Just ran across this. I don't recall seeing it before.

http://www.localmemphis.com/news/liberty...y-for-city

I did my part in pronto pups and beer.

Looks like the rent needs to go up. And you know what else

i wonder who we have to thank for this

(02-03-2016 05:58 PM)Downtown Tiger Wrote:  Looks like the rent needs to go up. And you know what else

I think it is only a matter of time. We have a really good deal right now.

More failed static economy business models. May have been a net OPERATING LOSS. But the city does not lose money on the stadium. The revenue in the economy generated by events at the stadium more than makes up for the operating loss. If the city gets out of the stadium business then some events will cease operations and the revenue generated by these events will be lost.

(02-03-2016 07:47 PM)ncrdbl1 Wrote:  More failed static economy business models. May have been a net OPERATING LOSS. But the city does not lose money on the stadium. The revenue in the economy generated by events at the stadium more than makes up for the operating loss. If the city gets out of the stadium business then some events will cease operations and the revenue generated by these events will be lost.

The bowl game and the classic?

Can we get The Stones to play it again?

(02-03-2016 10:47 PM)Tgrrfan Wrote:  Can we get The Stones to play it again?

No, weed will not grow at the stadium after the concert due to Field Turf

(02-03-2016 09:37 PM)3601 Wrote:  

(02-03-2016 07:47 PM)ncrdbl1 Wrote:  More failed static economy business models. May have been a net OPERATING LOSS. But the city does not lose money on the stadium. The revenue in the economy generated by events at the stadium more than makes up for the operating loss. If the city gets out of the stadium business then some events will cease operations and the revenue generated by these events will be lost.

The bowl game and the classic?

This years Libertybowl saw the largest economic impact of any sporting event in Memphis history. Beale street also saw record revenue from the tourist. While the SHC had a smaller, but still significant economic impact. The money these two events alone bring into the Memphis economy more than offsets the operational loss of the stadium. Money which would not exist if the city was not in the stadium business.

If Tigers football continue to improve and crowd keep increasing then the operating loss will be eliminated. One of the prime reason we should not have an OCS is we took could be having to eat the operating losses but would not get the benefits of economic impact and tax revenues generated that the city gets to offset those operating losses. .

(02-04-2016 03:36 AM)ncrdbl1 Wrote:  

(02-03-2016 09:37 PM)3601 Wrote:  

(02-03-2016 07:47 PM)ncrdbl1 Wrote:  More failed static economy business models. May have been a net OPERATING LOSS. But the city does not lose money on the stadium. The revenue in the economy generated by events at the stadium more than makes up for the operating loss. If the city gets out of the stadium business then some events will cease operations and the revenue generated by these events will be lost.

The bowl game and the classic?

This years Libertybowl saw the largest economic impact of any sporting event in Memphis history. Beale street also saw record revenue from the tourist. While the SHC had a smaller, but still significant economic impact. The money these two events alone bring into the Memphis economy more than offsets the operational loss of the stadium. Money which would not exist if the city was not in the stadium business.

If Tigers football continue to improve and crowd keep increasing then the operating loss will be eliminated. One of the prime reason we should not have an OCS is we took could be having to eat the operating losses but would not get the benefits of economic impact and tax revenues generated that the city gets to offset those operating losses. .

OCSs in many examples are big money makers (or revenue savers) & in most areas pay for themselves because they have much more use for campus concerts, graduations, etc. & they bring alumni & fans on campus where they invest in the university at a much higher rate than when off-campus facilities are used - and with the addition of stadium suites derive substantial revenue & appeal to a much large group of potential benefactors. Among the problems of the LBS is that it HAS NEVER generated any development in 50+ yrs in the surrounding area. The original idea of the LBS was to have a venue to host UTK, OM & UA regional games while using our university to foot the bill. It's financial model has failed miserably.

