Detroit Red Wings' new arena cost jumps by $105M to $733M

David Scrivano, left, president and CEO of Little Caesars and Christopher Ilitch, president and CEO of Ilitch Holdings, Inc., unveil the name of the Detroit's new 20,000-seat downtown arena during a news conference, Thursday, April 28, 2016, in Detroit. The 20-year naming rights agreement averages more than $6.25 million per year and will be home to the Detroit Red Wings. Mike Ilitch and his family own the Red Wings and the pizza chain as well as the Detroit Tigers. The new arena is part of a broader entertainment district being built north of downtown. (AP Photo/Carlos Osorio)
AP

DETROIT (AP) Officials say the cost of building the Detroit Red Wings' new arena has jumped by $105 million to nearly $733 million.

The city's Downtown Development Authority says the revised estimate to build the Little Caesars Arena for the NFL team reflects the specific cost of materials, permits, design refinements and subcontractor agreements. The Detroit News (http://detne.ws/2eAzo3L ) says city documents indicate other construction costs could rise.

Officials say the revision doesn't indicate massive cost overruns nor that taxpayers will face additional expenses.

Construction began last year and the venue is scheduled to open next fall.

The owner of the Detroit Pistons has said that team is close to a deal to move the NBA franchise and suggested it could also play at Little Caesars Arena next season.

This story has been corrected to show the price of the stadium rose from $627.5 million to nearly $733 million, not from $105 million to nearly $733 million.

Information from: The Detroit News, http://detnews.com/