Nelson Peltz interested in buying Islanders

[4Isles4*]

Brooklyn and Queens would give the Islanders fan base that is not close to the colisium an easier travel due to the railway...But Peltz has the money to funs a new arena in Nassua and the TOH is ok with a new Arena they just didnt approve Wangs Mega city.....

 

[Street Hawk]

Brooklyn and Queens would give the Islanders fan base that is not close to the colisium an easier travel due to the railway...But Peltz has the money to funs a new arena in Nassua and the TOH is ok with a new Arena they just didnt approve Wangs Mega city.....

But, with the new rink in Brooklyn, how many events could a new arena in TOH be able to book when competing with MSG and the new Barclay Center?

Is a performer like Beyonce, U2, etc. going to play in all 3 arenas when they do a tour?

If Peltz goes to the Barclay Center, he doesn't have to fork out any of his own money to play in a state of the art facility, which as I understand is being covered mostly by the city, with the Nets paying a smaller portion of the stadium.

Peltz would have to pay between 100 to 200 million dollars towards his own arena. Might be a better financial option to forgo some revenue from having his own arena to save on the construction costs.

 

[CorbeauNoir]

I'm just waiting for Wang's Charlton-Heston from-my-cold-dead-hands speech...

 

[cbcwpg]

I'm just waiting for Wang's Charlton-Heston from-my-cold-dead-hands speech...

I'm just waiting to see how the taxpayers of the area are going to be asked to pony up $197 million to either build a new building or buy the team and give it away. Since this is now the standard by which the NHL wants to do business.

 

[4Isles4*]

But, with the new rink in Brooklyn, how many events could a new arena in TOH be able to book when competing with MSG and the new Barclay Center?

Is a performer like Beyonce, U2, etc. going to play in all 3 arenas when they do a tour?

If Peltz goes to the Barclay Center, he doesn't have to fork out any of his own money to play in a state of the art facility, which as I understand is being covered mostly by the city, with the Nets paying a smaller portion of the stadium.

Peltz would have to pay between 100 to 200 million dollars towards his own arena. Might be a better financial option to forgo some revenue from having his own arena to save on the construction costs.

I dont disagree with you but there is a give an take in both scenarios... Peltz would have to share any revenue made from Islanders Games With the Russian Billionair and he probable wouldnt make any money off of other events...where as if he built a new state of the art arena in Nassua he would be the OWNER and take all revenue made from games and other events.....Its also my understanding that the Barclay center isnt constructed well for hockey games and they would have to make changes....Personally I dont care whether its brooklyn queenes or nassue as long as its a new arena for them to play in....

 

[Street Hawk]

I dont disagree with you but there is a give an take in both scenarios... Peltz would have to share any revenue made from Islanders Games With the Russian Billionair and he probable wouldnt make any money off of other events...where as if he built a new state of the art arena in Nassua he would be the OWNER and take all revenue made from games and other events.....Its also my understanding that the Barclay center isnt constructed well for hockey games and they would have to make changes....Personally I dont care whether its brooklyn queenes or nassue as long as its a new arena for them to play in....

I would be surprised and very disappointed if the Barclay Center, which is going to cost $800 million would close itself off to the possibility of landing an NHL franchise to occupy another 44-45 dates each year, plus more for any playoffs.

 

[HockeyTalkey]

No team in pro sports needs a new owner (and a new arena) more than the NYI.....It's a shame how far in the toilet this franchise has gone.

 

[kdb209]

I would be surprised and very disappointed if the Barclay Center, which is going to cost $800 million would close itself off to the possibility of landing an NHL franchise to occupy another 44-45 dates each year, plus more for any playoffs.

Support for an NHL team was reportedly dropped when they replaced Frank Gehry and opted for a $200M cheaper design.

C & P from some earlier Lighthouse et al threads:

The last published media reports - from last June, when Ratner fired Frank Gehry and scaled down the arena design for cost reasons - indicated that the new design would not support an NHL team.

http://www.nytimes.com/2009/06/05/nyregion/05gehry.html

Developer Drops Gehry’s Design for Brooklyn Arena

By CHARLES V. BAGLI
Published: June 4, 2009

Citing financial concerns, the developer of the long-delayed Atlantic Yards project in Brooklyn has scrapped plans for a Frank Gehry-designed $1 billion glass-walled basketball arena for the Nets in favor of a less expensive arena.

