from sbj It will cost to name the new Frisco complex. Hunt Sports Group is taking the 93-acre, $65 million soccer facility it is building in Frisco, Texas, to market with an asking price of $37.5 million for naming rights.
Good god! That sounds absurdly high. Perhaps in contract form it's not so bad. say about 1 million dollars a year over 37 years. Even that wouldn't be too bad, unless you get some stupid sponsor like Crisco (say, actually, frying opponents in Crisco at the Caldera in Frisco might...oh, never mind.) I'll be shocked if anyone ponies up anything remotely close to that kind of cash...hell you could buy the A-League or damn near controlling interest in a franchise for that much up front with not much more than that
well... this place is going to get tons of use year round tons of youth fields... tournaments, practices, leagues highschool and college games and tournaments... probably the highschool championships and the college championships at some point highschool football games concerts mls games, us men and women games, international friendlies there is plenty there to consider
it was 70 some million... or 65... can't recall but it did require aeg to buy so many millions of supplies from home depot
Re: Re: Burn stadium naming rights too bad they can't get the crew rights... at least til someone with more money buys them out
http://www.bizjournals.com/denver/stories/2002/07/08/daily19.html Correct, but the deal included an agreement for AEG to buy $30M worth of building supplies from HD, so it's like a $40M deal in the end.
From HD's point of view it was $40M, from AEG's point of view it was $70M since they still would have had to get the materials from somewhere and spend in the neighborhood of $30M for them. This was a win win IMO for both sides. Andy
Oh, I agree it was a great deal. Just wanted to point out how the numbers in these sort of things can be fuzzy sometimes. Any early bets on who might jump in to challenge Jesse's bid in Frisco?
Does anybody know how they got that asking price? Was it based on a study of what the market will bear, or what is needed to make the stadium profitable? $37,000,000 just seems like a heck of a lot for a soccer stadium -- I don't care how much other use it gets. Take a look at some other deals -- and many of these were signed when the economy was substantially better. I'd love to see Hunt get that much, but I'm skeptical.
This bit is from a recent article on the new Toyota Center in Houston. I didn't even know there was such a thing as a "naming rights industry" - robust or not - but I think the additional elements of these sorts of deals - particularly, the int'l aspects - are interesting. If an NBA team can make some use of the int'l market, maybe an MLS team could work that angle, too. http://www.chron.com/cs/CDA/ssistory.mpl/topstory/2009544
Since we don't have a Home Depot in Frisco, but we do have a...... Lowe's Center at Frisco Square????? Our minor league baseball stadium is the Dr. Pepper/7 Up Ballpark....so maybe Sprite Stadium???
Well, Pepsi is a major sponsor in Major League Soccer, and one of their subsidiaries (or is it a former subsidiary), Frito-Lay, is based in Plano so... Tostitos Stadium at Frisco Square
I think part of the value of the HDC's naming rights was the stadium's location. Since it is located near one or two major highways and the HDC sign is visible from the highway, there is a "billboard value" to the deal in addition to the "stadium name value". Is the Frisco stadium going to be located near a similarly busy highway? As akimmel stated, my first phone call trying to sell these rights would be to Lowe's with a similar deal (buying supplies; not $70M) in mind. Is it just a coincidence that there are three or four basketball arenas named after airlines? Let's create competition in the hardware market for naming rights. Then if Lowe's signs up in Frisco, call Builders Square about Crew Stadium. Murf