07-10-2006, 12:56 PM
Second Team and Threatening Starter's Job
Join Date: Sep 2004
Dynasty Built On Other People's Land
Didn't you think that Bob Kraft owns the land under The Razor?
Well ... not so!
For 35 years, Foxboro has filled its coffers thanks to an arrangement in which the Patriots have built their own stadium ---- both the original and new facilities were built under this agreement ----on land owned by the city. In lieu of rent, the city charges a per-ticket fee on all events hosted at the stadium.
"It's been a good deal for (Patriots) ownership and a good deal for the town," said Foxboro finance director Randy Scollins. "We've been very fortunate."
- edited extract from the North County Times (San Diego)
Scollins said the fee money generated by Patriots tickets typically fluctuates between $1.1 million and $1.65 million per season. The town, which has a total annual operating budget of about $44 million, is guaranteed a minimum of $1.1 million under the deal.
"Foxboro is not a booming metropolis," Scollins said. "We're a small community that's 80 percent residential. So that's a lot (of revenue)."
The Patriots make out well in the deal by not paying property tax on the $350 million stadium, a fact Scollins admits causes some residents to bristle.
"But the reality of the situation is," he added, "in a small town like this, it would be a miracle to have that amount of property value just drop into town."
What's more, Foxboro's decision to lure ---- and keep ---- the Patriots may be on the verge of paying even greater financial returns.
Team owner Robert Kraft has purchased hundreds of acres of land near the stadium, which he plans to develop into retail, office and medical space.
If it all comes to fruition, Foxboro will be able to collect property taxes off the project.
"This could be the biggest thing to ever hit the town," Scollins said. "Even bigger than the stadium."
- - - Leading the division by 2+ games - - -