I was wrong in the above post about the naming rights figures. I did not account for the fact that these revenues are paid every year, not as a one time payment. Thank-you Vog for pointing this out.
MR. T aka Terry Spencer Wrote;
“The fact is the city is spending 37 million to build a multiple use stadium that will be owned by the citizens of Wilmington. The facts are that the Atlanta Braves will pay $500,000 dollars per year for at least 20 years to help offset the cost of the stadium and reserve the privilege to play baseball in one of America’s greatest cities.”
Now read from the feasibility study the city paid NSS close to a quarter of a million dollars to complete in ½ the normal time because of time constraints. With this “rushed study” completed, the tax payers still have not been shown the final deal. The outline of the deal is bad enough, but I wonder what else is included that the Mayor does not want made public before the election?
NSS Chap 8, pg 99; "Comparable ballpark naming rights agreements ranged from 10 to 20 years in length and with annual values ranging from $170,000 to $300,000 per year. Overall, the average comparable ballpark naming rights agreement was for an average of 13 years with an annual value of $252,857. Several of the most recent naming rights deals at comparable venues have an annual value of $300,000."
Now with this information in hand let’s break down the rent Mandalay will pay. If you deduct just the naming rights revenue that Mandalay gets every year depending on the deal, the rent becomes in the range of $200,000.00 to $330,000.00 per year. If you deduct the 2.9 million dollars the city is going to hand Mandalay up front to buy furniture with, then the rent becomes in the range of $55,000.00 to $185,000.00 per year. Now if you also consider that the cost of office space for 35 full time employees is “deducted” from the rent up front and Mandalay gets to charge the city to oversee up to 10 non baseball events per year, Mandalay quite possibly will not pay any rent……..they might turn a profit.
Mandalay should be paying $500,000.00 a year in rent period. They should not get the naming rights for a stadium that tax payers pay for. They should not get handed 2.9 million interest free dollars up front from a fund that the tax payers will pay debt service on for 20 years. The office space should be included in the stadium rent, not deducted from it. Whoever is responsible for negotiating this deal for the tax payers took a big ole swig from the cup of stupid. It is not any wonder Mandalay is desperate for the tax payers to approve this deal. They probably cannot believe they walked out of months of negotiations with such a sweetheart of a deal. Mr. Kuebler was indeed correct about the deal getting sweeter and sweeter....for Mandalay.
For a stadium that will be payer funded and owned by the tax payers of Wilmington, why do Mandalay, the Braves, and their billionaire owner get all of the profits? They also get all ticket sale revenues. They get all the concessions and memorabilia sales. And……….if this isn't enough, they get the entire “in stadium” advertising also.
It is no wonder at all why the Billionaire Beggars all over this country want to own sports franchises, they are a cash cow that tax payers are expected to fund……..over, and over, and over again.
*****VOTE NO***** This is nothing more than a corporate welfare scheme. Tell these Billionaire Beggars to put on their big boy pants and pay their own way for a change. The people supporting this either have something to gain personally or also took a big ole swig from the cup of stupid…..
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