A Vikings executive told Sports Headliners that owner Zygi Wilf “doesn’t have the heart” to move the team, but it’s a mistake for lawmakers to presume the franchise can continue here without a new stadium to replace the nearly 30-year-old Metrodome. During an interview at Winter Park, Lester Bagley, the team’s vice president of public affairs, talked in detail about the stadium issue including his publicized criticism of Governor Tim Pawlenty for lack of leadership on the issue, and the need to recover lost revenue of $15 million or more per season if the Vikings temporarily play in the University of Minnesota’s TCF Bank Stadium while their new facility is constructed.
The Metropolitan Sports Facilities Commission, which owns and operates the Metrodome, has joined with the Vikings in lobbying for a new retractable roof stadium that could cost about $1 billion. Their position is that the facility will allow the Vikings to economically survive, present fans with a first class game experience, and provide a “rec room” type facility for community activities ranging from amateur sports to rollerblading, plus attract big time events such as NCAA tournament basketball and perhaps another Super Bowl. In addition, stadium proponents argue that the construction and later the existence of the facility will provide jobs and economic stimulus to the economy.
An economic impact analysis of the new stadium, which will be located on the present Metrodome site, was conducted by Convention Sports & Leisure International for the MSFC. Among the findings of the advisory firm:
. Construction of the stadium will support approximately 13,400 jobs, including 8,000 tradesmen utilized during the building process.
. Over half the cost of constructing the new stadium, or $577 million, will be directed toward wages and salaries for construction jobs, and jobs supported in other industries as a result of related spending.
. The total economic output during construction is estimated at $1.35 billion. That number is representative of the cumulative effects of direct spending on construction-related expenditures, which equals $734 million, as it is cycled through the state’s economy.
. Annual direct spending of $145 million is estimated upon completion of the stadium. This represents spending by fans, the Vikings, their employees and players, visiting teams and the NFL relative to games and the operation of the stadium.
. A new stadium will generate over $32 million per year in tax revenue including income and sales taxes. Presently the Vikings alone are said to generate $18 million.
Minnesotans take various positions regarding the possibility of a new stadium including whether tax monies should be used to fund it. The debate as to whether and how something should be done isn’t new because the Vikings started exploring the subject with government leaders in 1997. In 2001 state politicians were presented with details about a $475 million retractable roof stadium, costing about half of what now is the projected cost. What’s current is that the franchise’s Metrodome lease expires after three more seasons and there are only a couple of legislative sessions remaining to resolve the issue.
The Vikings are last in the NFL in team value, according to a forbes.com report last fall. The website also said the franchise was last in 2007 gross revenues ($195 million) and described the team’s stadium deal as “one of the worst” in the NFL. Bagley and additional sources report that Wilf and other partners have put in additional monies to operate the team since taking over in 2005. Of better news for Wilf and his investors, though, is that according to Forbes the team is worth $839 million after being purchased from Red McCombs for $600 million.