Redskins Sell Naming Rights For Team HQ Sources: Isles In Talks For Arena At Belmont Park Facility Notes Islanders Potential Arena Near Citi Field? Chargers Dive Into Convention Center Possibilities MetLife Stadium Name To Stay Despite Changes Broncos Have No Stadium Naming Rights Offers Exactech Sees Value In Florida Arena Deal Facility Notes Cubs Reveal Plans For New Wrigley Suite Areas
SBD/Issue 185/Facilities & Venues
County Agrees To Give BankAtlantic Center A Short-Term Loan
Published June 9, 2010
|Broward County Will Loan BankAtlantic
Center $7.5M Over Next Three Years
Broward County (FL) Commissioners yesterday "agreed in principle to provide a short-term 'internal loan' of $7.5 million over the next three years" to Sunrise Sports & Entertainment's Arena Operating Co, according to Sarah Talalay of the South Florida SUN-SENTINEL. The loan will provide the SSE subsidiary, which operates BankAtlantic Center, with $4M this year, $2.5 next year and $1M in '12, with the total "to be repaid along with the county's loss of interest between 2013 and 2015." The loan "would be covered by the over-collection in Tourist Development Tax (hotel bed tax) dollars that were raised 2 percent to help pay" for the arena. The Arena Operating Co. had proposed to "cut its annual payments" by $2.5M annually through '16, and then raise them by about $1M a year starting in '17. Talalay noted as a requirement of the new loan, the Panthers "agreed to reduce the profit level needed for the arena profit sharing arrangement to take effect," from $14M to $12M. That means that "any dollars in profit more than $12 million, which is kept by the team, are split" with the team receiving 80% to the county's 20%. So far, the profit sharing agreement has "kicked in just once -- in the first year, when the county received $364,000." SSE also "will need to provide annual consolidated operating budget and financial statements for the team and Arena Operating Co." (SUN-SENTINEL.com, 6/8).