The new design, which will cost about $200 million less, comes from Ellerbe Becket, an architectural firm based in Kansas City, Mo., that specializes in convention centers, stadiums and arenas and designed Conseco Fieldhouse in Indianapolis, where the Indiana Pacers play. Officials who have seen the design say that while it resembles Conseco Fieldhouse it also bears a likeness to an “airplane hangar.â€

The developer of Atlantic Yards, Bruce C. Ratner, the chief executive of Forest City Ratner, scrapped Mr. Gehry’s plans primarily for economic reasons.

...

If the arena is built, however, it will most likely take more than two years to complete. Unlike the Gehry design, the new arena would not accommodate a professional hockey team.

Financing documents filed in December suggested that the Islanders could be a tenant. Not sure exactly how, but it looks like they tweaked the revised design yet again.

http://www.nypost.com/p/nets_half_off_at_brooklyn_arena_Fn7k4wmOcWMIHSWK8Uts5H

I don't know why they would specifically mention the Islanders as a possible tenant if the arena couldn't physically hold them.

The question is then - what is the deadline to make the necessary architectural changes to the Barclays Center to allow it to support an NHL team (at some increase in costs) - and how does that line up with the Lighthouse decision process and Wang finally throwing his hands up in disgust.

“The New York Islanders could potentially become a tenant†at the Barclays Center, the document says.

But there’s one problem: When Ratner spiked Gehry’s original arena plan for a cheaper design, the size of the arena’s playing area was a casualty, and, as planned, it’s no longer wide enough to host pro hockey games.

However, with shovels yet in the ground anything could change, and Borough President Marty Markowitz told the Post in October that Brooklyn wants the lslanders.

 

[4Isles4*]

I would be surprised and very disappointed if the Barclay Center, which is going to cost $800 million would close itself off to the possibility of landing an NHL franchise to occupy another 44-45 dates each year, plus more for any playoffs.

They would need a commitment from the Isles first....of course the The OWNER Of the Barclay center would want this...but why make the changes if the isles get an arena deal somwhere else? IMO they should go to Brooklyn because the constructin has started and there is a DEFINITE new site available to play in....charles wang or mayby Peltz would just have to work out the deal to land them there....And the deal would not take as long as many think....Brooklyn wants this and alot of Isles fan want this.....Im not prepared for the Isles to leave NEW YORK....so I jump on this yesterday.....

 

[CREW99AW]

I'm just waiting for Wang's Charlton-Heston from-my-cold-dead-hands speech...

Here ya go.




http://www.newsday.com/long-island/nassau/islanders-not-for-sale-wang-insists-1.2567094
"We are working very hard to try and keep the team on Long Island because that's my home," he said in a rare, nearly hourlong interview on Sirius XM Satellite Radio. "That's where it belongs."


"If it doesn't work out on Long Island [at the current site], I'd like to be close enough so I can commute to the game and go to all the home games as best I can," he said. "If it's Queens, great. If it's Suffolk, great. Obviously we want to be in this area because it's our home."

So, Wang is not looking to sell the team? "No," he said. "It's not for sale."

 

[Mr Atoz*]

deja vu anyone

wang was the white knight riding in to save the day in 1999

Not to mention the legions before him.

 

[Net Income]

Brooklyn and Queens would give the Islanders fan base that is not close to the colisium an easier travel due to the railway...But Peltz has the money to funs a new arena in Nassua and the TOH is ok with a new Arena they just didnt approve Wangs Mega city.....

Here's the issue with Barclays Center. It is a very tight bowl, very much basketball-centric. It is designed to permit the installation of a hockey pad...they will host college hockey games. Here's the "But": with the pad, the arena capacity shrinks to 14,500 and there is no way the NHL is going to have a team move into an arena that can seat that few people. That's considerably less than Nassau Coliseum...and much, much less than new arenas like the Prudential Center or the Sprint Center.

 

[Jeffrey93]

Here's the issue with Barclays Center. It is a very tight bowl, very much basketball-centric. It is designed to permit the installation of a hockey pad...they will host college hockey games. Here's the "But": with the pad, the arena capacity shrinks to 14,500 and there is no way the NHL is going to have a team move into an arena that can seat that few people. That's considerably less than Nassau Coliseum...and much, much less than new arenas like the Prudential Center or the Sprint Center.

The Winnipeg folks on these boards are gonna get along with you really well!

 

[Mr Atoz*]

Brooklyn and Queens would give the Islanders fan base that is not close to the colisium an easier travel due to the railway...

Only if you live in Brooklyn or Queens. Which is Ranger country.

 

[danny1970]

Here's the issue with Barclays Center. It is a very tight bowl, very much basketball-centric. It is designed to permit the installation of a hockey pad...they will host college hockey games. Here's the "But": with the pad, the arena capacity shrinks to 14,500 and there is no way the NHL is going to have a team move into an arena that can seat that few people. That's considerably less than Nassau Coliseum...and much, much less than new arenas like the Prudential Center or the Sprint Center.

