Quote:
Originally Posted by Alberta_Beef
But I don't want to get into the merits of Vegas as an expansion city, I am curious how they will calculate the cap when expanding since the midpoint to set the cap is 50% of HRR divided by 30. If they divide by 31 instead the cap would very likely drop unless the Canadian dollar bounces back next season.
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The players, by definition, receive 50% of HRR. There's nothing to negotiate here as any calculation other than HRR / 31 gives one side or another too much revenue.
As far as your certainty that expanding to Vegas would necessarily drive the cap down, consider that the Cap and Floor this season were $71.4m/52.8m, creating a midpoint of $62.1 million - and that is
after the NHLPA inflates the cap b 5%.
In order for Las Vegas to be cap neutral, they would have to generate revenues of about $120 million. Even the inept Coyotes had revenues of $92 million in 2014-15 (per Forbes), and Vegas would have the initial hype of new franchise smell.