NYI & Barclays Center To Make Major Announcement (mod edit: NYI to Brooklyn in 2015)
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11-20-2012, 01:07 PM
Join Date: Mar 2002
First of all, trusting Bettman and Wang's word at face value is hardly a smart idea.
Wang and Bettman did not have to say anything, about adding 500-1,000 regular seats.
All they needed to do, was point out that the isles current arena has 31 luxury suites and Barclays has 100 luxury suites.
Second, I could see them adding some seats by squeezing stuff in here and there, but not very many more that would change it from being the smallest or the second smallest in the league.
I expect it to be the 2nd smallest at 15,500. Imo the isles stronger lease+ their big cable deal+ their new revenue sharing, are three of five keys for Wang. Isles also need to improve their on ice product to increase attendance and make the playoffs to bring in playoff revenue.
Brett Yormark, Barclays CEO, said the added seats probably would be squeezed into the west end of the rink, perhaps as part of a high-end hospitality area.
Third, the previous poster asked how much it would cost to turn Barclays into a truly two sport venue. Adding a few hundred seats is not going to magically make Barclays into an intended two sport venue. Simply put, its footprint is too small and unless they want to significantly cut into available seating and/or completely redo the interior of the arena for a different juxtaposition of everything, both of which would be prohibitively expensive, it will remain a basketball venue that just so happens to host a hockey team, much like the formerly-named Conseco Fieldhouse in Indianapolis. Some sections will have views just as nice as any arena in the league, but others will have the worst by far.
So the isles will sell the seats with bad sight lines, as cheap seats.
While, those extra 69 luxury suites add an extra $35m a season in revenue.
I don't think the isles would have signed a 25 yr lease, if Ratner and Yormark had not made assurances about adding seats.
The main benefit in this move “is not in the increased revenue the Isles will get from the average fan; it’s in the huge increase they’ll get from selling luxury suites and premium club seats,” said Tony Knopp, chief executive officer of Spotlight TMS, a company that manages corporate tickets at Barclays Center and other sites around the country.
The Coliseum, built in 1972 and barely renovated since, has 31 luxury suites and a relatively small number of high-priced premium seats. Knopp estimates that the suites generate about $3 million a year and the premium seats about $16 million.
Barclays Center, which is far more geographically convenient to corporate customers than the Coliseum, has 104 luxury suites. Knopp estimated that those suites would generate about $21 million for the Islanders, while premium seating would generate an additional $33 million. That comes to $54 million from suites and premium seats — $35 million more per year than what the Islanders generate at the Coliseum.
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