Quote:
Originally Posted by Flash Walken
That's an interesting example and something to consider.
It could point to a lot of things. Are these no longer 'profitable' enterprises, or not 'as' profitable, necessitating a sale?
Is the building ownership a secondary concern compared to other financial investments and debts?
Are there examples of building ownership which contradict these examples?
|
The Real problem is a bit of a broken model with Sports teams. They need these $400M buildings that should last 25 years, so setting aside, debt, future value of money and all of those other issues. They should all be either saving or allocating or paying back $16M/year for Facility costs. but 90% of them cannot really afford it. Meanwhile they have salary caps at $70M. If the Salary Cap was $56M (or 40% in stead of 50%), the top players were making $8M rather than $10M, and the teams were responsibly managing their funds, this would be a none issue for tax payers or patrons, the money would be there.
But expecting the type of responsibility we see in other private industries with Pro sports teams is a pipe dream, partly because there are seemingly limited numbers of teams, and far more fans/cities to go around.