Archive for the ‘Real Estate Investments’ Category

New Football Stadiums are gaining ground

Tuesday, October 12th, 2010

Three of the oldest NFL stadiums in the United States, namely Candlestick Park, Qualcomm Stadium and Oakland-Alameda County Coliseum, all found in California, may be closing down their doors soon.

New football stadiums appear to be gaining ground. The City Council of San Diego has reserved $500,000 in order to study their planned redevelopment future for downtown San Diego. This move could make available the necessary funds in order to build a new stadium for the Chargers. This new stadium will stand near Petco Park, at a 10-acre area in the downtown area, bounded by Imperial Avenue, 16th, 14th and K streets. An estimated $800 million will be used for the stadium, and is expected to be finished within the next two years.

According to members of the city council, what was actually approved was the initiation of a study to determine whether downtown San Diego would be suitable place where they can extend their redevelopment plans. This study, according to Phil Roth, is a financial tool for San Diego, which could be used by the state to fund various kinds of projects, including sidewalks, stadiums, and affordable housing. A number of consultants will be called to conduct this study.

Meanwhile, in Santa Clara, $114 million has been set aside in order to build a new multi-million dollar stadium for the San Francisco 49ers. Construction is expected to begin next year, and the stadium is expected to be finished by the year 2014. An estimated $4 million was allegedly spent by the 49ers in support of the aforementioned deal. The deal, however, faces a number of hurdles, specifically with regards to financing.

Bringing the two teams together has been encouraged by the NFL; however, the teams themselves are not too eager about the idea. Oakland executives have already announced that they prefer to build a stadium of their own on the site of the one they already have.

Still in another part of California, Ed Roski, Jr. has announced his plans to build an $800 million stadium in Los Angeles, as well. He has considered pursuing several popular NFL teams, including the Jaguars, the Bills, the 49ers, the Chargers, the Raiders, and the Vikings. Roski has allegedly hired Ben Porritt, the expert PR consultant and former presidential spokesman, to help him in his quest. Another big name, AEG CEO and president Tim Leiweke, is also considering building an NFL stadium near the Staples Center. This stadium is expected to cost around $1 billion.

Former Jaguars expect Mark Brunell to recover from bankruptcy

Friday, September 10th, 2010

Former NFL player Mark Brunell became the latest victim of the real estate downfall. Brunell announced last Thursday that he intended to file for bankruptcy. The following night, he filed his Chapter 11 bankruptcy reorganization.

Mark Brunell used to play as a Pro Bowl quarterback in the NFL for the Jaguars. He had a 16-year NFL career, spanning the years from 1995 to 2003. During his last 10 years, he was paid approximately $52 million. He is the current holder of almost every career record in Jacksonville. He also played as the back-up quarterback for the New Orleans Saints, winners of last season’s Super Bowl. After the last season, he became a free agent, and he has not signed with any other team yet.

Mark Brunell currently lives in Ponte Vedra Beach, and is now facing several lawsuits, mostly from failed business and real estate loans in the states of Michigan and Florida.

Brunell’s former teammates, Bryan Barker and Tony Boselli, are sympathetic, and ran to their co-Jaguars defense. Both have said that Brunell became involved in a wrong investment, like many people who also invested in real estate. These investors, however, haven’t gotten too much notice since they weren’t professional athletes. Both Barker and Boselli are expecting Brunell to eventually recover from his bankruptcy.

Professional athletes who suffer from failed businesses and go into bankruptcy usually become the talk of the town. According to Ken Ruettgers in 2006, former player for the Green Bay Packers and director, 78 percent of former NFL players are unemployed, bankrupt or divorced two years after their retirement. This data was questioned by Bruce Laird, former player for the Baltimore Colts and head of the Fourth and Goal group that assists former players of the league. According to him, there has been no study conducted to support that data. He, however, said that half of the players who asked for assistance during the last year, including Andre Rison, Eric Dickerson and Michael Vick, retired after the year 2000. He attributed many of the players’ financial woes to medical bills from sports injuries, some of which can leave the players disabled.

As with any investment, especially when it comes to real estate, there are always risks involved. Former NFL players aren’t exactly at a higher risk for going into financial collapse, but since they are public figures, their failures and success are expected to make headlines.