ECHL in Reno
- Thread starter ADK34
- Start date
RickyHP
Registered User
I'm currently living here in Reno. Our city council recently approved a 10 year agreement for a minor league hockey club starting 2018. Thats all i know and im stoked.
ADK34
Registered User
The ECHL has not made it official yet and plus, where would they play? Reno Events Center?
PCSPounder
Stadium Groupie
royals119
Registered User
I found this quote interesting:
.
I'm assuming those figures don't include the $5.7 million in upgrades to the Reno Events Center that the city is asking the hockey team to pay for. A quick calculation shows $55,000 a month on a $5.7 million loan, assuming they finance the renovations over ten years and get a low interest rate. (10 years is the length as the proposed lease, I assume a bank wouldn't finance a loan like that if the term is longer than the building lease).
Arena capacity is 5000, so if they break even at 3000, the max profit per game is 2000 tickets x ~$12 average per ticket = $24,000 per game x 36 games = $864,000 for the season. That would cover the loan payments and leave $200,000 profit for the year. I would assume a developer would be looking to turn a significant profit on a deal like this, especially with a big risk involved.
The team was seeking to take over management of the building as part of the deal, so maybe they would be able to use profits from other events toward the debt service on the arena upgrades? They would still need to book a lot more concerts to cover those costs plus leave enough profit to make it worthwhile, and no guarantees in that business either. They could be looking to be able to operate other businesses, like restaurants or retail space attached to or nearby the arena, hoping the increased traffic of having people there to watch games and concerts would make it work.
I would be they want the city will need to come up with a hotel tax or sales tax or some other financing option to pay toward the renovation costs, and that is where the holdup is.
JMCx4
Censorship is the Sincerest Form of Flattery
I wish someone would tell the Florida ECHL teams that fans expect a $12 average price point for tickets. They're at AHL prices right now.
royals119
Registered User
Yeah, their prices are a little high. Just a quick estimate, looks like average there is $25, and average for Royals is ~$18.50, but the Royals have a larger section of "cheap seats" that can be had for $12 as walkup and $7 per game as a STH. Even though they are the lower price, they are also the last to sell, so in my example I was assuming the same - that they would sell more of the higher price seats to the base fans and the lower price seats would be harder to sell (which is why they are cheap in the first place - high up on the ends, behind the nets)
I think Reno residents want an AHL team more. What could happen is the NHL adds Milwaukee who takes the Wolves off the Knights' hands (which makes sense due to proximity), and the 32nd AHL team is awarded to Reno as the Knights' new affiliate.
JMCx4
Censorship is the Sincerest Form of Flattery
Some folks believe a Milwaukee NHL franchise award would be vetoed by Chicago (due to proximity). I'll add that they'd need a new arena to play in. Better get humpin'.
that isn't a realistic idea, Z.... YOU'RE forgetting Nashville has a distinct say over a PDC, AND the great relationship the two has had since the demise of the IHL....
THAT'S WHY you're seeing Colorado acquire the 31st franchise and promoting the Eagles up... 32 is now likely Seattle
Ad
Latest posts
-
GDT: Game 82: Edmonton Oilers @ Arizona Coyotes | 7:00 p.m. AZST | Scripps- Latest: GiveAFlyingPuck
-
-
-
Series Talk: Leafs vs Bruins - 'ah shit here we go again' edition- Latest: BertCorbeau
