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Volume 24 No. 155

Facilities Venues

     Costs for the repair of the L.A. Coliseum have risen to a
projected $92.7M, 50% higher than estimates in September, and
two-and-a-half times more than the original estimate.  For the
first time, FEMA is saying that federal and state earthquake
relief funds will not pay for the entire project.  Items such as
expanded concession areas, steel-reinforced beams providing
seismic strength for the current structure and eventual luxury
boxes on the stadium's rim are cited as "ineligible for
reimbursement."  Coliseum Commission President Yvonne Brathwaite
Burke said if there are improvements beyond basic repair, "there
won't be a government payment, but that's something that has to
be negotiated, we don't always believe there has been a
betterment."  The $92.7M figure is at the point where FEMA would
have recommended demolition and construction of a new facility.
Harry Ornest, Vice Chairm of Hollywood Park, said a new stadium
could be constructed there for $150M.  All parties stressed that
the decision for repair was made when estimates were lower
(Kenneth Reich, L.A. TIMES, 12/16).

     MA Gov. William Weld said that he wants to help the
Patriots, but he is not "enthusiastic about a proposal under
which the state would buy Foxboro Stadium, fix it up and lease it
back to the team."  Weld: "I'm not real wild about that.  It's
pretty expensive. But, I am for my part, willing to help the
Patriots out."  Patriots Owners Robert Kraft floated his new
proposal on Wednesday, and continued to call on state help to
enable him to field a competitive team year after year
(Kindleberger & Wong, BOSTON GLOBE, 12/16).

     A meeting has been set for Monday at which key players in
the public buyout of the Target Center hope to complete the deal.
The Metropolitan Sports Facilities Commission (MSFC),
Timberwolves Owner Glen Taylor, and Ogden Corp, who manages the
facility, had hoped to finalize the deal by the end of the year
in order to stabilize the financing.  However, both MSFC
Executive Director Bill Lester and Minneapolis finance officer
John Moir said a deal will be impossible to achieve before 1995.
Rising interest rates have adversely affected the transaction
because Taylor and the MSFC have used short-term variable-rate
interest debt to finance the agreement.  Ogden, who dropped out
of the deal once before, sent company officials to New York
Thursday to meet with NBA officials and appraise them of the
progress.  Ogden is "concerned" about the risks of short-term,
variable-rate financing, with rising interest rates fueling this
concern.  If the Target Center buyout is not completed by
January, it will move into its third year (Jay Weiner,
Minneapolis STAR-TRIBUNE, 12/15).

     Today we continue to profile the NFL's infrastructure  witha look at the Metrodome in Minnesota.
STADIUM: Hubert Humphrey Metrodome, Minneapolis, MN
AGE: Completed 1982.
OWNERSHIP: Owned and operated by Metropolitan Sports Facilities Commission — a governmental body.
COST: $84M — debt of $40M to be paid off by 2012.
LUXURY SEATS: 115 suites — operated by the Vikings. Pay MSFC $1M a year for the rights.
CAPACITY: 64,000 — 9th lowest in NFL.
PARKING: No parking with the facility. All city or private lots — Vikings get no revenue.
GAME-DAY: All game-day personnel paid for by Vikings.
MAINTENANCE: Maintenance on the facility paid for by MSFC.
CONCESSIONS: Volume Services. Vikings receive 10% of revenue. City receives 55%, and MLB Twins get 35%.
ADVERTISING: Sports Facilities Commission handles all advertising. Vikings get no revenue.
LEASE: The Vikings' lease expires in 2012.
RENT: $2.84M — 3rd highest in NFL

(Source: Dennis Alfton, MSFC; rent figure from the Florida Times-Union article on July 24, 1994.)

     Negotiations between the City of Dallas and Mavericks Owner
Don Carter over the construction of a new downtown arena adjacent
to Reunion Arena hinge on the demolition of Reunion.  Carter and
team officials believe having side-by-side arenas "makes no
economic sense."  City Council members and Dallas Mayor Steve
Bartlett are wary of destroying a 14-year-old facility for which
they still owe around $62M.  Bartlett: "I think the feeling on
the council is strong that we need to look for a reuse, and we
don't want a reuse that is incompatible with a new arena."
Carter is willing to cover $65M of the $142M cost for the new
arena in exchange for naming rights and control over major
decisions involving the facility (Sylvia Martinez, DALLAS MORNING
NEWS, 12/14).