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What is the future of Australia’s stadia? Part 1

ANZ Stadium retail and hospitality precinct. (Image: ANZ Stadium)
Roar Pro
6th May, 2015
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2392 Reads

Is the end of the suburban stadium inevitable? Billions of dollars are at stake. Perth’s 80,000 seat Burswood project exceeds $1 billion, while about $600 million is pledged for ANZ and Alliance Stadia and another western Sydney venue.

Adelaide Oval’s 50,000-seat redevelopment exceeded $535 million. Even Townville’s 30,000-seat venue seeks $210 million. More will follow. Some suburban grounds will survive. Many will not. Here, we consider what will decide the winners and losers

Tomorrow’s stadia will not be training venues
Training was once divided between the field and gym. It now spans theatres, pools, sport medicine and offices for ever expanding staffing. An arms race has erupted as clubs compete.

The Western Sydney Wanderers and Parramatta Eels now train 15 kilometres apart at Blacktown International Sportpark and a new $26 million venue in North Parramatta, while Manly use AIS facilities at Narrabeen. Despite Redfern Oval’s multimillion dollar redevelopment, the Rabbitoh’s are developing all-new facilities at Maroubra.

The AFL Giants abandoned Blacktown for Tom Wills Oval at Olympic Park. The Bulldogs’ Belmore Oval has attracted so much redevelopment funding it will actually host an NRL game this year (its first since 1998). The Titans were almost undone by ambitious ‘Centre of Excellence’ projects. Is your club keeping pace?

Inside
Pressure is mounting. Despite increasing NRL club grants, the Dragons, Knights, Tigers and Titans have all needed additional support. Warringah and Kogarah councils struggle, with Brookvale Oval battling embarrassing lighting and surface issues in recent seasons. Venues NSW lost over $3.7 million in their latest results.

Fans need a compelling experience to leave their living rooms. The NRL already compensates clubs for small crowds opposite TV prime-time on Mondays. How will stadia respond?

Multi-coloured seating will hide small crowds (we’re looking at you ANZ). Burswood will pioneer wider seating with cup-holders. Cover will vastly improve, with 85 per cent of Burswood’s seats sheltered, and ANZ adding retractable roofing.

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Burswood will feature 1000 displays to connect fans queuing for tickets, food and toilets. Scanning technology will allow ticket holders to walk straight in. Contrast this with thousands stranded outside Campbelltown Oval as the Tiger’s Round 2 match kicked off.

While government concentrate on fewer, bigger venues, clubs continue to branch out. Parramatta Stadium’s $100 million redevelopment will host fitness centres, offices, bars, restaurants and bowling “to ensure … financial security for decades to come,” notes chairman Steve Sharp.

Multipurpose Venues
The NRL’s newest ground – AAMI Park – shows the way. This 30,000-seat rectangular venue hosts the Storm (NRL), Rebels (Super Rugby) and Melbourne City (A-League) and the AFL Demons’ training grounds. The Rabbitohs, Bulldogs, Tigers, Eels and Dragons share Sydney’s ANZ Stadium.

Parramatta hosts the Eels (NRL), Wanderers (A-League) and Rams (National Rugby Championship). To even propose redevelopment, Brookvale Oval needed a coalition of the Sea Eagles (NRL), Central Coast Mariners (A-League) and North Harbour Rays (RCC). Burswood Stadium will support AFL, Super Rugby, cricket and soccer. In contrast Campbelltown Oval has secured just two A-League games to supplement the West Tigers, and faces an uncertain future.

Winners and losers result. ABS stats show fans attending one code are more likely to attend another e.g. 20 per cent of A-League attendees cross over with the NRL. On the other hand, sponsors like Pirtek can secure rights to a venue (Parramatta Stadium) instead of a club (the Eels) and reach a broader audience.

Mixed-use venues diversify revenue streams. Venues NSW (who manage Newcastle’s Hunter Stadium, Parramatta Stadium and Wollongong’s WIN stadium) have hosted the Wiggles, Mrs Brown’s Boys and Disney on Ice. ANZ has rocked with AC-DC and the Soundwave festival. Allianz will host Ed Sheeran. Local residents and poor connections leave venues like Brookvale or Leichhardt unable to compete.

Entertainment Precincts
The old days of financial support from local business, council and clubs have gone.
While this has been true for years, it’s now crunch time for several clubs. Leichhardt home games lose $70,000 for West Tigers and the club is surrendering its lease to the council.

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Despite heavy federal investment, St George’s twin grounds in Wollongong and Kogarah are already losing four games a year to the SCG, Allianz Stadium and ANZ (which guarantees clubs a minimum $100,000 return).

Stadia now anchor whole precincts. Townsville’s new stadium shifts to the CBD, replacing both the old stadium and the Townsville Entertainment and Convention Centre. Melbourne’s AAMI Park is nestled in the same district as the MCG and Rod Laver Arena. These precincts maximise community spending before and after games.

Standalone venues like Campbelltown Oval face a huge disadvantage. Others are investing. Consider the Panthers’ new skydiving attraction, Cronulla’s apartment, club and retail projects or the new 300-room hotel anchoring Parramatta stadium.

How can your club respond?

In Part 2, we’ll cover how corporate hospitality, transport and technology all shape how you’ll cheer your team in the future.

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