Yes, 2022 looks to be a boom year for arenas and stadiums. The NYC-area offers an interesting test case, with the new UBS Arena opening.
ARENAS, STADIUMS EXPECT RECORD-SETTING 2022 FOR THIRD-PARTY EVENTS, Sportico's John Wall Street reported 5/19/21:
SeatGeek reports that in 2019 NBA and NHL buildings hosted on average between 80 and 90 third-party events. It’s believed that those same venues (at least the ones with just a single team) could book as many as 160 shows in 2022 as artists/athletes/entertainers—and the pro sports teams that own or operate the buildings—all look to make up for the revenues lost over the last 18 months. One senior live event industry insider (who asked to remain anonymous) said the number of booking inquiries and “soft commits” that pro sports venues have received in recent weeks “is a multiple more than what they have received in the past.” Eventellect co-founder Patrick Ryan said he has been hearing the same, projecting 2022 would be a “record-setting year for [live entertainment] tours.”The article notes that this refers to not just concerts but family and sports shows. The reasons bookings hadn't been set is that capacities have not--until recently--been increased and the 2021-22 NBA and NHL schedules aren't set.
It's possible that the market may be softened, given the plethora of events and competition for finite options, but, as the article notes, each event has a different audience.
The impact around NYC, with a new arena
Keep in mind that New York City, with Madison Square Garden and the Barclays Center, already had significant demand for open dates amid the building's pro sports offerings. And the Prudential Center in Newark was reasonably busy.
The departure of the New York Islanders opened up more dates for Barclays, though that didn't (yet) become a success.
The opening of the new UBS Arena at Belmont Park should offer a honeymoon period for that venue, especially since it's touted as being built for music, offering an easier (and cheaper) load-in for large shows, compared with urban venues.
That presumably would first cut into events planned for the lame-duck Nassau Coliseum, but also could impact Barclays--closer to Long Island--MSG, or Prudential.
It's hard to imagine that a major tour would choose three NYC-area arenas rather than two. But 2022 also likely will be a special case, given the pent-up demand, so the impact of UBS Arena--also in combination with the honeymoon period--can't be assessed for a few years.
That's a lesson from the Barclays Center's debut, which hosted numerous events and sold lots of tickets, generating impressive gross revenue, but had such high costs that profit margins were low.
Comments
Post a Comment