Monday, August 22, 2016

About that public plaza? The Barclays Center leveraged "new landmark" to boost revenue "in the casino category"

Let's look carefully at this excerpt (below) from the Preliminary Official Statement for the successful refinancing of the Barclays Center bonds.

Regarding the arena's capacity to raise revenue from sponsorships, consultant from consultant Convention Sport & Leisure (CSL) stated," The Arena leveraged a new landmark (the plaza outside the main entrance) to generate a 51 percent increase in the casino category."

Well, then.


Amenity or advertising opportunity?

As I wrote 3/31/16, one justification from developer Greenland Forest City Partners for moving the bulk of the unbuilt B1 tower across Flatbush Avenue to Site 5, according to Forest City Ratner's Ashley Cotton was, "a key thing we think we can accomplish with this is keeping the plaza permanent open space."
But does it serve the public?
Click to enlarge and see Resorts World Casino NYC Plaza

Though bondholders should be happy about the casino connection, GFCP avoids the name. As I wrote, imagine if Cotton had said "keeping the Resorts World Casino NYC Plaza permanent open space."

It's not a park. It's a private amenity that has some benefit to the public.

But it's far more useful to the arena as a tool to leverage public approval. And, as we now know, it's part of a valuable partnership "in the casino category.

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