurants, retail, and some nearby housing.
- Redevelopment and infrastructure: When a stadium anchors a coordinated district with streets, parks, and mixed-use buildings, the neighborhood uplift is usually stronger and more durable.
- Taxes and fiscal effects: If visitors fund most of the costs, that tends to ease pressure on residents. If residents shoulder costs, that can offset price gains.
- Event-day tradeoffs: Traffic, noise, and parking pressure can reduce appeal for some immediate neighbors if not well managed.
What independent studies say
Peer-reviewed research shows mixed results. A study of FedEx Field found homes near the stadium sold at a discount before construction but improved after completion under certain conditions, suggesting potential uplift when benefits outweigh costs. See Tu (2005) via EconPapers. A natural experiment in Dallas–Fort Worth found that mere announcements and expected financing can move values, with concerns about tax burdens weighing on properties inside taxing jurisdictions. See Dehring, Depken, and Ward (2007) via CORE.
Bottom line from the research: the stadium alone does not guarantee higher home prices. Outcomes depend on who pays, the quality and timing of the surrounding development, and local market conditions.
Nashville factors that will shape outcomes
Tourism and hotel taxes matter
Nashville’s tourism engine consistently spikes downtown hotel occupancy for major concerts and events. Since a portion of stadium financing relies on hotel and event-related taxes, strong visitor demand supports the fiscal model and nearby hospitality. See recent performance highlights from Visit Music City.
Office market is a wildcard
Like many U.S. downtowns, Nashville’s office market faces post-pandemic pressure. If office demand remains soft, it could temper retail leasing and some residential demand even as event-driven hospitality thrives. For national context, see reporting on the broader commercial real estate slump in the Washington Post.
Assessment context and pricing baseline
Davidson County has seen substantial increases in assessed values in recent reappraisals, which affects tax discussions and decision-making for owners. Axios Nashville recently summarized the latest reassessment context for homeowners and buyers. Read the overview from Axios Nashville.
Scenarios for downtown values
Best case: stadium plus a thriving East Bank
- The East Bank delivers mixed-income housing, parks, a walkable grid, and active retail.
- Hotel occupancy and retail sales rise on event and concert weekends.
- Result: Over 5–10 years, you see meaningful uplift near the stadium for condos, hospitality-focused assets, and well-located retail. The fiscal model holds because tourist taxes and development capture perform as expected. For the affordable housing and planning framework, review Metro’s East Bank commitments.
Base case: localized gains, uneven residential impact
- Hospitality and retail benefit first, especially on event days.
- East Bank phases in over several years, gradually improving neighborhood amenities.
- Result: Residential effects are modest and vary by micro-location, building type, and broader market cycles. Strong tourism, tracked by Visit Music City, supports the upside.
Worst case: delays or fiscal stress limit gains
- If development lags, tourism softens, or financing underperforms, taxpayers could feel pressure and private investment could slow.
- Result: Localized disruptions from construction and events may outweigh benefits for some immediate neighbors, and home-price growth could underperform expectations.
What to watch in 2025–2027
- Construction milestones and opening date updates from the New Nissan Stadium site and project coverage.
- East Bank zoning, infrastructure, and affordable housing milestones from Metro’s East Bank pages.
- Quarterly tourism and hotel performance via Visit Music City research.
- Public finance updates, including hotel occupancy tax receipts and bond discussions from Metro Finance and Council materials.
- Neighborhood-level MLS price snapshots and days-on-market trends to see whether residential demand is broadening beyond event-day zones.
- Local media construction updates that flag timing changes or major milestones.
Practical guidance for buyers and sellers
- If you own downtown: Track event-day externalities on your block, improvements to walkability and parks, and early retail leasing. Small quality-of-life gains can support value, while persistent access issues can weigh on it.
- If you plan to sell: Time your listing around major milestones and the event calendar. Clear, design-forward presentation and professional staging help your property stand out when more buyers are circling downtown.
- If you’re buying: Focus on micro-location. Proximity to new parks, improved streets, and retail can be a plus. Immediate adjacency to heavy event traffic may not fit every lifestyle. Consider your noise tolerance and parking options.
- For investors: Underwrite with conservative rent and absorption assumptions. Watch East Bank phasing and hotel metrics. The earliest upside may appear in hospitality and retail, with residential benefits arriving as the district matures.
The bottom line
The New Nissan Stadium increases the odds of localized gains for hospitality and retail and could lift nearby residential values if the East Bank plan delivers parks, housing, and a cohesive street grid on schedule. Independent research shows stadiums alone do not guarantee higher home prices. The impacts you feel will come down to who pays, how well the East Bank neighborhood takes shape, and broader downtown fundamentals.
Want a clear, data-guided plan for your move or investment near downtown? Let’s talk through location, timing, and presentation strategies that fit your goals. Connect with The Luxe Collective TN for tailored guidance.
FAQs
When is the new Nissan Stadium opening in Nashville?
- The project is targeting a 2027 opening, with construction reported on schedule one year in according to project coverage.
How is the Nashville stadium funded and will local taxes go up?
- The package mixes team funds with public support, including a 1% hotel occupancy tax increase and bonds repaid by tourism-related taxes and captured sales taxes, as summarized by Metro Finance and Forbes.
What is the East Bank redevelopment and why does it matter for values?
- It is a planned mixed-use district with new streets, parks, and phased housing, including commitments for 1,550 affordable units with long affordability terms that can create neighborhood-level value over time, per Metro’s East Bank announcement.
Do stadiums always raise nearby home prices?
- No; peer-reviewed studies show mixed results, with outcomes depending on who pays and the quality of surrounding development, as seen in Tu (2005) via EconPapers and Dehring et al. (2007) via CORE.
What early signals should downtown owners watch?
- Track official construction milestones on the New Nissan Stadium site, East Bank updates from Metro, and tourism performance via Visit Music City.
