Viola's Latest Letter to Fans

[ucanthanzalthetruth]

For the record, I still think the County and the Cats will come to a compromise on the money they are asking for, it's very concerning to me though that the Cats are moving with no urgency to get a deal done before elections, when pro panther councilors are going to be removed for councilors who don't want to give them money.

 

[CoolburnIsGone]

For the record, I still think the County and the Cats will come to a compromise on the money they are asking for, it's very concerning to me though that the Cats are moving with no urgency to get a deal done before elections, when pro panther councilors are going to be removed for councilors who don't want to give them money.

I dont know if they really will come to that compromise. I absolutely wouldnt be optimistic it happens anytime soon either way. Also I think the county isnt moving with any urgency either as those councilors that want to get re-elected are not going to include a buyout for the team on their resume before elections.

 

[EnforceTheLaus]

I dont know if they really will come to that compromise. I absolutely wouldnt be optimistic it happens anytime soon either way. Also I think the county isnt moving with any urgency either as those councilors that want to get re-elected are not going to include a buyout for the team on their resume before elections.

Well the county guy will give a projected number for the cost of the county maintaining an empty arena (yearly and long term) and the county will put up an number under that. Question is how much will it cost the county if the arena would be idle and run by an AOC with no main tenant to draw other bookings, plus things like land value going down, decreased revenue at Sawgrass etc, etc, etc. It won't be 70 mil sure, but it won't be cheap either

 

[ucanthanzalthetruth]

I dont know if they really will come to that compromise. I absolutely wouldnt be optimistic it happens anytime soon either way. Also I think the county isnt moving with any urgency either as those councilors that want to get re-elected are not going to include a buyout for the team on their resume before elections.

Meh I've been talking to local media from GR to the local political reporters, they're saying they'd be shocked if the Panthers got everything, but equally surprised if they got nothing. It would be interesting if it wasn't our team

 

[CoolburnIsGone]

Well the county guy will give a projected number for the cost of the county maintaining an empty arena (yearly and long term) and the county will put up an number under that. Question is how much will it cost the county if the arena would be idle and run by an AOC with no main tenant to draw other bookings, plus things like land value going down, decreased revenue at Sawgrass etc, etc, etc. It won't be 70 mil sure, but it won't be cheap either

Absolutely but they're also get a number based on the team (if they relocated) having to buy out the remaining years of the lease (currently 14 left but figure they wont be leaving this season obviously so anything at 13 yrs or less). That amount could be a large sum of money, enough to cover the possible losses of maintaining "an empty" arena for a period of time.

As far as your question goes, you're assuming the arena cant function without a main tenant, its not like the Jehovah's Witness convention being held there for the next 2 yrs (in addition to this past summer) would care about the hockey team being there. The ability to draw other bookings from promoters may not be as bad as the team projects it to be (I dont know, maybe it would). I mean I remember last season them selling $5 seats to Bon Jovi and constantly struggling to sell out concerts. Is the team really helping the promoters that much with those prices or is it just false threats? Also the land doesnt become less valuable because there is no main tenant. If anything, the land could become more valuable once the arena debt is paid off and the land could be redeveloped for other purposes. The thing that you could count on is the loss of jobs at the arena will have a cost associated with it but who knows how much that is worth. I'm definitely curious to see the report when it comes out from that consultant.

Meh I've been talking to local media from GR to the local political reporters, they're saying they'd be shocked if the Panthers got everything, but equally surprised if they got nothing. It would be interesting if it wasn't our team

Thing is that local media arent involved in the negotiations. They're guessing like all of us too. But I agree that they may get something from the county. I just dont know if that will be enough for them to stem the tide of losses if the team continues to lose close to $20M/yr.

 

[HockeyRulez]

I believe this is the Score article headline that was mentioned before:

http://www.thescore.com/nhl/news/581264

 

[IM Clutcm]

I believe this is the Score article headline that was mentioned before:

http://www.thescore.com/nhl/news/581264

Thank you. I don't know why it was so elusive when I was looking lol.

On a related note, **** these idiots that are so desperate to drum up interest from the relocation trolls that they'll take anything out of context for a "catchy" headline. It disgusts me. Whenever there's a slow day of hockey news, I swear that these jackaloons look at each other, say "Panthers", smirk, then get right to work on making something that's just not accurate.

 

[ucanthanzalthetruth]

Thing is that local media arent involved in the negotiations. They're guessing like all of us too. But I agree that they may get something from the county. I just dont know if that will be enough for them to stem the tide of losses if the team continues to lose close to $20M/yr.

Right. No one really knows what's going to happen long term except for Viola. Would still be surprised if they get nothing. We will see in well I guess it'll be November now at the earliest.

