The team puts out no money for building the stadium and yet reaps all of the profits.
They think they’ll make a ton of money off entertainment dollars for 30 years. Hotels, food, etc. Our county built a huge soccer field/area for the same reason. It’s for kids and they have huge tournaments there. When they do every hotel room in town is full.
Cleveland had the same idea when they built the Browns and Indian stadiums.
They instituted a huge bed tax on the city to recoup the cost of the stadium. What about the people that stay in the sub-burbs? Go outside the city and you pay at least $50 less per night.
But how does the state recover their part of the cost? Most of the money spent game nights would have been spent in the state anyway. How many people follow their team from state to state other than the team’s staff?
Not correct. The deal was a three-way between the Raiders, the State of Nevada, and a Bank of America loan backed by Jerry Jones. Each party -- including the Raiders -- put up equal amounts of money.
Vegas is already making a ton of money off of entertainment dollars just on their new nhl team alone. Go into any Strip casino resort before and after games, and you'll see tourists and locals dressed in their respective team's nhl jerseys. Yes, they are eating in Strip restaurants and staying at Strip resorts and drinking at Strip bars. And to go beyond your list of spending examples, these fans are also gambling and attending shows, too.
Now just imagine some well-healed nfl fans who have the option to see their team play in oakland or vegas. The choice is a no brainer. No one is gonna spend their money on the bay area when vegas offers so much more.
Also, vegas has the ingenuity and the capital to keep reinventing itself every 5 to 10 years to keep bringing them back for more than your quoted 30 years.
Vegas attracts. The CES convention just shattered attendance records, despite the vegas shootings still being fresh in visitors's minds.