Arenas, Stadiums, Venues
The Miami Herald writes today about a sore subject.
The Miami Heat in spite of having another great season whether they do or don't win the NBA championship have only paid the county its landlord for the Triple A Arena $257,134 in a profit sharing plan agreed to in 1997. Long story short, the Miami Heat paid for the building and is repaying itself about $14 million dollars a year from revenue it generates from game. Renovations and poor ticket sales can lower profits or actually cause losses which wipe out any money the County might expect for buying the land on which the stadium sits. Profit sharing only kicks in when net revenue exceeds $14 million.
In return for a new agreement, the team agrees to stay in Miami, continue to make improvements to the building and pay the County about $1 million, but the subsidy for the stadium would also go up and is projected to double
The whole thing is really financed by hotel tourist taxes and ticket sales.
How much having a winning basketball team in Miami is worth something but how you determine worth is a really subjective idea. The owner of the Miami Heat is taking some risks that Miami Dade County should not be taking.
LB, DW, CB have played in the NBA for a combined 33 years and it has only been during these latest championship years and the fact that the agreement is almost over that the profit sharing has kicked in.
Like it or not the negotiations on these kind of issues generate a steam which goes way beyond the owner, the value of the team, the building.
As it was said by the Meyer Lanskey in the Godfather, "This is the life we have chosen".
In sports this goes with the territory, if the team goes in the crapper after the three kings leave and the pictures of the Miami Skyline become less frequent, and we only get mentioned on the Weather Channel for building a baseball stadium with a roof and air conditioning that can withstand a hurricane, and the Super Bowl disappears because we didn't build a roof with governmental help at Sunlife Stadium, I guess we will continue to use tourist taxes to subsidize cruise ship owners, hoteliers, and the rest of the tourist related businesses until global warming melts the polar ice caps and moves the beach front property much closer to my condo.
And on the horizon is David Beckham asking another venue for a soccer stadium, using World Cup fever to stir up the natives.
The Miami Heat in spite of having another great season whether they do or don't win the NBA championship have only paid the county its landlord for the Triple A Arena $257,134 in a profit sharing plan agreed to in 1997. Long story short, the Miami Heat paid for the building and is repaying itself about $14 million dollars a year from revenue it generates from game. Renovations and poor ticket sales can lower profits or actually cause losses which wipe out any money the County might expect for buying the land on which the stadium sits. Profit sharing only kicks in when net revenue exceeds $14 million.
In return for a new agreement, the team agrees to stay in Miami, continue to make improvements to the building and pay the County about $1 million, but the subsidy for the stadium would also go up and is projected to double
The whole thing is really financed by hotel tourist taxes and ticket sales.
How much having a winning basketball team in Miami is worth something but how you determine worth is a really subjective idea. The owner of the Miami Heat is taking some risks that Miami Dade County should not be taking.
LB, DW, CB have played in the NBA for a combined 33 years and it has only been during these latest championship years and the fact that the agreement is almost over that the profit sharing has kicked in.
Like it or not the negotiations on these kind of issues generate a steam which goes way beyond the owner, the value of the team, the building.
As it was said by the Meyer Lanskey in the Godfather, "This is the life we have chosen".
In sports this goes with the territory, if the team goes in the crapper after the three kings leave and the pictures of the Miami Skyline become less frequent, and we only get mentioned on the Weather Channel for building a baseball stadium with a roof and air conditioning that can withstand a hurricane, and the Super Bowl disappears because we didn't build a roof with governmental help at Sunlife Stadium, I guess we will continue to use tourist taxes to subsidize cruise ship owners, hoteliers, and the rest of the tourist related businesses until global warming melts the polar ice caps and moves the beach front property much closer to my condo.
And on the horizon is David Beckham asking another venue for a soccer stadium, using World Cup fever to stir up the natives.
Detroit's Silverdome and Houston's Astrodome aren't long for this world. The Miami Arena and The Orange Bowl are gone already. Nothing lasts forever and these days even a long time isn't as long as it once was.
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