Thank you. I don't know why it was so elusive when I was looking lol.

On a related note, **** these idiots that are so desperate to drum up interest from the relocation trolls that they'll take anything out of context for a "catchy" headline. It disgusts me. Whenever there's a slow day of hockey news, I swear that these jackaloons look at each other, say "Panthers", smirk, then get right to work on making something that's just not accurate.

It's 21st century journalism. Clickbait.

 

[King Panther]

All the other so fla teams are mediocre to crappy. If the panthers start winning then theyll stay. If they dont then theyll be moved sooner or later. Regardless, as a california resident, i dont care where they go. And dont have much sympathy for most so fla panthers fans as i know tickets are dirt cheap yet many of you dont go to games or buy merch. but for those of you loyal faithful who do financially support the team, i hope things work out for you.

 

[BillDineen]

Panther's fans. I have traded Nymex futures for 15 years including when Vinny was on the floor. Do not believe a word that comes out of his mouth. If it is not profitable or he sees a light at the end of the tunnel he will sell the team in a heartbeat.

 

[ucanthanzalthetruth]

Panther's fans. I have traded Nymex futures for 15 years including when Vinny was on the floor. Do not believe a word that comes out of his mouth. If it is not profitable or he sees a light at the end of the tunnel he will sell the team in a heartbeat.

He's already essentially said he's going to move the team if nothing changes after giving them a good chance too succeed, please explain to me where he's lied so far, or not been honest, since he took over control over in 2013? (Genuinely curious)

1. Said he'd change business practices- changed them
2. Said he'd spend on free agents- Spent
3. Said this team cannot continually lose money, and hopes that a good team will turn it around and be profitable, because the current trend cannot continue- well this is kinda happening, remains to be seen how good the team is.

 

[SufferingCatFan]

Vinny paid a discounted price of around $250 million last year for a struggling franchise, $200 million less than recently paid for the Islanders, another struggling franchise in a much better market. One of the reasons for the discounted price was the 14 years remaining on the ironclad lease between the Panthers and Broward County, which is both a blessing and a curse (i.e. costs nothing, brings in event revenues to offset hockey losses, but restricts ability to move team).

For the reasons stated above, the Panthers area going nowhere in the near term unless Broward County agrees to allow a buy-out on the lease, which is certainly a potentially viable option.

 

[jol]

Vinny paid a discounted price of around $250 million last year for a struggling franchise, $200 million less than recently paid for the Islanders, another struggling franchise in a much better market. One of the reasons for the discounted price was the 14 years remaining on the ironclad lease between the Panthers and Broward County, which is both a blessing and a curse (i.e. costs nothing, brings in event revenues to offset hockey losses, but restricts ability to move team).

For the reasons stated above, the Panthers area going nowhere in the near term unless Broward County agrees to allow a buy-out on the lease, which is certainly a potentially viable option.

The buyout seems to be rather "small", rest of annual dept payments, about $63 million and I don't think team needs county to agree:
http://www.miamiherald.com/sports/nhl/florida-panthers/article3073133.html

JOL

 

[Laus723]

Jol always seems like he's almost cheering on the team moving. Lol

An exec with the team met with the Boosters Tuesday night to address all these rumors. He said quite a bit, from what I've been told, but the main thing my roommate took away was that the owners have moved their families here, this is what they want to do, and they realize it's going to take time. They were clear on the franchise's history and what they were getting into. I'll take them at their words.

 

[IM Clutcm]

If the team moves, it certainly wouldn't be the first time a Wall Street fellow lied, but I'm inclined to believe them at this point. They've done nothing but say that this is a team that belongs in South Florida and it's their intention to keep it here. I'm of the mindset that they knew what they were getting into and weren't looking to buy the team for a year or two and flip it for a profit. It's unlikely that they could sell the team for a profit at this point, anyway. But maybe I'm just hopeful.

 

[SufferingCatFan]

The buyout seems to be rather "small", rest of annual dept payments, about $63 million and I don't think team needs county to agree:
http://www.miamiherald.com/sports/nhl/florida-panthers/article3073133.html

JOL

Do not believe everything you read, especially when the quoted source is a County commissioner.

The lease is non-terminable , except presumably in bankruptcy. The base rent is subject to escalators depending upon Panther's annual revenue and other factors, which make the full rental payment a matter of speculation.

 

[jol]

Do not believe everything you read, especially when the quoted source is a County commissioner.

The lease is non-terminable , except presumably in bankruptcy. The base rent is subject to escalators depending upon Panther's annual revenue and other factors, which make the full rental payment a matter of speculation.

If that's the case, why county is hiring these consultants to find out what would be economical impact if team were to leave. Just leave things as they are. Let team and owners ask more money from NHL like Coyotes is getting.

