MLS Entry Fee now up to $30 million

[phxinferno]

Garber was quoted in the Oregonian saying the entry fee to join the club is now $30 million, while visiting Portland as a potential expansion city...

The interesting thing addressed in the article is that the Oregon Sports Authority is involved. Unfortunately our Maricopa Sports Authority is only about the Bidwells and Spring training...:cool:

[Siff]

I am surprised that they think they can ask for that much for an expansion fee. According to posters on the headlines blog [here (http://www.bigsoccer.com/forum/showthread.php?t=507206)], Real and Chivas both paid $10 million fees. Another poster posited that with the arrival of Beckham and the new TV deal that MLS is raising the bar.

I wonder if this is a way for MLS to weed out the minnows and insure that the ownership groups entering the fray are serious and have the resources and backing to put a quality product on the field.

[phxinferno]

I am surprised that they think they can ask for that much for an expansion fee. According to posters on the headlines blog [here (http://www.bigsoccer.com/forum/showthread.php?t=507206)], Real and Chivas both paid $10 million fees. Another poster posited that with the arrival of Beckham and the new TV deal that MLS is raising the bar.

I wonder if this is a way for MLS to weed out the minnows and insure that the ownership groups entering the fray are serious and have the resources and backing to put a quality product on the field.

Maybe also to secure some payback to the investors who have stood by from the beginning and answering the abundant cash calls...If its about Beckham, does the fee go down when his contract is up, unless Garber plans to have the league maxed out by then...

[clubgarcia]

Garber was quoted in the Oregonian saying the entry fee to join the club is now $30 million, while visiting Portland as a potential expansion city...

The interesting thing addressed in the article is that the Oregon Sports Authority is involved. Unfortunately our Maricopa Sports Authority is only about the Bidwells and Spring training...:cool:

Just point of clarification. The Maricopa County Sports Commission has nothing to do with the Bidwills and spring training other than partnerships related to landing events at county facilities. And the name is changing to Regional Phoenix Sports Commission.

You must be referring to the Tourism Sports Authority (TSA).

[phxinferno]

Just point of clarification. The Maricopa County Sports Commission has nothing to do with the Bidwills and spring training other than partnerships related to landing events at county facilities. And the name is changing to Regional Phoenix Sports Commission.

You must be referring to the Tourism Sports Authority (TSA).


You are correct, thank you for the clarification. And its good to see the name Phoenix in the new title for the commission...

[Siff]

http://www.oregonlive.com/timbers/oregonian/index.ssf?/base/sports/1175225143168950.xml&coll=7&thispage=1

It looks like Portland is now diving into the expansion pool. That adds to the following markets:

San Jose
Phoenix :D
Philadelphia
Seattle

Plus all the others that I don't think are as far along in the process. It seems like each of these areas is gunning for one of the 3 spots available by the 2010 season.

If it is assumed that San Jose definitely has one of the spots locked down, as I think they deserve, then that leaves 4 locations vying for 2 spots. I hope that the investor side of the Phoenix bid is being aggressive behind the scenes and I hope that we can hear some GOOD NEWS soon.

[Siff]

It does look though, after glancing at this (http://soccernet.espn.go.com/feature?id=416868&cc=5901) article, that the higher price tag may act as a preliminary screening process. The quotes from Hanauer do not look good for the Seattle area.

[phxinferno]

It does look though, after glancing at this (http://soccernet.espn.go.com/feature?id=416868&cc=5901) article, that the higher price tag may act as a preliminary screening process. The quotes from Hanauer do not look good for the Seattle area.


Hanauer balked at the $10 million price tag. I think he is out of the loop. These investors are definitely someone else.

[Fez]

Egad. 30 million. Are MLS franchises suddenly profitable? I'll just buy the Utah franchise for 15 and move it to whatever city wants a team. 30 seems high to me.

[T_Rock]

Just point of clarification. The Maricopa County Sports Commission has nothing to do with the Bidwills and spring training other than partnerships related to landing events at county facilities. And the name is changing to Regional Phoenix Sports Commission.

You must be referring to the Tourism Sports Authority (TSA).

Here is the link for the Regional Phoenix Sports Commission:

http://www.azsportsfan.com/

I might be mistaken, but this commission is also a "managing" group for a majority of spring training facilities and for Chase Field (Home of the Diamondbacks).

In the case of the D-backs, the county helped finance and build the stadium, and the D-backs "lease" the building from them. During the baseball season, the D-backs manage the building, etc. During the off season, the county brings in events like supercross, monster trucks, soccer matches, and the like.

This off season, the D-backs wanted to update the suite concourse and build the "Diamond Club" in the outfield. These projects had to be approved by the county. Further, the county actual forks out a majority of the money for these upgrades because it is technically their building.

All in all, a very interesting arrangement which greatly benefits the D-backs. The only real drawback for them is they have to go through all the red-tape and county officials to make any major changes to the building. Also, everything in the building (desks, signs, tvs, etc) belongs to the county. The D-backs have to prove that something has "no value" before they can throw almost anything away.

Anyway, back to the subject at hand, this type of deals are currently out of favor with the general public because people have started to realize that the tax payers literally pay for everything, while the owners of the teams make all the profits. It will be difficult to get any city or the county to pay to build a stadium for an MLS team in Arizona. However, this does not mean that a city would not be interested in selling or leasing land to a team for a very low price.

