Admirals moving to Arena in 2016-17

[IWB]

Great news for the Admirals - happy for Jon Greenberg & Co!

[DCwarrior]

It doesn't say how much the Admirals have to pay each year/game on that lease. It only mentions the $2M renovation contribution.

How much have they been paying at the Bradley Center? If it's less per game than Marquette has been paying (assuming concession revenue is the same for both), it would be nice if that was made public so all the anti-MU people in the state could shut up and vent their anger at them instead.

[MU/Panther]

The Admirals will generate an estimated $500,000 to $750,000 in annual net income for the Panther Arena, according to the Wisconsin Center District, the state-created agency that operates the arena, Wisconsin Center convention facility and Milwaukee Theatre. The district also will own the new Bucks facility.

The Admirals will pay $1,500 to $3,000 for each regular season game, depending on whether it's a weeknight or weekend. There also will be a $2 ticket surcharge during the lease's first five years, which rises to $2.50 for the next five years.

http://www.jsonline.com/business/adm...372238441.html

[Gato78]

The Admirals will generate an estimated $500,000 to $750,000 in annual net income for the Panther Arena, according to the Wisconsin Center District, the state-created agency that operates the arena, Wisconsin Center convention facility and Milwaukee Theatre. The district also will own the new Bucks facility.

The Admirals will pay $1,500 to $3,000 for each regular season game, depending on whether it's a weeknight or weekend. There also will be a $2 ticket surcharge during the lease's first five years, which rises to $2.50 for the next five years.

http://www.jsonline.com/business/adm...372238441.html

How can that possibly be profitable for the Wisconsin Center District?

[TheSultan]

How can that possibly be profitable for the Wisconsin Center District?

I can see how you get to the $500,000 annual net income number, but only if you don't amortize the $4 million renovation over the course of the lease. And I'm not including the $250,000 annual "investments" the second five years either.

[IWB]

Well - 38 home games (as opposed to an empty building) will be about $84k. Average of 7,000 fans per game is $532k. So, you are looking at $600k for the year, plus 100% of concessions. With a hockey crowd, I imagine concessions aren't bad.

Maybe the biggest thing for the WCD is the millions the Ads are giving towards renovations. In the end, even if the WCD breaks even, it is better to have the facility used than not.

[Gato78]

What does it cost to staff, heat and light the building for those 38 games?

[TheSultan]

Well - 38 home games (as opposed to an empty building) will be about $84k. Average of 7,000 fans per game is $532k. So, you are looking at $600k for the year, plus 100% of concessions. With a hockey crowd, I imagine concessions aren't bad.

Maybe the biggest thing for the WCD is the millions the Ads are giving towards renovations. In the end, even if the WCD breaks even, it is better to have the facility used than not.

I generally agree with you. (Although the article says they don't get 100% of concessions and 5,700 - 6,000 is their attendance figures.) I just think the idea that they are selling a "net income," that doesn't include the costs of the renovations, is not accurate.

If I do some back of the envelope calculations, I think if you amortize the $4 million over 15 years, and you include the $250,000 "investments," you come pretty close to a break even proposition if you estimate $5,000 in marginal costs, and $20,000 in net concession revenue for each game.

[MU/Panther]

Why the Admirals are better off at UWM Panther arena than the Bradley Center
http://www.bizjournals.com/milwaukee...her-arena.html

[DCwarrior]

Why the Admirals are better off at UWM Panther arena than the Bradley Center
http://www.bizjournals.com/milwaukee...her-arena.html

Based on this, where was the public outrage toward the Admirals lease at the Bradley Center? Why did only Marquette receive the negative publicity toward their "sweetheart" lease at the Bradley Center where their per game payment was much higher (close to $25K-$30K I thought I remember seeing)?