The Nassau Coliseum seats 16,250 for Hockey right now. The Barclays Center could work for the NY Islanders in spite of the small capacity for Hockey there (14,500). You have to believe Bruce Ratner, Brett Yormark, and Mikhail Prokhorov are working hard behind the scenes to convince the NHL that having the Islanders into that building as soon as its finished is very benefical for the league.

In Russia, Hockey is a much bigger deal than Basketball. Though says no right now on hockey, don't think for one second Prokhorov isn't going to be a player in this, because he will be and a big one to boot. You can bet Wang and/or Peltz are looking at the Barclays Center very closely.

 

[Jeffrey93]

The Nassau Coliseum seats 16,250 for Hockey right now. The Barclays Center could work for the NY Islanders in spite of the small capacity for Hockey there (14,500). You have to believe Bruce Ratner, Brett Yormark, and Mikhail Prokhorov are working hard behind the scenes to convince the NHL that having the Islanders into that building as soon as its finished is very benefical for the league.

In Russia, Hockey is a much bigger deal than Basketball. Though says no right now on hockey, don't think for one second Prokhorov isn't going to be a player in this, because he will be and a big one to boot.

I

They gave up on hockey when they changed the design of the Barclay's Center to not be capable of holding hockey at a regular capacity. I doubt the league will dangle the carrot in front of Brooklyn like they are doing with Winnipeg. Before you know it London's John Labatt Centre (9,100) will be 'NHL calibre'.

It's a step backward. Saying the MTS Centre in Winnipeg (15,015) is to NHL standards is really pushing it....continuing to go smaller than that is getting into the 'absurd' category.

E

 

[4Isles4*]

Only if you live in Brooklyn or Queens. Which is Ranger country.

my point is there are many isles fans in the city that cant make it to Nassua....it would be easier for them to travel via Train...same goes for Suffolk fans

[mod delete]

 

[cbcwpg]

They gave up on hockey when they changed the design of the Barclay's Center to not be capable of holding hockey at a regular capacity. I doubt the league will dangle the carrot in front of Brooklyn like they are doing with Winnipeg. Before you know it London's John Labatt Centre (9,100) will be 'NHL calibre'.

It's a step backward. Saying the MTS Centre in Winnipeg (15,015) is to NHL standards is really pushing it....continuing to go smaller than that is getting into the 'absurd' category.

E

The problem is that people look at attendance as being the end all, but its not. Its not a question of how many people attend a game per say, but how much they pay.

I can guarantee you that if you owned an NHL team and they were playing out of the John Labatt Centre , you could make more money than a third of the teams in the NHL today, no question. Charge an average ticket price double the NHL average and you are off to the races, and in that market you would have no problem selling out. And even at an average of $106, its still cheaper than the Leafs.

So if making money is whats at issue, than the JLC is up to NHL standards, and if a smaller arena in NYC can charge more and still draw, maybe it will work..

 

[Jeffrey93]

The problem is that people look at attendance as being the end all, but its not. Its not a question of how many people attend a game per say, but how much they pay.

I can guarantee you that if you owned an NHL team and they were playing out of the John Labatt Centre , you could make more money than a third of the teams in the NHL today, no question. Charge an average ticket price double the NHL average and you are off to the races, and in that market you would have no problem selling out. And even at an average of $106, its still cheaper than the Leafs.

So if making money is whats at issue, than the JLC is up to NHL standards, and if a smaller arena in NYC can charge more and still draw, maybe it will work..

Ahhh yes...this theory. Wouldn't an arena with a capacity of 500 be the crown jewel of the league then?! Imagine how much you could charge for those 500 tickets!!! You'd be basically printing money!!

Makes me wonder why Apple didn't only make a couple dozen iPhones and just charge a bundle for them.

There is money to be made in the masses. I'll use London...$106 average ticket price (which that market probably wouldn't handle for very long) would mean around $964,600 a game in revenue.
An 18,500 seat arena with the league average of $52 a seat brings in $962,000.

Oh my! London made more! But....when I'm in that 18,500 seat arena and I run my business well so I can start having an average ticket price of $64...I'd be bringing in $1,184,000 a game. Meanwhile you couldn't possibly think of jacking your tickets up to average much more than you're already at. You're maxed and making $964,600....I'm not maxed and at the league average in pricing. Which means I could, if things go perfectly, someday get to averaging $80 or $90 a ticket and bringing in $1,665,000 a game. For you to do that you would need to charge an average of $182 a seat in London, Ontario. Good luck with that, you will never have the potential revenue that my larger arena does.

