Lincoln Financial Group said on Monday that it will not be able to pay its $1 million loan on time for the 2016-17 season because the team can’t meet its contractual obligations.
Lincoln Financial Field will receive no payment for the $10.4 million it owes on the loan and must repay it within 90 days, the company said.
The lender, Lincoln Financial Holdings LLC, is the owner of Lincoln Financial Stadium.
The team said in a statement that it was disappointed that the team had to take such drastic measures to avoid repayment of its loan.
Lincolns loan is the largest ever for an NFL stadium and the first since 2009.
The city of Lincoln, Nebraska, will cover the rest of the cost.
Lincoln Financial said it was also trying to make sure the stadium does not fall into disrepair.
Lancaster, Illinois-based Lincoln Financial is a subsidiary of Lincolnes owner Lincoln Financial Partners LLC, a unit of LINC Holdings, a holding company that holds more than $2 billion in investments.
The loan will pay for approximately $3 million in stadium upgrades and upgrades for Lincoln Financial stadium.
The loan was secured by the city of New York for $6.4 billion and was approved by New York City Mayor Michael Bloomberg and Gov.
Linclans principal financial auditor, Peter V. O’Donnell, said on a conference call with investors on Monday the loan was a key element of the deal that secured New York’s commitment to a new NFL stadium.
“It’s a great credit to the city and it’s a tremendous credit to Lincoln Financial for being able to secure this loan,” O’Connell said.
“They have a very robust team, they have a lot of capital in their coffers.
They had to be willing to pay.”
The loan guarantees the $5.7 million in cost for the new stadium.