Oct 21, 2013, 10:25 PM EDT
It’s a little tough to judge the financials of the Barclay Center on its own — buildings tend to have much higher expenses the first year (marketing is higher, for example) plus the real purpose of the arena is to anchor a full scale commercial and residential development around it. The Atlantic Yards is what can make the developers — which now includes Nets owner Mikhail Prokhorov — money in the long run.
Still, in the short run the arena is not doing as well as expected.
Eliot Brown of the Journal writes that the arena will produce about $26 million in operating income in its first year, 2/3rds of the $76 million projected … and less than what the arena has to pay out to its bondholders.
Forest City Enterprises which owns 55 percent of the arena operating company attributes the shortfall to the opening costs, “to make a big splash in the first year, investing heavily in marketing, customer service and securing top acts,” writes Brown. Indeed, the arena has been the nation’s top grossing venue for concerts and family shows through the first three quarters of year one … and second in the world.
This will have no impact on the Nets — they are the star tenant of that building and Prokhorov is showing he is willing to spend on them.
He gets the big picture, that he’s going to make his money on the real estate end of this deal once the residential/commercial area of the Atlantic Yards takes off. The Nets are part of what makes that area attractive. He can afford a few losses along the way to get it up and running.
Sep 17, 2014, 6:48 PM EDT
Brooklyn needs someone behind Brook Lopez and Mason Plumlee
Sep 17, 2014, 5:55 PM EDT
This is a killer addition.
Sep 17, 2014, 4:59 PM EDT
Sep 17, 2014, 4:12 PM EDT
Five games is the standard marijuana suspension, and you have to test positive three separate times to earn it.
Sep 17, 2014, 3:26 PM EDT
Jennings only shot 52 percent around the rim last year, maybe the muscle helps. Maybe.
Sep 17, 2014, 2:55 PM EDT
Chris Bosh is taller than Ellen DeGeneres, which leads to much humor. I guess.
Sep 17, 2014, 1:59 PM EDT
His veteran, playoff-tested presence will be big on this team.
Sep 17, 2014, 1:19 PM EDT
This is all we want to see out of the Timberwolves anyway.
Sep 17, 2014, 1:00 PM EDT
No. Just… no.
Sep 17, 2014, 12:25 PM EDT
Cousins has won over Team USA’s brain trust.
Sep 17, 2014, 11:44 AM EDT
There’s a lot of room for improvement, let’s just say.
Sep 17, 2014, 11:05 AM EDT
Kyrie is going to have to adjust to a different role on the Cavs, but if he does watch out.
Sep 17, 2014, 10:00 AM EDT
Rajon Rondo looms over everything – on and off the court
Sep 17, 2014, 9:31 AM EDT
This is long overdue.
Sep 17, 2014, 9:01 AM EDT
He may not start but he will get plenty of run this season.
Sep 17, 2014, 8:30 AM EDT
Dominique Wilkins is one, but you know the hedge fund guys are in, too.
Dwight Howard’s driver’s license in Florida suspended, he racked up 10 red light violations in Orlando
Sep 17, 2014, 8:00 AM EDT
He has 10 citations for running red lights. Impressive, I don’t care how many sports cars you own.
Sep 17, 2014, 12:14 AM EDT
Well, it’s better than his golf swing.
Sep 16, 2014, 10:45 PM EDT
There haven’t been many better.
- LeBron James on Kyrie Irving: “I believe Kyrie can be the best point guard in the league.” 10
- ProBasketballTalk 2014-15 Preview: Boston Celtics 2
- Dwight Howard’s driver’s license in Florida suspended, he racked up 10 red light violations in Orlando 12
- Tim Duncan to appear in “The Punisher” comic book 6
- ProBasketballTalk 2014-15 Preview: New York Knicks 10
- Klay Thompson’s agent: Thompson better two-way shooting guard than Kobe Bryant 50
- Report: Greg Oden’s drinking an issue during season, alleged domestic assault 31
- Kevin Durant calls Allen Iverson “pound for pound” best ever 29