The San Francisco 49ers want Santa Clara to pick up the tab for the rent on the team’s newly occupied business office in the city, and that request is now quietly sitting inside the Stadium Authority’s draft budget. The roughly $1.7 million line item has already kicked up a familiar fight over who should pay for what at Levi’s Stadium, with team officials pitching the move as operationally smart and critics calling it a subsidy for private office space.
What the 49ers are asking for
The $1.7 million shows up as an “other expenses” line in the Santa Clara Stadium Authority’s proposed $81.3 million budget, which the board reviewed on Feb. 25, 2026, according to The Mercury News. City staff singled out the request for additional scrutiny, noting that how the authority handles stadium expenses and reimbursement for major events is still unsettled as more high-profile dates approach the calendar.
Background on the office
Local coverage reports that the 49ers shifted business staff into roughly 52,000 square feet of office space on Great America Parkway, a move the team says tightens daily coordination with Levi’s Stadium operations, per Santa Clara News Online. Before this latest ask, the team previously sought about $620,000 to help cover office rent, a smaller contribution the Stadium Authority board turned down last year, according to Sports Business Journal.
Council members push back
During the recent budget study session, Councilmember Kelly Cox pressed for clarity on whether funding decisions would be guided strictly by contractual obligations instead of personal relationships, while Santa Clara finance director Kenn Lee labeled the office lease issue “outstanding,” according to The Mercury News. On the team’s side, 49ers executive Jihad Beauchman argued the new office “ensures enhanced collaboration, efficiency and productivity” that benefits both the franchise and the Stadium Authority, the outlet reported.
Budget strain and big events
The request lands at a touchy moment for Levi’s Stadium finances, with non-NFL event revenue shifting and sizable costs tied to major events looming over the books. Recent local reporting has highlighted bumpy projections for non-football income and significant upcoming obligations associated with high-profile dates, according to Silicon Valley Voice. Those pressures make the question of diverting public dollars to cover office rent more than just a line-item tweak.
What's next
City staff says the Stadium Authority is expected to revisit the lease question in March 2026, when follow-up reports and budget hearings are scheduled. That will be the board’s next formal chance to decide whether to fold the office rent into the public budget or leave it to the team. A recent summary of stadium staffing and meeting schedules flags March as a key month for stadium-related updates, including budget follow-ups, per Hoodline.
For Santa Clara leaders, the decision is both financial and political: sign off on the funding and commit taxpayers to a recurring charge, or hold the line and insist the 49ers cover their own office rent. The March hearings will show whether the city is willing to shoulder this latest cost or send the bill back to the team.