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Stadium Funding

 

11-11-16 04:04 PM
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Yesterday there were presentations given in my sports class. Many of them were about the San Diego Chargers and the predicament thy are in when it comes to getting a new stadium or moving. We ended up talking for an hour about how stadiums get funded and started a whole debate between owners paying for stadiums versus them making the citizens pay.

I wanted to know what some of you thought about this. I think it's fine asking the city for money, but I think the owner should put down more of their own money before asking the city.


Thoughts?
Yesterday there were presentations given in my sports class. Many of them were about the San Diego Chargers and the predicament thy are in when it comes to getting a new stadium or moving. We ended up talking for an hour about how stadiums get funded and started a whole debate between owners paying for stadiums versus them making the citizens pay.

I wanted to know what some of you thought about this. I think it's fine asking the city for money, but I think the owner should put down more of their own money before asking the city.


Thoughts?
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11-11-16 07:54 PM
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Anything but using tax payer money to do it. If people want to throw a few bucks in to help, that would be awesome, but if the owner of the team wants a stadium, he needs to have it build either largely on his dime or by crowdfunding, maybe both.
Anything but using tax payer money to do it. If people want to throw a few bucks in to help, that would be awesome, but if the owner of the team wants a stadium, he needs to have it build either largely on his dime or by crowdfunding, maybe both.
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11-11-16 09:35 PM
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Sadly that would probably never happen. America very well knows how when team owners can't get the public to pay for new stadiums, they threaten to leave the city.


It's funny because owners don't want new stadiums so the fans can Ben happy or to keep the stadiums maintained, it's so that they can get more money.
Sadly that would probably never happen. America very well knows how when team owners can't get the public to pay for new stadiums, they threaten to leave the city.


It's funny because owners don't want new stadiums so the fans can Ben happy or to keep the stadiums maintained, it's so that they can get more money.
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11-12-16 05:29 AM
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I'm torn on the issue. There is a lot of economic benefit for the city that has the stadium in it but I wonder if it is ever enough to justify the contribution they make towards the stadium/arena.

However, if the owner can't build an arena and run a sports team successfully enough to justify the expense then the market won't support it. If the market won't support it then it likely shouldn't happen.
I'm torn on the issue. There is a lot of economic benefit for the city that has the stadium in it but I wonder if it is ever enough to justify the contribution they make towards the stadium/arena.

However, if the owner can't build an arena and run a sports team successfully enough to justify the expense then the market won't support it. If the market won't support it then it likely shouldn't happen.
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11-12-16 09:02 AM
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geeogree : both of those happen to be one of the major problems in San Diego now. If they build a new stadium, hotel tax will go up 4%, and while that would help in some ways, it's going to hurt many normal tourist from visiting. Also they say that the Chargers will never be good enough to warrant that kind of money.
geeogree : both of those happen to be one of the major problems in San Diego now. If they build a new stadium, hotel tax will go up 4%, and while that would help in some ways, it's going to hurt many normal tourist from visiting. Also they say that the Chargers will never be good enough to warrant that kind of money.
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11-12-16 11:32 AM
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zanderlex : and that is what I mean. If the owners can't provide the cash and expect to see the return they need in order to justify the cost then by any financial metric they shouldn't build the stadium. If the government wants to keep the team and the economic benefit they provide then by all means there could be ways to make that happen but a direct infusion of cash might not be the right thing. Maybe co-ownership of the building or something. I don't really know but just giving $200,000,000 for a sports team when that money could be spent on dozens of other things seems irresponsible.
zanderlex : and that is what I mean. If the owners can't provide the cash and expect to see the return they need in order to justify the cost then by any financial metric they shouldn't build the stadium. If the government wants to keep the team and the economic benefit they provide then by all means there could be ways to make that happen but a direct infusion of cash might not be the right thing. Maybe co-ownership of the building or something. I don't really know but just giving $200,000,000 for a sports team when that money could be spent on dozens of other things seems irresponsible.
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11-12-16 12:54 PM
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geeogree : lol you think giving 200 Million is a lot? Guess how much the Chargers asked for? Roughly 1.2 Billion.
geeogree : lol you think giving 200 Million is a lot? Guess how much the Chargers asked for? Roughly 1.2 Billion.
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11-12-16 01:04 PM
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that is insanity! There is no way that a stadium is going to return that much money to the government. There is not enough of a return possible for this to work in their favor. What garbage. Let the team waste money going somewhere else.
that is insanity! There is no way that a stadium is going to return that much money to the government. There is not enough of a return possible for this to work in their favor. What garbage. Let the team waste money going somewhere else.
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11-12-16 01:49 PM
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For 1.2 billion dollars they better have state of the art hot dog machines.

