June 13, 2023

Read in Browser [[link removed]]

POWERED BY

Good afternoon, this is Eric Fisher [[link removed]], newsletter co-author. Another day, another first-time league champion? Right after the Denver Nuggets sealed [[link removed]] their first NBA title, the Vegas Golden Knights could also make history tonight in the Stanley Cup Final. But before that, the NHL is making more news with a record-setting franchise sale in Ottawa.

Senators’ Record Sale Price Shows NHL’s Strength, Team’s Upside [[link removed]]

Marc DesRosiers-USA TODAY Sports

The Ottawa Senators play in one of the NHL’s smallest media markets, ranked 25th in average attendance this season, haven’t reached the playoffs since 2017, and have regularly posted operating losses.

Before Tuesday, the idea that the club would sell for a record price seems admittedly farfetched.

But the robust health of the league, the promise of a new downtown arena, and competitive bidding led to a sale [[link removed]] worth nearly $1 billion to Montreal Canadiens co-owner Michael Andlauer, a new NHL highwater mark. The deal tops the $900 million Fenway Sports Group paid [[link removed]] for the Pittsburgh Penguins in 2021.

Arriving after a protracted, seven-month sales process, the deal further underlines a period of historic strength for the NHL.

Overall hockey-related revenue is projected to approach [[link removed]] $6 billion in 2022-23, burnished in part by long-term labor peace with the NHL Players Association and lucrative media rights contracts with Disney [[link removed]]and WBD [[link removed]] collectively worth nearly $4.4 billion.

The Senators aim to build a new arena [[link removed]] in Ottawa’s LeBreton Flats that would supplant the 27-year-old Canadian Tire Centre — located about 16 miles from downtown Ottawa — and transform the team’s revenue-generating power.

In December, Forbes estimated [[link removed]] the Senators’ value at $800 million — good for only 24th in the league. But Andlauer prevailed over several other bidders in a vigorous competition, including Toronto businessman Steve Apostolopoulos, who exited [[link removed]] the bidding several days ago.

Kroenke’s San Diego Arena Project Could House NBA, NHL Team [[link removed]]

Midway Rising

His Denver Nuggets just won [[link removed]] the franchise’s first NBA title, but owner Stan Kroenke isn’t slowing down a bit.

The billionaire team owner and businessman has become the majority investor in a vast San Diego sports arena project.

The Kroenke Group, the 75-year-old’s real estate company, is taking control of San Diego’s Midway Rising project, which includes a 16,000-seat arena as the centerpiece of a 48.6-acre site that will be redeveloped with thousands of new housing units, a hotel, and retail space.

Located about 120 miles south of Kroenke’s $5.5 billion SoFi Stadium in Los Angeles, the planned San Diego venue — which could open as soon as 2025 — doesn’t have a price tag but could be a fitting home for a pro basketball or hockey franchise.

San Diego mayor Todd Gloria said [[link removed]] the investment from Kroenke should “make it that much more certain that this project will actually come to fruition.”

Neither Kroenke’s championship-winning Nuggets nor his 2022 NHL champion Colorado Avalanche are looking to move from Denver, but the Arizona Coyotes are desperately searching for a viable arena, as they’re currently playing [[link removed]] at Arizona State’s 5,000-seat Mullett Arena.

The NBA will likely expand within the next decade, so a new arena could make San Diego an attractive option for an incoming franchise, although Las Vegas and Seattle appear to be frontrunners as of now.

In 2025, Major League Soccer will arrive [[link removed]] in San Diego with the league’s 30th team. It will play at Snapdragon Stadium, which opened last year and is currently home to the San Diego State Aztecs football team.

SPONSORED BY ISOS CAPITAL MANAGEMENT

The Influence of CTV on Sports Franchise Valuation

Live sports programming has always dominated primetime ratings on linear television, but streaming content has become extremely popular [[link removed]] with younger generations of sports fans, particularly among millennials and Gen Z viewers.

The surge in demand for streaming TV and short-form content has disrupted the traditional TV media rights model and significantly boosted the valuation of sports franchises. With streaming television’s influence on ever-expanding media rights, franchises across all sports are being purchased as a premium due to their promising growth potential [[link removed]].

Leagues, franchises, and sports that can be innovative and agile enough to stay aligned with the shifting mediums of engagement will have the advantage for capturing the next generations of valuable fans.

Learn how [[link removed]] your company can gain this advantage for connecting with younger sports fans everywhere they’re consuming sports media on connect

A’s Fans Plan ‘Reverse Boycott’ as Nevada Mulls Changes to Stadium Bill [[link removed]]

Stan Szeto-USA TODAY Sports

A game with little precedent in Major League history will take place Tuesday night.

