KALAMAZOO, Mich. (Michigan News Source) – The city of Kalamazoo and the county of Kalamazoo are seeking to create a separate legal entity would operate a proposed $40 million indoor sports facility.

The Kalamazoo City Council will begin the process of creating the Kalamazoo County Event Center Assessment District at its Aug. 4 meeting.

MORE NEWS: Gotta Catch ‘Em All: $50K Pokémon Heist Hits Sterling Heights Shop, $15K Reward Offered

The indoor facility would be located on Westgate Drive, right off U.S. 131. It would have eight full-sized basketball courts, 16 full-sized volleyball courts and one indoor turf field on the 20-acre site.

Organizers project that the local schools and residents will use the facility during the week. On weekends, it would host regional tournaments that it hopes will bring in thousands of visitors.

The funding for the facility to be built is coming from a 4% tax on hotel stays in Kalamazoo County that started being accessed on June 1.

Financial projection for the indoor sports facility estimate that the revenues generated by tournament registration, camps, clinic, concessions and advertising would offset expenses by year two. By the fourth year, the organizers project that the facility would generate $3.89 million in revenues with $3.26 million in expenses.