Thursday, February 19, 2009

According to a recent Sports Illustrated article the NFL is trying to persuade the Raiders and 49ers to share a new stadium in Santa Clara. This seems like a no brainer during current economic conditions which is probably why Al Davis wouldn't go along with it. The proposed cost of a new stadium is $916 million dollars. Surely less of that cost would be passed on to the taxpayers if two teams were able to contribute dollars and corporate sponsors to the project. If the two teams decided to build seperate stadiums they would need to pay for a second locker room, practice facilities and office space. It just makes too much sense to combine these costs like the Jets and Giants have done at the Meadowlands. The NFL has traditionally offered teams a 150 million dollar loan for a new stadium. This amount would be doubled if two teams would play in the facility. Santa Clara would be on the hook for 136 million plus a 2% tax on local hotel rooms (which would hopefully bring in an additional $35 million). More money would be obtained through seat licenses and naming rights. This type of creative economic restraint is too good for the NFL to ignore. Unfortunately, it is more likely that Al Davis will refuse to be part of a deal and further stick it to California residents. This is all in a state which is in one of the worst economic states right now from the current recession.

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