Kukla's Korner

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Comparing the Coyotes to the Yankees

Not the teams, but their deals with their respective cities.  From David Shoalts in the Globe & Mail:

Carrie Ann Sitren wrote a report for Goldwater that once again said the municipal bond deal to provide Hulsizer with $100-million (all currency U.S.) to help buy the Coyotes from the NHL for $170-million and cover this season’s losses of $40-million, is a bad one for the taxpayers of the suburban city of Glendale.

The interesting thing about this report is that Sitren compares it to a similar one for one of the most successful franchises in sport. The New York Yankees strong-armed the city of New York into coughing up $102-million through a bond sale for the baseball team’s new Yankee Stadium.

Like the plan in Glendale, parking revenue around Yankee Stadium is supposed to cover the bond payments. But it is not working out that way.

Sitren said in her report the Yankees’ parking revenue is 40 per cent below projections. According to her, the Yankees could not even cover as much as $1.5-million of the annual $7-million in bond payments. And the company that handles the parking owes the city $17-million in back rent and taxes.

Considering the millions of fans the Yankees draw each season and that on a good night a Coyotes crowd might number 14,000, that is not a promising indicator for Glendale’s bonds.

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Filed in: NHL Teams, Pittsburgh Penguins, | KK Hockey | Permalink
  Tags: goldwater, new+york+yankees, phoenix+coyotes

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Comparing people driving to Yankees games and those driving to Coyotes games seems to me like comparing apples to oranges. I don’t doubt that the Yankees have a larger overall total of cars parking at the lots (more game, larger overall attendance). However, of the millions of people who actually attend Yankees games every year, I’d be shocked if more than half actually took a car to the game.  According to a mobility needs assessment for the city of New York in over half the household in the city people don’t own cars.  Of the ones with cars, only about 1/3 third actually drive their car on a regularly bases. And over half of the people who come into New York from the suburbs will use public transportation rather than drive.

On the other hand, while Glendale does have a public transportation system, it’s no where near as extensive as that of NYC. Fans attending Coyotes games are way more likely to arrive via car.  Plus the projections that were made are more likely to be accurate because fans have already been parking in those lots for the last few years.

I’m curious as to how those two plans are similar and what the actually projections are/were for both teams.

Posted by Susan on 03/31/11 at 07:21 PM ET

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Paul Kukla founded Kukla’s Korner in 2005 and the site has since become the must-read site on the ‘net for all the latest happenings around the NHL.

From breaking news to in-depth stories around the league, KK Hockey is updated with fresh stories all day long and will bring you the latest news as quickly as possible.

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