Venue Detail
Minnesota Timberwolves
RSV Pro Facilities Report
March, 2013
Minnesota Timberwolves
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600 1st Ave N North Minneapolis, MN 55403 Phone: 612-673-1600 Fax: 612-673-1699 URL: www.nba.com/timberwolves Owner: Glenn Taylor League: National Basketball Association, Western Conference, Northwest
Venue
Target Center, 600 1st Ave N, North Minneapolis, MN 55403 Owner: City of Minneapolis Managed by: AEG Facilities Built: 1990 Capacity: 19,006 Permanent concession stands: 20 Concessionaire: Sportservice Suite caterer: Sportservice Soft drink: Pepsi Cola Beer: MillerCoors
Naming rights
Sold to: Target Stores/Dayton Hudson Price: $1,875,000 Term: 6 years
Ticket prices
Season tickets range from $430 to $30,100 Single tickets range from $10.00 to $800.00
Attendance
2010 average attendance: 15,101 2011 average attendance: 15,242 2012 average attendance: 17,490
Suites
Quantity: 66 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.
In 2012, the Timberwolves spent $150,000 to add six suites to the space, increasing its capacity to 208 from 128 in time for the team’s preseason home opener. The upscale club includes fine food, a full bar and plush seating..
The club will be called the Treasure Island Resort & Casino VIP Terrace under the terms of a three-year sponsorship renewal with Welch-based Treasure Island Resort & Casino. The deal also will include signage on the Target Center exterior and inside the area, a promotional kiosk in the concourse and partnering with the Wolves on various community events, including a new Basketbowl fundraising event that will be held at the casino.
The Wolves wanted to expand the Treasure Island Resort & Casino VIP Terrance space due to strong demand for tickets there. The club’s 128 seats have sold out each of the past two years at a price of $4,644 per seat for season tickets.
City leaders linked a $150 million renovation of the city-owned Target Center arena downtown to construction of a new Vikings stadium.
The plan calls for the city to kick in $100 million, with another $50 million coming from the Minnesota Timberwolves organization and Los Angeles-based AEG, which manages the arena. The city has estimated the cost would be about a third of the expense of a new arena.
The city's outstanding debt is scheduled to be paid off in 2025.
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.
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. (Basketball, Facilities, Financial, NBA, Professional Sports)