The same thing works for Barclays and MTS....compared to the typical 18,000 seat arena. Markets will only take so much before they stop paying more and more. Which is where my arena of 500 seats example comes in.

In theory I could make the same as a 9,100 seat arena, a 14,500 seat arena, a 15,015 arena and a 18,500 seat arena. But when tickets are $2,250 a pop....it'll be hard work to keep them sold and there is no chance I'll be able to charge more to increase my revenues....while the guy in an 18,500 seat arena can.

 

[Street Hawk]

The Nassau Coliseum seats 16,250 for Hockey right now. The Barclays Center could work for the NY Islanders in spite of the small capacity for Hockey there (14,500). You have to believe Bruce Ratner, Brett Yormark, and Mikhail Prokhorov are working hard behind the scenes to convince the NHL that having the Islanders into that building as soon as its finished is very benefical for the league.

In Russia, Hockey is a much bigger deal than Basketball. Though says no right now on hockey, don't think for one second Prokhorov isn't going to be a player in this, because he will be and a big one to boot. You can bet Wang and/or Peltz are looking at the Barclays Center very closely.

I honestly don't get why any investor building a mulit-purpose facility (NBA/NHL) size, wouldn't make their arena accommodate the standard 18K for each sport. Just doesn't make any business sense to me.

They knew that the Isles need to move out of the Nassau Coliseum in 2015 to a new arena, so they should have kept that possibility of a move open.

It's probably too late in the game to change the plans.

But, if it were my money, I'd rather have a less Super NBA setting and have a very good NBA/NHL setting.

Brooklyn is a market that the NHL would go to. It's not Indiana and Conseco Fieldhouse where the NHL won't be going to. That arena, I fully understand why it is tailored to basketball.

 

[frontsfan2005]

Wasn't Peltz going to be Rod Bryden's secret partner right before the Ottawa Senators went bankrupt?

 

[Steve55]

I think it's more likely that Peltz is trying to buy the Islanders at a low price and Wang should not consider it at all. Also, I think it's more likely Wang is working with the Mets to either plan a new arena next to Citi Field or an alleged feasibility study on the Islanders arena next to citi Field is still going on.

 

[cbcwpg]

Ahhh yes...this theory. In theory I could make the same as a 9,100 seat arena, a 14,500 seat arena, a 15,015 arena and a 18,500 seat arena. But when tickets are $2,250 a pop....it'll be hard work to keep them sold and there is no chance I'll be able to charge more to increase my revenues....while the guy in an 18,500 seat arena can.

As a blanket statement I agree with you, bigger is better, except the problem in the NHL is every market is different as to what arena size is best for that market. Lets use a 20,000 seat arena as an example, and lets put that arena in 3 different markets... Toronto, Winnipeg, Phoenix. What happens.

Toronto - because of the high demand and population size that supports hockey, this arena will sell out. And as you say, you will be able to raise prices over time to increase revenues without losing people.

Winnipeg - Given the smaller population and still high demand for watching hockey, this arena will average 16,000 people with people sitting in a random sampling of seats ( some expensive because people still want to sit by the glass and some in the cheap seats ). Tougher market to increase prices in ( with the 20,000 seat arena) because you have 4,000 unsold seats to every game. This is why a smaller building which decreases supply and increase base ticket prices is TNSE's business plan. If they ever get a team we will see how it works.

Phoenix - given the large population that doesn't care to watch hockey and based on historical attendance, Phoenix will have 15,000 people attend the game, but they will all jam themselves into the upper deck ( because it is cheaper ) and nobody will be sitting in the 5,000 expensive seats. Does having a smaller building and raising the prices in Phoenix work? IMO nothing in Phoenix is going to work, but I guess Hulsizer will find out.

So the same building in 3 different markets gives each owner a different business model ( or problem ) to work with. The point is you have to build or do what works for your market. They are all different.

Back to the NYI.. if the NYI have to move somewhere else in the NY area and the only arena available to them is a smaller building for hockey, the NHL will have no problem letting them move because the NHL is not going to let a team leave the NY market.

 

[C77]

I hope there is a new owner for the Islanders soon.

It is a shame that success on the ice only seems to matter to the fans.

Long term it is a very good thing that Long Island itself (geographically) has 7.5 million people.

The NHL saved the teams in declining rust belt cities like Buffalo/Pittsburgh, so if push comes to shove the Islanders should get the same treatment....the franchise is a potential gold mine.

 

[danishh]

Wasn't Peltz going to be Rod Bryden's secret partner right before the Ottawa Senators went bankrupt?

yes, he was. Peltz' son is also a sens 7th round draft pick.