Fans will show up en masse to see the Oakland A’s host the Tampa Bay Rays in a “reverse boycott.” The action will seek to demonstrate that the A’s — the team with MLB’s worst record (18-50), smallest payroll [[link removed]] ($59.6 million), and lowest average home attendance [[link removed]] (8,555) — have fans that will attend games if its ownership commits to staying in Oakland and investing in the team.

Fans are planning to push team owner John Fisher with chants of “Sell the team!” and “Stay in Oakland!” A fan group will give out T-shirts that say “Sell” in white letters against the A’s classic Kelly green.

Meanwhile in Nevada

Nevada legislators passed two amendments to a bill to provide $380 million in public funds, plus additional tax breaks to facilitate a new stadium for the A’s in Las Vegas.

One amendment introduced [[link removed]] on Tuesday specified the Tropicana site as the location for the stadium and provided details on the team’s community benefits program. Failure to comply with the program would allow the state’s Stadium Authority to take legal action against the team. Another amendment added language of unrelated bills that were vetoed by Gov. Lombardo.

The A’s are working with Goldman Sachs on a funding arrangement to help the team supply at least $1.1 billion toward the venue, provided public funds are made available, according [[link removed]] to the Nevada Independent.

Conversation Starters Tuesday marks Shannon Sharpe’s last day on FS1’s “Undisputed” series after a seven-year run. Watch [[link removed]] his final farewell to Skip Bayless. Berry Henson has been a pro golfer for 20 years and played [[link removed]] in a dozen tours in multiple countries without a major appearance. At one point, he began driving for Uber as a side hustle. Now, at 43, he’s making his U.S. Open debut — with the Uber logo on his collar. Calvin Johnson — a.k.a., Megatron — retired from the NFL at the peak of his nine-year career with the Detroit Lions and has had an estranged relationship with the team for years. Now, the two sides are mending fences to benefit the franchise. Megatron joins Front Office Sports Today to talk about what he’s been up to since retiring in 2016 — and how he reconnected with the Lions. Listen and subscribe on Apple [[link removed]], Google [[link removed]], and Spotify [[link removed]].

SPONSORED BY SIGNIANT

Doing More With Fewer People on Site

Live sports production relies on the ability to transfer huge amounts of data in a fast, secure and reliable manner, whether it’s a few large files or many smaller clips. As production teams look to do more with fewer people on site, traditional methods present significant challenges to already tight timelines.

Learn how broadcasters leverage intelligent file transfer software in the remote era. Read this guide from Signiant [[link removed]] to discover:

Examples of how pre-recorded segments, advanced graphics and quick edits are used to enhance the production of live sports. The need to support both automated workflows and ad-hoc, person-initiated workflows — and why that matters. How the right software aids in doing more with fewer people on site.

Read now. [[link removed]]

Editor's Picks Rams File Paperwork for Practice Facility, Headquarters in Woodland Hills [[link removed]]by Andrew Cohen [[link removed]]

The complex will host the Rams’ year-round practice facility and team HQ.

USC to Build $38 Million Women’s Soccer, Lacrosse Stadium [[link removed]]by Andrew Cohen [[link removed]]

USC received a $10M gift to help fund Rawlinson Stadium.

NCAA Athlete Advisory Committees Send Bizarre Letters to Congress [[link removed]]by Amanda Christovich [[link removed]]

The letters allegedly used language similar to NCAA talking points.

Refer Friends, Win Merch

Ready to rep your favorite newsletter? Refer your friends and colleagues to Front Office Sports and you could win FOS merchandise.

It’s easy to spread the word. Copy and paste your unique link below and share it in an email or on your timeline.

Referral Count: 0

Copy your invite link: [link removed] [[link removed]]

Or share on social media: [mailto:?subject=Check%20out%20the%20Front%20Office%20Sports%20daily%20newsletter!&body=This%20newsletter%20from%20Front%20Office%20Sports%20summarizes%20the%20four%20biggest%20stories%20in%20the%20sports%20business%20world%20every%20weekday...all%20in%20five%20minutes%20or%20less.+[link removed]] Advertise [[link removed]] Awards [[link removed]] Learning [[link removed]] Video [[link removed]] Podcast [[link removed]] Sports Careers [[link removed]] Written by Eric Fisher [[link removed]], David Rumsey [[link removed]] Edited by Matthew Tabeek [[link removed]], Brian Krikorian [[link removed]]

If this email was forwarded to you, you can subscribe here [[link removed]].

Update your preferences [link removed] / Unsubscribe [link removed]

Copyright © 2023 Front Office Sports. All rights reserved.

80 Pine Street Suite 3202 New York, NY 10005