Quote:
Originally Posted by CaptainCrunch
Edmonton went from a similar spot as Calgary to about $25 million in operating revenue when they went to the new building.
That insulates them against a low Canadian dollar and increased payroll cost.
If in theory the Cap does go from 75 to 80 million dollars, we will probably see the end of Calgary being a cap team.
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It's not a guarantee that those revenues stay high. For example Yankees Stadium revenues in 2016 actually fell below their last season in old Yankees Stadium, and 2017 appears to be much worst. Will that revenue still be there when the Oilers trade McDavid and get are tanking for the 1st overall in 2023?
Quote:
Originally Posted by powderjunkie
IMO, pro sports teams are rare, luxury investments - not much different than rare art, vintage vehicles, or really expensive wine. The main difference being that they typically pay very nice dividends while, the principal value continues to increase dramatically.
For the city, I don't care much about the dividends/operating income - I want a piece of ownership. I don't care if that's "not the way it works".
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The thing is that owning a sports team shouldn't be like only a business, but rather like owning the most exclusive set of season tickets. That's how it works in most of the world, and the only reason that isn't true here is because North American government have been lenient on the franchise-model and as a reward they extort large amounts of money from our local governments.