I'm thinking the football players and the owner of teams should pay for it as the taxpayers already spend money on tickets, lodging and merchandise.
For 1.2 billion dollars they better have state of the art hot dog machines.

I'm thinking the football players and the owner of teams should pay for it as the taxpayers already spend money on tickets, lodging and merchandise.
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11-12-16 02:11 PM
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geeogree : Well, you would be surprised. We learned in my management how much teams REALLY make. You see in the news when some teams are sold for like 1-2 Billion dollars, which makes you think thats what they are worth, but they are not. In reality, some teams actually make so much money, that selling the team for a billion wouldn't really turn much of a profit.

The general idea is that many of the big teams pull in over 5 Billion a year. Just think of it, ticket sales, food, and beer for the standard baseball game would pull in more than 10 million per game. 3 hour games with probably more than 100 different commercials played could net more 100 million in one day.
geeogree : Well, you would be surprised. We learned in my management how much teams REALLY make. You see in the news when some teams are sold for like 1-2 Billion dollars, which makes you think thats what they are worth, but they are not. In reality, some teams actually make so much money, that selling the team for a billion wouldn't really turn much of a profit.

The general idea is that many of the big teams pull in over 5 Billion a year. Just think of it, ticket sales, food, and beer for the standard baseball game would pull in more than 10 million per game. 3 hour games with probably more than 100 different commercials played could net more 100 million in one day.
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11-13-16 10:43 PM
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Stadium funding should come from the event taking place there and the city (For some of it anyway)
Stadium funding should come from the event taking place there and the city (For some of it anyway)
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11-13-16 10:46 PM
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Pokemonfan1000 : so you think the owner of the event should pay and NOT the owner of the stadium? So the owner of the stadium gets it for 100% free then.
Pokemonfan1000 : so you think the owner of the event should pay and NOT the owner of the stadium? So the owner of the stadium gets it for 100% free then.
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11-13-16 10:48 PM
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zanderlex : No. I worded it wrong and meant to say that a portion of the event funding should go to the stadium as a tax of sorts. Sorry for any confusion.
zanderlex : No. I worded it wrong and meant to say that a portion of the event funding should go to the stadium as a tax of sorts. Sorry for any confusion.
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11-13-16 10:50 PM
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Pokemonfan1000 : we you lost me lol. If that were to happen then there would be so much more corruption going on.
Pokemonfan1000 : we you lost me lol. If that were to happen then there would be so much more corruption going on.
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11-13-16 10:51 PM
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zanderlex : Didn't think of that.
zanderlex : Didn't think of that.
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For 1.2 billion dollars,the city had better get some serious use and make them sign a contract that they can be thrown out at any time that they are performing below expectations or that they cannot leave for X years. That is a huge investment and the taxpayers should not have to foot the bill. I understand that a stadium creates image,creates jobs,creates pride,and so on,but that is a huge undertaking. The owners need to foot a good chunk of the bill and guarantee a few championships. Not to mention there are abandoned sites that could be used to make the stadium.
For 1.2 billion dollars,the city had better get some serious use and make them sign a contract that they can be thrown out at any time that they are performing below expectations or that they cannot leave for X years. That is a huge investment and the taxpayers should not have to foot the bill. I understand that a stadium creates image,creates jobs,creates pride,and so on,but that is a huge undertaking. The owners need to foot a good chunk of the bill and guarantee a few championships. Not to mention there are abandoned sites that could be used to make the stadium.
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