Venue Detail
Minnesota Lynx
Revenues From Sports Venues Pro Facilities Report
January, 2010
Minnesota Lynx
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600 First Ave North Minneapolis, MN 55403-1400 Phone: 612-673-1600 Fax: 612-673-1699 URL: www.wnba.com/lynx Owner: Glenn Taylor League: WNBA Western Conference
Venue
Target Center, 600 1st Ave N, North Minneapolis, MN 55403-1400 Owner: City of Minneapolis Managed by: AEG Facilities Built: 1990 Capacity: 19,006 Permanent concession stands: 20 Concessionaire: Aramark Suite caterer: A Chefs Production Catering Soft drink: Pepsi Cola Beer: MillerCoors
Naming rights
Sold to: Target Stores/Dayton Hudson Price: $1, 875,000 Term: 15 years Expires: 2005
Ticket prices
Season tickets range from $280 to $1,568 Single tickets range from $10.00 to $108.00 2007 average attendance: 7,119 2008 average attendance: 6,968 2009 average attendance: 7,537
Luxury Suites
Quantity: 60 Term: 1 to 5 years Price: $100,000 to $150,000 Seats: 8 to 14 Includes: Tickets to Timberwolves games, one parking pass.
Financing
The $117 million arena was originally built with private money, but was purchased by the city in 1995 and refinanced with $70.8 million in general obligation bonds guaranteed by the city and $12.6 million in tax-exempt bonds issued by the Minneapolis Community Development Agency. Pct. public: 72
Built in 1990 and paid for with tax-exempt city bonds, Target Center is home to the NBA Timberwolves and the WNBA Lynx. The Timberwolves keep 95 percent of Target Center advertising signage revenue, which has increased in recent years and includes a five-year, $1 million a year deal with Pepsi which gives the soft drink maker pouring rights at the Target Center along with commercial tie-ins and other considerations. In addition to the Timberwolves, the Target Center is also home to the Roller Hockey International Minnesota Arctic Blast.
The Lynx offers luxury suite rentals at $250 per game, including 20 tickets.
The building got a new club in 2004. The Cambria Club is an exclusive space for only 148 members. The cost is $2,000 up front, then $6,000 a year. The price includes tickets, dinner and other perks. Eight suites were eliminated to make room for the club. The club is named for a local firm that purchased naming rights for four years. Floor seats are $19,350 per season.
Competition from the new Xcel Energy Center in St. Paul has cut into Minneapolis' earnings from the Target Center. The problem is expected to create a deficit of up to $22 million by 2025 in the city's bond budget.
The lack of money also raises the question of funding for building upgrades to keep it competitive. The city could seek more money from the Timberwolves.
Agents are more willing to book the new building than to look at the older facility. The newer building has been able to book acts including Paul McCartney and Bruce Springsteen.
Minneapolis has also been hurt by a reduction in the Target Center's property assessment, cutting back property tax collections. The state also opted not to provide a $1.7 million capital improvement grant that it promised.
The city is considering using property tax from other downtown properties to make up for losses from the Target Center to solve the bond financing problem, but paying for $30 million in proposed upgrades could be more difficult. The first step has been to reduce the number of upgrades proposed to nearly $15 million, but a new scoreboard and seating remain on the active list. Going to the team may not be an option. Because the arena was financed with tax-free bonds, private enterprises are not allowed to invest money in the property. (Basketball. Facilities, Financial, Professional Sports, Venue, Women)