Personally I like the stadium & it's excellent seat viewing but it will always be a financial drain to the city. The issue is control but the reality is that the city property tax base would soar with an OCS on the main campus with substantial private redevelopment of the Highland/Normal area if the city would just get out of the stadium business when the useful life of the LBS is done & leave the university to build & control its OCS that could be rented out of functions like the LB Classic, the SHC, etc. In summary, the LBS will always be a drain on city finances. Time for the city to get out of the stadium business given the city will never get a pro franchise to occupy it.

(02-04-2016 03:36 AM)ncrdbl1 Wrote:  

(02-03-2016 09:37 PM)3601 Wrote:  

(02-03-2016 07:47 PM)ncrdbl1 Wrote:  More failed static economy business models. May have been a net OPERATING LOSS. But the city does not lose money on the stadium. The revenue in the economy generated by events at the stadium more than makes up for the operating loss. If the city gets out of the stadium business then some events will cease operations and the revenue generated by these events will be lost.

The bowl game and the classic?

This years Libertybowl saw the largest economic impact of any sporting event in Memphis history. Beale street also saw record revenue from the tourist. While the SHC had a smaller, but still significant economic impact. The money these two events alone bring into the Memphis economy more than offsets the operational loss of the stadium. Money which would not exist if the city was not in the stadium business.

If Tigers football continue to improve and crowd keep increasing then the operating loss will be eliminated. One of the prime reason we should not have an OCS is we took could be having to eat the operating losses but would not get the benefits of economic impact and tax revenues generated that the city gets to offset those operating losses. .

Are you really that misguided about the OCS. Obviously it's not happening anytime soon if ever but for the same reason you make for the Liberty Bowl having a non static economic impact by bringing in people from outside, the OCS will bring people back to campus who will then reconnect and relate to what's happening in campus transformation and will donate in many ways both athletically and academically many times over an operating loss. That's the whole point people miss. Kids get to see and feel the nostalgia of where their parents went to class and hung out and then they grow up wanting the same. You tune get legacy students who donate later as well. It's not rocket science and it's a total travesty it probably will never happen

they could double our rent, and we'd still be getting a good deal...

Memphis pays 35,000 per game, and 25,000 per game to use the video board, and PA system.

USF pays 145,000 per game, plus a 2.50 ticket fee that goes to stadium maintenance

Temple pays the Eagles 1 million per season, for 6 guaranteed home games...Eagles want to double Tempe's rent to 2 million per year.

we're pretty damn lucky with LBMS

I blame those of you who sneak in your own booze.

Freeloaders.

(02-03-2016 06:06 PM)3601 Wrote:  

(02-03-2016 05:58 PM)Downtown Tiger Wrote:  Looks like the rent needs to go up. And you know what else

I think it is only a matter of time. We have a really good deal right now.

a couple of bad crowds this year. Another couple of Navy, Cincy and Ole miss turnouts might have made the difference.

Some interesting comments in this thread. I hate to agree with racecar guy, but he is actually partially right for a change.

The $1.5 Million loss is likely the operating loss only. I think it might actually be higher than that, but that is a different story.

When you take into account the total economic impact the Tigers home games, the Classic and the bowl game make on the city it might cover the $1.5 Million deficit most years. I know that there are differing opinions on exactly how much those things help the city, but there is no denying that hotel tax and sale tax increase those weeks. I'm not sure how much the city collects from sales tax.

Likewise, I agree that an OCS would have benefits other than a bottom line operating loss (or possible gain).

However, I don't agree that most OCS are profit centers...especially below the P5 level.

Finally, I am also very doubtful that the city property tax base would soar with an OCS on the main campus with substantial private redevelopment of the Highland/Normal area.

Loeb is already invested in the Highland Strip area. Walker is being redesigned as we speak and the old YMCA is now a Peddler bike shop. Highland Row is also well under construction. There really isn't much more to develop or redevelop immediately adjacent to campus. An OCS might spur some new stuff that wouldn't be there otherwise, but I just don't see an OCS resulting in a "property tax base that would soar."

