New Arena Thread: Rogers Place? Yawn...
View Single Post
05-14-2013, 10:20 PM
Behind Enemy Lines
Join Date: Feb 2003
Location: Calgary, Alberta
Originally Posted by
Except he would probably get a free lease agreement and not have to put any money into the arena. He could also work out a deal where he gets all parking and concessions from the games something Northlands currently gets. He would also have a huge population to draw from when you consider a lot of the lower mainland would probably also support the team. Sure he might take a hit in the first 5 years but in the next 30 years Seattle is by far a better market to grow a team then Edmonton. It is a very real possibility IMO if Edmonton will not help fund an arena.
You continue to deal in unsubstantiated speculation. A larger market does not equate a bigger hockey market.
The U of T study I linked previously refutes that myth. In fact uses Edmonton market as the benchmark.
To determine which Canadian markets would be large enough to support an NHL team, we also performed a qualitative comparative analysis. We compared each potential Canadian NHL city to a benchmark NHL city—Edmonton—on a variety of demographic and economic factors.
Why Edmonton? It is the smallest market in the NHL.20 Among Canadian NHL cities, Edmonton has the fewest high-income residents, and the second fewest corporate head offices. The Oilers also play in one of the league’s smallest arenas. Relative to American markets, the Oilers would appear to have nothing but disadvantages. And yet the Oilers are among the NHL’s biggest revenue generators.
Forbes estimates that last season the Oilers ranked 17th in the league in total revenues, 8th in operating income and—the Forbes estimate of financial performance that we consider the most reliable—8th in gate revenues. This, despite having not made the playoffs in four years, and thus having earned no playoff revenues in those years.
Edmonton’s revenue record is also not an anomaly in Canadian NHL terms: the Calgary Flames and Ottawa Senators, playing in markets only slightly larger than Edmonton, generate gate revenues that are in line with those of the Oilers.
As for Seattle market, the guy trying to move Sacramento Kings there wants to build his own rink. NBA rejected this as a cartel to protect their ability to offload arena costs to the public purse. A key negotiating weapon.
It is fool's goal to think Vancouver /mainland would support a Seattle team with an 82 game schedule. Especially when the Canucks are entering a downturn in their onice performance. Supply will open up now that the Cup dream is dying. They had seats available to open this year's playoffs.
Add the political environment in which US Home Security is lobbying for a border fee for Canadian visitation to offset their security costs.
A financially successful return to Winnipeg also reinforces a strong, core hockey market is better than a large population US market crowed with sports and entertainment options for finite discretionary income.
Edmonton is a great and lucrative NHL market as is.
Behind Enemy Lines
View Public Profile
Behind Enemy Lines's albums
Find More Posts by Behind Enemy Lines