JOL

 

[ucanthanzalthetruth]

Vinny paid a discounted price of around $250 million last year for a struggling franchise, $200 million less than recently paid for the Islanders, another struggling franchise in a much better market. One of the reasons for the discounted price was the 14 years remaining on the ironclad lease between the Panthers and Broward County, which is both a blessing and a curse (i.e. costs nothing, brings in event revenues to offset hockey losses, but restricts ability to move team).

For the reasons stated above, the Panthers area going nowhere in the near term unless Broward County agrees to allow a buy-out on the lease, which is certainly a potentially viable option.

Islanders tv deal in Brooklyn is amazing, couple it with the fact that they're moving to an arena that's easy to get to by public transport and it's a fair deal.

Do not believe everything you read, especially when the quoted source is a County commissioner.

The lease is non-terminable , except presumably in bankruptcy. The base rent is subject to escalators depending upon Panther's annual revenue and other factors, which make the full rental payment a matter of speculation.

I have no idea if the lease is non-terminable, but I'm inclined to believe that the County wouldn't care if the team leaves so long as they're paid what remains on the Panthers debt.

Jol always seems like he's almost cheering on the team moving. Lol

An exec with the team met with the Boosters Tuesday night to address all these rumors. He said quite a bit, from what I've been told, but the main thing my roommate took away was that the owners have moved their families here, this is what they want to do, and they realize it's going to take time. They were clear on the franchise's history and what they were getting into. I'll take them at their words.

I think Jol is more based in reality. It doesn't look too good for the team, even less so if the County declines to work with the Panthers (we'll see what happens in May, but I think there's a good chance this happens). The Panthers to QC isn't happening, but if the County doesn't work with them, I have doubts that they'll be here in 3-5 years. But anything can happen, I'm sure after winning their 3rd straight Cup in 2017 they won't be in danger of moving

 

[CoolburnIsGone]

The buyout seems to be rather "small", rest of annual dept payments, about $63 million and I don't think team needs county to agree:
http://www.miamiherald.com/sports/nhl/florida-panthers/article3073133.html

JOL

Some interesting elements in this article. Here's the ones that I found particularly interesting and related to the consultant report that will investigate whether the arena could operate without the Panthers:

...an estimated $8.4 million obligation in property insurance

Non-hockey events have netted the Panthers more than $127.5 million in profits over the arena’s first 16 years, county officials estimate.

So by my math, the non-Panthers events averaged just under $8M/yr in profits which means the county would need to come up with just an additional $400K to meet the property insurance to break even. Assuming the Panthers are no longer there, I think they could realistically cover that with a fraction of the dates they currently dedicate to the Panthers currently. I really dont see how that consultant's report won't come to a similar conclusion.

 

[SufferingCatFan]

If that's the case, why county is hiring these consultants to find out what would be economical impact if team were to leave. Just leave things as they are. Let team and owners ask more money from NHL like Coyotes is getting.

JOL

That study is being generated in response to the request by the Panther's for rent abatement and for a bed tax increase to provide an additional cash payer subsidiary.

 

[CoolburnIsGone]

That study is being generated in response to the request by the Panther's for rent abatement and for a bed tax increase to provide an additional cash payer subsidiary.

Are you sure you're reading the same requests by the Panthers that everyone else is? The request has nothing to do with rent abatement. The majority of the requests involve 3 things to get to that $78.4M amount...being relieved of the remaining debt owed on the construction costs (about 63M), relief from the property insurance (8.4M) and relief on payments expected to be allocated to an arena maintenance fund (7M). The study is being generated in response to the comments by Cifu and Babich that said "the current business model is not sustainable". There's zero chance the Panthers will get more of the bed tax when the county already has figured out that about 30,000 room nights are related to all events at the arena annually and there are over 8 million room nights per year sold.

 

[SufferingCatFan]

Are you sure you're reading the same requests by the Panthers that everyone else is? The request has nothing to do with rent abatement. The majority of the requests involve 3 things to get to that $78.4M amount...being relieved of the remaining debt owed on the construction costs (about 63M), relief from the property insurance (8.4M) and relief on payments expected to be allocated to an arena maintenance fund (7M). The study is being generated in response to the comments by Cifu and Babich that said "the current business model is not sustainable". There's zero chance the Panthers will get more of the bed tax when the county already has figured out that about 30,000 room nights are related to all events at the arena annually and there are over 8 million room nights per year sold.

You are correct. Those items are technically not "rent abatement." They are classified for accounting purposes as different forms of annualized payment obligations owed by the Panthers , which the team seeks to abate or terminate. That said, the effect from a cash-flow perspective is the same, since each item represents money that the Panthers must pay out-of-pocket on an annualized basis.