Quote:
Originally Posted by StEC
THIS is the business case to keep an NHL size arena! http://www.coreentertainment.ca/news...r-ranking-2018
58th BUSIEST IN THE WORLD 4th IN CANADA! Let that sink in...
We lose the current capacity and we lose the big AAA concerts and events that bring people to our city's downtown hotels and restaurants! The city would cut off one of their best tourist draws and revenue generators!
Were also the only city that ever has mega acts such as BTS, Garth Brooks & Britney Spears perform 3 or 4 sold out shows in a row. No other city not Toronto or New York can ever claim that! What that does for our city is phenomenal!
It would be asinine to move the arena and or especially make it smaller! |
Thats not a business case. Thats a listing of some big acts and how awesome it is for our city. A 10k arena would still bring awesome events to our city and downtown.
The arena barely breaks even now for global spectrum even with a sizeable annual operatinng subsidy from the city. Global spectrumcurrently makes a bit of money, the city loses money. If you build/ renovate an nhl new arena you have debt repayments to the tune of $300 -500million. The operations would be a massive money loser based on the current formula.
And that number you quoted is for concerts and events
excluding the primary tennant. Its not the 4th busiest arena in canada. The 7 nhl arenas are ahead of it if you include the main tennant.
Again what is the business case for either the city or private company to sink 300 to 500 million into a new facility. They arent going to do it unless they can make money off of it. Its great that it gets some big shows, but is it profitable? Right now its not and thats before you even add repaying hundreds of millions of debt.
For refernce attached is documentation confirming the city subsidizes operations at the arena to the tune of $2.5M. This means that despite all the great acts you posted above and the bulldogs, the arena
loses $2.5M a year.
https://pub-hamilton.escribemeetings...umentId=177081