(02-04-2016 10:38 AM)3601 Wrote:  Some interesting comments in this thread. I hate to agree with racecar guy, but he is actually partially right for a change.

The $1.5 Million loss is likely the operating loss only. I think it might actually be higher than that, but that is a different story.

When you take into account the total economic impact the Tigers home games, the Classic and the bowl game make on the city it might cover the $1.5 Million deficit most years. I know that there are differing opinions on exactly how much those things help the city, but there is no denying that hotel tax and sale tax increase those weeks. I'm not sure how much the city collects from sales tax.

Likewise, I agree that an OCS would have benefits other than a bottom line operating loss (or possible gain).

However, I don't agree that most OCS are profit centers...especially below the P5 level.

Finally, I am also very doubtful that the city property tax base would soar with an OCS on the main campus with substantial private redevelopment of the Highland/Normal area.

Loeb is already invested in the Highland Strip area. Walker is being redesigned as we speak and the old YMCA is now a Peddler bike shop. Highland Row is also well under construction. There really isn't much more to develop or redevelop immediately adjacent to campus. An OCS might spur some new stuff that wouldn't be there otherwise, but I just don't see an OCS resulting in a "property tax base that would soar."

Most of the current development in Highland-Normal is living quarters related or a re-do of some small business concern & while it will increase the property tax base slightly won't be a big ticket tax gain for the city. But all it would take is an anchor hotel & a couple of restaurants related to an OCS to cause the property tax base within the Highland-Normal district to soar. All it would take is 6 plus public events with 40K+ attendance for the sales tax to soar. And all of the Highland-Normal development would be private requiring NO city incentives. In comparison, there has been NO, notta, nothing developed related to LBMS in 50+ years - that's the difference between a municipal stadium in a development desert & an OCS right next to a daily busy campus with major weekend events.

And BTW, I didn't say anything about "most" OCS making a profit - I said many make a profit (or substantially offset expenses if a rental had to otherwise be made) & most do cover annual operating costs even when they don't provide a financial windfall.

(02-04-2016 11:17 AM)Atlanta Wrote:  And BTW, I didn't say anything about "most" OCS making a profit - I said many make a profit (or substantially offset expenses if a rental had to otherwise be made) & most do cover annual operating costs even when they don't provide a financial windfall.

Let's take away the top 50 or so football programs. Of the other 78 or so programs how many do you think turn a profit on their stadiums? Not ancillary revenue....simply revenue and expenses on the stadium?

If we pay $35,000 per game to lease the Liberty Bowl then should be making a profit playing at the Liberty Bowl.

That's so disingenuous by Mike Mattews and WATN Channel-24.

The Liberty Bowl Game & the Southern Heritage Classic haven't invested a single dollar in Liberty Bowl Stadium unlike the University of Memphis & the taxpayers of the State of Tennessee or FedEx.

As the Commercial Appeal has noted previously:

Memphis City Council members approved a plan last week that calls for the University of Memphis and FedEx to help fund $9 million in improvements to Liberty Bowl Memorial Stadium.

The plan calls for the city to ask state officials to designate the fairgrounds area as a Tourism Development Zone, which would allow sales tax revenues generated in the area to be spent to pay off the bonds that will fund the improvements. If a hitch develops with that plan, the U of M is offering a $500,000 annual guarantee over 15 years that could be used to pay off the bonds. FedEx plans to cover the $2.5 million cost of constructing a new video board for the stadium.


There's not a penny of city tax money spent on this as a result of the TDZ and the FedEx/UM guarantee. That's the beauty of this financing plan. The TDZ keeps state sales tax here to be spent on projects here rather than going to state government in Nashville and being spent by it across Tennessee.


.

Also, just because something loses money doesn't mean that it is bad for a city. Most public parks around the country are money pits, but they are good for cities.