[AndyMead]

http://www.oregonlive.com/timbers/oregonian/index.ssf?/base/sports/1175225143168950.xml&coll=7&thispage=1

It looks like Portland is now diving into the expansion pool. That adds to the following markets:

San Jose
Phoenix :D
Philadelphia
Seattle

Plus all the others that I don't think are as far along in the process. It seems like each of these areas is gunning for one of the 3 spots available by the 2010 season.

If it is assumed that San Jose definitely has one of the spots locked down, as I think they deserve, then that leaves 4 locations vying for 2 spots. I hope that the investor side of the Phoenix bid is being aggressive behind the scenes and I hope that we can hear some GOOD NEWS soon.

St. Louis, Cleveland, and even Milwaukee are way beyond where Seattle and Pheonix are. In fact, I'm guessing that Seattle isn't even on the radar at this point.

[gilmoreaz]

St. Louis, Cleveland, and even Milwaukee are way beyond where Seattle and Pheonix are. In fact, I'm guessing that Seattle isn't even on the radar at this point.

Oh really! And you know this how? Provide a link please...

And next time you roll in, please spell the name of our city correctly please, especially since you have Pablo on your Avtar. I think he would appreciate it.

[Siff]

Lets see....I will comment on the following(Correct me if I am wrong, which I probably am):

Atlanta: Good market, SSS for USL, but Atlanta has a terrible history of supporting sports teams (Braves in the playoffs)
Cleveland: SSS deal hit a roadblock, I've heard no word since.
Miami: What makes anyone think south Florida will do better this time? They support football and basketball but not much else, other markets deserve a chance.
San Diego: Doesn't LA have 2 teams? I hadn't heard SD in any talks, they must have something way under the radar.
Milwakee: The interest is there, and ownership group is there, but from what I can tell there hasn't been any movement on a stadium.
Pacific NW Succesful USL teams, and an untapped market. I believe they will get a team in the next wave of expansion.

This leaves me with the 3 favorites:
St. Louis: Ownership group, stadium site(s), just waiting on the consultation group to say if this will fly. I like our chances.
Philly: Well, they have a stadium site and an ownership group. from what I can tell they are just deciding on which site to use. They have, however, had a stadium announcement, albeit like 2 years ago. I like their chances.
San Jose: This looks like the 2008 team. They almost have their stadium, and have a facility for 2008. Why they get a second chance I don't know. But this looks like a slam dunk.

I once had hopes of a STL team for 2009, but if they aren't announceing the 2008 team for 6 months, it is realistic to have to wait until 2010.

I think it is a general concensus that San Jose should and will be the next MLS team. They deserve it after getting screwed by AEG (Anti-Earthquakes Group).

I think that the next several markets in terms of bid strength are Philly, the Pacific NW (more likely Portland now than Seattle :(), St. Louis looks like things are pretty much together, and then Phoenix.

Additionally, it isn't the length of time interest in a team has existed that determines expansion, nor is it city size. It comes down to cold hard cash. Get an ownership group that will bankroll the team and stadium, have a SSS deal in place, and *bang* Garber grants your city a franchise. It boils down to a simple dollars and cents business deal. Those cities that show financial support get the teams.

Phoenix currently has a group that has formed with its goal to be the ownership of a Phoenix MLS team. The head of this group is the former MLS finance manager so he knows what it takes financially to get the deal done. I think that for a relatively new bid, Phoenix has really made a splash. I know the path to gaining a team for the Valley of the Sun is not quick, but the right people are in place to make it a success.

[gilmoreaz]

Additionally, it isn't the length of time interest in a team has existed that determines expansion, nor is it city size. It comes down to cold hard cash. Get an ownership group that will bankroll the team and stadium, have a SSS deal in place, and *bang* Garber grants your city a franchise. It boils down to a simple dollars and cents business deal. Those cities that show financial support get the teams.

Phoenix currently has a group that has formed with its goal to be the ownership of a Phoenix MLS team. The head of this group is the former MLS finance manager so he knows what it takes financially to get the deal done. I think that for a relatively new bid, Phoenix has really made a splash. I know the path to gaining a team for the Valley of the Sun is not quick, but the right people are in place to make it a success.

"You must spread some reputation around before giving it to Siff again"

Someone please rep Siff on this... It is possibly the best post since the Phoenix sub-forum was created...

Let the other potential expansion cities keep talking as some of them have for years now... We will work toward this goal quietly...

Great work Siff!

[Z010 Union]

I picked up the spare for you gilmoreaz. Rep to siff

[T_Rock]

I picked up the spare for you gilmoreaz. Rep to siff

Same here.

[AndyMead]

Oh really! And you know this how? Provide a link please...

It's hard to provide a link to personal conversations. Sorry.

And next time you roll in, please spell the name of our city correctly please, especially since you have Pablo on your Avtar. I think he would appreciate it.

My bad. But at least you could make sure to spell "Avatar" correctly when complaining about typos.

[AndyMead]

Additionally, it isn't the length of time interest in a team has existed that determines expansion, nor is it city size. It comes down to cold hard cash. Get an ownership group that will bankroll the team and stadium, have a SSS deal in place, and *bang* Garber grants your city a franchise. It boils down to a simple dollars and cents business deal. Those cities that show financial support get the teams.

You "get it."

[gilmoreaz]

It's hard to provide a link to personal conversations. Sorry.

No problem, name your sources?


My bad. But at least you could make sure to spell "Avatar" correctly when complaining about typos.

My bad... Maybe you should remember that you are a "Photo Journalist" (And a damn good one I might add) and stick to that end of investigative reporting!;)