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Leagues and Governing Bodies

Two NHL Owners Say Las Vegas Expansion Fee Would Be Between $450-500M

A prospective NHL team in Las Vegas "should generate" at least $450M in expansion fees for the league, according to two NHL owners cited by Rick Westhead of TSN. One owner said, "It’s going to be between $450 million and $500 million. I bet it comes in at about $475 million." A second owner "subsequently agreed with the prediction." Westhead noted the "last teams to pay expansion fees," the Blue Jackets and Wild, "paid the league" $80M apiece when they joined in '00 (TSN.ca, 1/21). THE HOCKEY NEWS' Jared Clinton noted the reported expansion fee "does not guarantee a team will land in Las Vegas." There are "still many hurdles for potential owners to clear, including succeeding in their season ticket drive." The question also remains "whether or not the demand is there on a long-term basis, and what kind of game-to-game attendance the team would garner regardless of the season ticket drive" (THEHOCKEYNEWS.com, 1/21).

CALLING IN REINFORCEMENTS: In Las Vegas, Alan Snel reports Fidelity National Financial Chair William Foley has hired local social-media company Digital Royalty "as part of his campaign to generate 10,000 season ticket deposits" for a potential NHL team in the city. The company has previously "cultivated an array of sports clients." Digital Royalty Founder & CEO Amy Jo Martin said that the company "plans to use social communications not only to build excitement about the prospect of Las Vegas playing host to an NHL team but also educate fans about the NHL team ticket drive." Snel writes Martin throughout her career "has cultivated a niche consulting in the professional sports industry to show teams and players how to deploy social media to grow their brands." Hiring Digital Royalty is "just one part" of the ticket campaign being run by Foley and his partners, former NBA Kings co-Owners Joe and Gavin Maloof, "which launches Feb. 10." Foley said that he is spending $1.5M on the ticket-deposit effort, which also includes hiring local agency R&R Partners "as the public relations consultant and a sales manager and renting a ticket sales office" outside Henderson, Nev. (LAS VEGAS REVIEW-JOURNAL, 1/22).

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