https://www.985fm.ca/nouvelles/sport...-75-m-et-100-m
An improved Stade Saputo would cost between $75 million and $100 million
Over the past five years, no less than nine new stadiums have been erected in MLS, each of which is always newer and more modern than the previous one. The further you go, the more expensive and luxurious the garber circuit stadiums are.
This means that Stade Saputo, which was built in 2008 and improved in 2012, is already starting to pull out of steam. Again this year, the same problem occurs, we still have to start the season at the Olympic Stadium, because the Stade Saputo is still not ready for the winter.
Owner Joey Saputo is well aware of the problem and has been trying for several years to remedy this situation. In the long term, it will not be viable for CF Montreal to continue to compete with other MLS teams if the club continues to play in Stade Saputo, in its current state.
According to our information, Saputo has worked with the firms Populous and Espace Construction in order to set up sketches that show the Stade Saputo with all the improvements.
The first was made in 2017, then an improved version dates from a few years ago. The club surveyed more than 1,000 fans last fall to find out what improvements they would like to see made to Stade Saputo.
Increase revenues
The first major change was to add the number of premium tickets to the stadium. We were going to destroy the northern section of the stadium, from the press gallery (Sherbrooke Street) upwards. It was planned to raise four floors of glazed luxury boxes, a section that was called the "club" section.
In these sections, a ticket can sell for a few hundred dollars, which is much more than a regular ticket.
In most MLS stadiums, 15% of tickets are of premium value, which is where most of the profit is located. The wealthiest teams reap about 50% to 70% of their revenue through these tickets.
Luxury boxes at banc of California Stadium where LAFC plays
Source: Luxury dressing rooms at Banc of California Stadium where LAFC plays
At the moment, at Stade Saputo, only 6% of the seats are considered premium. A clear delay compared to the other stadiums of the league. CF Montreal would rather target 12% to 14% of premium seats.
In recent years, some tickets such as those of the BMO Lounge sections have changed to the premium designation, but we are only talking about a few hundred tickets.
According to our information, some at the Olympic Park would not be enthusiastic about the idea of seeing a structure come to partially hide the tower of the Olympic Stadium.
In addition to the club section, it was intended to move the players' entrance to the field in the center of the northern section, and no longer to the northwest corner. Premium sections around this access were also planned.
There is also work to be done all around the stadium to increase electrical capacity, add food concessions, terraces and bathrooms. Not to mention the improvement of the two entrances to the stadium.
The players' entrance section at Banc of California Stadium where LAFC plays
Source: The players' entrance section at Banc of California Stadium where LAFC plays
Ideas that have been abandoned
A major problem for Joey Saputo is that his stadium is only used 18 to 20 times a season. To make it profitable, the club thought of holding other events there. There was even talk, at one point, of inviting the Alouettes to play their games there.
But it would have been necessary to replace the benches closest to the field with removable seats, because currently, the field is not large enough to accommodate a CFL club. There is also the problem of the natural field that would take it for its cold if a football team settled there.
So if it's not football, then you have to find other events. Concerts would also be difficult to organize.
Saputo also considered lengthening the stadium's roof to cover all the seats. But according to our information, the structure is not able to support the necessary weight for this, and the garage located directly under the stadium would also prevent it. At best, we could only cover the north platform.
When will the Stadium be winterized?
As mentioned above, unlike Tim Horton's Field in Hamilton, for example, Stade Saputo is not designed for winter.
Replacing the playing surface with a heated court is not the biggest challenge, but it is a problem that is useless to solve if you do not do the rest.
What's the point of having a heating surface if the rest of the stadium is unusable. Remember that plumbing is not functional during the winter and the benches are not designed to be used on cold days. They may also need to be replaced. Everything must be done to make it usable.
So, for now, no pun intended, the winterization of the stadium remains on the ice.
Why not proceed now?
According to our information, we are talking about a total project of between $75 million and $100 million. An amount that the Saputo family would be willing to pay 100%, without asking for help from the government. Which is quite rare.
To date, Stade Saputo has cost a total of $63 million, of which $40 million has been paid for by the Saputos and $23 million by taxpayers.
On the other hand, the great manitou of CF Montreal has never hidden his dismay with regard to the taxes he must pay annually on the structure. Not to be confused, we are talking about property taxes and not taxes.
98.5 Sports was present at the Municipal Court of Montreal in 2019 when the lawyers of the Impact and those of the City of Montreal shook hands following an agreement regarding previous taxes.
It was a small victory for Joey, but in fact he only gained points in the Case of centre Nutrilait, and not much for Stade Saputo. He gained nothing from the taxes that would have to be paid in the following years.
A contract that no longer does the trick
What is special is that Saputo has to pay property taxes on a stadium that does not belong to it. When he built the stadium on the grounds of the Olympic Park, he signed a 40-year emphyteutic lease, the first 14 years of which are behind us.
In this type of agreement, it is the tenant who pays the renewal fees and all other related taxes. When it was first designed, the Stadium was just a field with platforms around it. It must be said that before the construction of the stadium, the empty ground of the corner of Sherbrooke and Viau did not generate a penny.
Over the years, Saputo continued to inject funds and the amphitheater became a stadium, and increased in value. It goes without saying that the tax bill has also increased. And if Saputo proceeds again with these improvements, it may have to pay about $2 million to an additional $4 million annually.
If Saputo sells the team, he will not be able to pass the stage in the transaction, in order to reimburse himself. The Stadium will continue to belong to the Olympic Park despite a massive injection of funds from it. So, what to do?
Could Saputo go to court to try to end the deal? Difficult to say, emphyteutic leases are not easy to break.
According to our information, in 2004, when the Uniprix Stadium (now IGA) was renovated, it was also the subject of an emphyteutic lease. But eventually, an agreement with the City of Montreal was reached, allowing the work to take place.
Is there such a solution in the cards for Saputo? Hopefully, because it is the fate of the franchise that depends on it. Without an agreement, there is little chance that the work will move forward.
At a press briefing last week, Commissioner Don Garber reacted to the work that needs to be started and has not yet been started.
"Several pitfalls stand in front of him (Saputo). His agreement for his stadium is unique and practically prevents him from investing more money to continue to offer fans a most modern experience. I know Joey wants to proceed and he is very frustrated. But we limit it in what it can do, it must still remain logical and rational financially. "
He nevertheless wanted to reiterate that in his opinion Joey Saputo remained his trusted man here in Montreal.
Prev
Linear Mode
