Worcester Business Journal

14 Worcester Business Journal | February 4, 2019 | wbjournal.com F O C U S B A N K I N G & F I N A N C E ©2018 Bank of America Corporation | ARPV9LGV Bank of America recognizes Worcester Business Journal for investing in a healthy economy Some of our biggest assets are the businesses who call our community home. On their own, or as members of business organizations, they improve our lives with community service and economic initiatives for the future. We're proud to support Worcester Business Journal to help develop our local potential. Together, we're honoring a commitment to work toward an economy that's growing stronger day by day. Visit us at bankofamerica.com/local W Public ballpark deals Last August, Worcester signed a deal to bring the Pawtucket Red Sox, a Triple A minor league baseball team, to the city, offering what has been the largest amount put up by a community for a minor league ballpark: $101 million. How Worcester's deal compares to other Double A and Triple A ballparks built nationally. *Plus $1 per ticket fee for minimum of $400,000 **Originally $300,000 until the project faced higher costs. ***Team paid $1.2 million upfront in fees. ****For first decade, then tied to inflation. Continued from previous page ruptcies in the country. "If you walked around the area, it would look very much the same as it did in 2006," said Pete Schroeder, another economics professor at University of the Pacific. Another booming area, Gwinnett County in Georgia, had ambitious plans for a wooded swath of land when it signed a deal in 2008 to bring the Atlan- ta Braves' top farm team from Virginia. A developer planned 300 hotel rooms, 610 residences, along with retail and offices surrounding the stadium, according to the Atlanta Journal- Constitution. "It was built with a Field of Dreams mentality," said J.C. Bradbury, an economics professor at nearby Kennesaw State University, alluding to the baseball movie's famous line: "If you build it, they will come." "e reality," Bradbury said, "is that people don't move to be close to a ballpark." Only some of those apartments have been built, and none of the rest of what was envisioned. "It has gone about exactly as every economist has predicted it would go," Bradbury said. "I hope the experience Gwinnett has had isn't repeated in Worcester." *****Team also agreed to pay the city 12.5 percent of the team's gross revenues in excess of $5.5 million or $437,500, whichever is less. ******Naming rights revenue not specified. Sources: Respective municipalities/counties, Baseballparks.com Year Annual Location Team signed Public cost lease Ancillary revenue Worcester Pawtucket Red Sox 2018 $101 million from city $1 million Team keeps all revenue from naming rights, concessions and advertising Hartford Hartford Yard Goats 2015 $71 million from city $500,000 Team keeps all revenue from concessions and advertising, but gives city 30% of next revenues. Team keeps first $50,000 from naming rights and splits remainder with city. Nashville Nashville Sounds 2013 $65 million from city $700,000 Team keeps all revenue, including concessions and naming rights. Charlotte Charlotte Knights 2012 $8 million from city, $8 million from county $1 Not specified. Lawrenceville, Ga. Gwinnett Stripers 2008 $64 million from county $250,000* Team keeps concession and advertising revenue and the first $350,000 from naming rights. Allentown, Pa. Lehigh Valley IronPigs 2005 $17 million from state $1.29 million** Team keeps naming rights, broadcasting, concessions, souvenirs and advertising revenues. Stockton, Calif. Stockton Ports 2004 $23.9 million from city Not specified*** Team keeps all advertising and concession revenue, city keeps 90% of naming rights revenue. Manchester, N.H. Manchester Fisher Cats 2003 $25 million from city $750,000**** Not specified. Albuquerque, N.M. Albuquerque Isotopes 2001 $23 million from city $700,000****** City and team share net proceeds from stadium events including concessions; team keeps advertising revenue.******

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