August 15, 2014
Contact: George Hasiotis, Partner
Greater Buffalo Sports & Entertainment Complex, LLC
“GBSEC, in Exchanges with Prospective Bills’ Buyers, Moving Forward on Plans for Outer Harbor Complex”
A Representative of GBSEC, LLC announced today that the company has engaged in a significant exchange of information, including face to face meetings, with representatives of multiple franchise bidders for the Buffalo Bills and that they are also in communication with State officials assigned to study the issue of a new stadium and site selection.
George Hasiotis, GBSEC Junior Partner, stated:
“Since May we have been engaged in an ongoing, albeit private, process which centers on the bedrock economic issues of creating a facility that can deliver economic benefits to a new team owner, the NFL and tax-payers. Our business model also seeks to keep ticket prices affordable for fans and provides $1 billion in private financing. Due to the confidential nature of our interaction with prospective owners, we cannot provide any additional information, other that to say that on the part of out of area bidders there is healthy and serious interest in keeping the team in Buffalo. These parties are focused on how to make the economic model work and the potential of a facility to provide significant non-football revenue. The composition of such revenue is as much media/entertainment content and revenue driven as it is from football operations.
There has been so much misinformation in press reports about the future of the franchise and the need for a new facility that it is important to remind everyone that “economics” is the final arbiter in this deal. It serves no constructive purpose to get worked up about peripheral issues because in the end, only a new, site-specific model based on multi-source revenue – multi-sport and entertainment sources of income – can meet the economic parameters of investors, tax-payers and the NFL.
The Buffalo Common Council presented our Outer Harbor proposal, with its attendant business model, to the NFL Commissioner and NFL Stadium Committee six months ago, in preparation for a prospective franchise sale. As of today, this proposal is still the only NFL grade, comprehensive and detailed plan that can facilitate keeping the league here and meeting all stake-holders’ objectives. In the final analysis, no other plan is based on such a high level of private financing and public benefit. The best leverage the tax-payer has is the hope of a public-private partnership where a percentage of profits repay the public treasury and create a progressive relationship with professional sports in this town.”