The City of Citrus Heights has taken a major step toward advancing redevelopment of the Sunrise Mall property by establishing a public-private partnership framework with Sacramento-based sports and entertainment development firm The Mettle Shop for the development of the Sunrise Sports Center, a proposed regional sports and entertainment complex envisioned as a catalyst project within the Sunrise Tomorrow Specific Plan.

The Sunrise Mall property, built more than 50 years ago as one of the region’s first regional shopping centers, spans roughly 100 acres and represents the most significant redevelopment opportunity in Citrus Heights’ history. In 2022, the City Council adopted the Sunrise Tomorrow Specific Plan, creating a long-term vision to transform the aging mall into a vibrant mixed-use district featuring entertainment, hospitality, housing, and experiential retail.

A Catalyst for the Sunrise Tomorrow Vision

At its March 11 meeting, the Citrus Heights City Council authorized the City Manager to enter into an Economic Development and Participation Agreement (EDPA) with The Mettle Shop, establishing the partnership framework and key terms to collaboratively explore the project. The agreement does not approve a specific development project. Any proposal will still undergo environmental review, planning entitlements, and public hearings before returning to the City Council for consideration. “I have said I would like to see something so unique that people are drawn to Citrus Heights, because Citrus Heights is pretty special,” said Mayor Marijane Taff. “This feels pretty close to a magic-wand moment for our community.”

The proposed Sunrise Sports Center would occupy approximately 13.75 acres of the 100-acre Sunrise Mall property, serving as a catalyst project intended to activate the site and attract additional investment across the remaining acreage. Tallen Capital Partners is currently in escrow to purchase the majority portion of the site. “This is a transformational effort to turn this property into a compelling regional destination of food, entertainment, housing, and all the things that go along with that,” said Terry Tallen, CEO. “To the Council, the vision you have had in putting the specific plan together is a great vision. It’s a timely vision and a good blend of uses, which is what makes successful projects successful these days.”

A Regional Sports and Entertainment Destination

The Sunrise Sports Center is envisioned as a year-round destination supporting sports tourism, recreation, and community programming. The concept includes a 4,000-seat multi-purpose arena, two NHL-sized ice sheets, covered and outdoor turf fields, sports medicine and performance facilities, restaurants, and community gathering spaces. At full operation, the venue is projected to attract approximately 1.29 million visitors annually, with roughly 75 percent coming from outside Citrus Heights, generating regional visitation and supporting local businesses. Economic analysis indicates the facility could generate approximately $26 million in annual economic output and support more than 350 jobs through direct and indirect economic activity.

“We are incredibly grateful to the Citrus Heights City Council for their leadership and vision in moving the Sunrise Sports Center project forward,” said The Mettle Shop CEO Joe Wagoner. “This is an exciting moment for the local community and the entire Sacramento region. We look forward to partnering with the City to create a destination where families, athletes, and visitors can come together around sports, competition, and community.”

“Transformational redevelopment requires strong partnerships and shared vision,” said City Manager Ash Feeney. “Through this public-private partnership, we have an opportunity to combine private investment with strategic public tools to catalyze redevelopment and help bring the Sunrise Tomorrow vision to life.”

Under the partnership framework, The Mettle Shop would acquire the project site and lead development and operation of the Sunrise Sports Center, while Tallen Capital Partners is currently in escrow to acquire approximately 50 acres of the Sunrise Mall property, positioning the broader site for future mixed-use redevelopment aligned with the Sunrise Tomorrow vision. The City will coordinate planning and entitlement processes, support redevelopment coordination among property owners, and evaluate the potential use of municipal financing tools to help facilitate the project.

The proposed financing approach combines private developer equity with municipal bond financing, with project revenues repaying the bonds rather than taxpayer funds. The project will undergo additional planning and environmental review, including technical studies, CEQA review, community outreach, and public hearings before the Planning Commission and City Council.

If ultimately approved later this year, the Sunrise Sports Center would serve as a catalytic anchor helping stimulate redevelopment across the remaining 85+ acres of the Sunrise Tomorrow site, advancing the City’s vision for a vibrant regional destination.

For more information and to receive updates, visit www.sunrisetomorrow.net