STEVE TURNER: Rugby league must build its own ground

By Steve Turner / Expert

I believe the time is ripe for the National Rugby League to make a serious move towards building and owning its own Sydney ground.

Bumper crowds turned out at all games over the Easter weekend but the one that got me thinking ‘ground ownership’ was the Rabbitohs-Bulldogs blockbuster on Friday afternoon.

I was in the 51,686 crowd at ANZ Stadium which, if you have not heard, was the biggest for a regular season game in Sydney since 1966.

I can report that it was an awesome experience, an 80-minute adrenalin rush, and this was only a Round 4 premiership game!

There were two so-called heavyweight clubs on show, it was Benny Barba’s comeback game, Souths were trying to uphold their unbeaten run, the weather was sensational and the Easter Show was on next door.

But so much money from this massive event was always going to be lost to the League. The stadium renting costs do not come cheaply and so others are making hefty profits at the code’s expense.

If our head body is all about swelling its coffers – and we do have some very clever businessmen at the helm – I think it is time to at least explore the opportunity of sourcing a venue for our own home ground and start organising the funds to build it.

In my view, the Souths-Canterbury game showed that we need more big games played at big stadiums in Sydney.

Our NRL clubs are on aggressive membership drives as we speak and from all reports, the fan numbers are swelling every week.

That means the current and potential revenue stream is heading upwards and logic says that the really big premiership clashes should take place at major venues, rather than the much smaller and often ill-equipped, suburban grounds.

I realise there is a rich history and tradition associated with grounds such as Leichhardt, Brookvale and Kogarah but I think huge crowds at far bigger arenas makes rugby league even more spectacular for the fans who attend, and for those at home or in the pubs and clubs watching television.

Don’t for one moment think I am advocating the death of suburban footy. No way, these places generate a magic of their own and help to foster grassroots rugby league. I just think more of the bigger games should be scheduled at major venues.

Players love the incredible atmosphere these mega-games generate and I think it would be sensational for everyone concerned if they could take place at (my proposed) NRL purpose-built, state-of-the-art stadium.

That Good Friday game was terrific and showcased the awesome roster strength of the Rabbits and Bulldogs.

Souths were a touch too good on the day, they certainly took their chances.

Losing skipper Mick Ennis was always going to make things tough for the Dogs as a lot of direction and leadership stems from him.

Barba was sound in his comeback game and rewarded his legion of fans with some typically brilliant touches and a late, late try.

He will be a lot better for that outing. Benny will improve every week now that he is settling back into his playing routine.

The Crowd Says:

2013-04-06T13:06:30+00:00

Von Neumann

Roar Guru


exactly lou. I never go to afl. but they come to us. well they are welcome, but I do not know what makes them so "entitled" to have an opinion. but anyway.... yes, on the stadium -- about what Mushi said: costs are why I suggested to anyone wanting this to build a small stadia that you can upgrade over many, many years. its the only way. Think about it. Right now you just need 20-25k and NOT use it as your main stadium (without bottoming out on the usability so you do get income from it), and over years build it up. In 10 years you may go to a 30k one. Then 40k. Make the stadium so you can just demolish a stand or add to it. We basically just need great viewing seats. We don't need whiz bang. This is precisely the reason why I said that while it may be important in the long term, its not something that is highly urgent. It would just make life that little bit better IF done right. Still I do not know why we would want to own one in the next decade. I really would love it IF the govt built a westfalen or something like that out in the west. Something with kick-A stands and viewing over grandeur

2013-04-05T01:00:35+00:00

Felix

Guest


I have indeed - Brisbane proper has a population of 1.1m. The greater region has about 2.1m which takes into account other council and metro areas. I agree with Oikee below regarding two, if not three league teams surviving here. Redcliffe enjoy fanatical support out there as does Wynnum Manly. Ipswich could easily get 15-20k a week to a game in their own right without any outside supporters.

2013-04-03T21:25:12+00:00

Australian Rules

Guest


You're debating me, rather than the issue. You pay homage to the tradition & culture of suburban football grounds - but refuse to concede the point that the MCG has a greater tradition & culture than any stadium in the country. That's not *my* opinion, it's fact. When 75,000 people are packed into a stadium which is 150 years old, it creates a special atmosphere. It's the same at Twickenham or Wembley. Your argument is to deny that atmosphere exists - or dismiss it as "bland". Of course, you're welcome to your opinion, but hundreds of thousands of people would disagree with you.

2013-04-03T14:10:50+00:00

Football United

Guest


The MCG is a AFL stadium, I nor any other poster made any remark to the age of stadiums in australia, hence you only posted the bit about it's age to remark how important your glorified Cricket ground and the AFL is, it has no relevance to my posts or anyone else on this page.

2013-04-03T06:27:04+00:00

The Link

Guest


For a stadium discussion it's irrelevant if it was a double header or not, you've still gotta fit the people in.

2013-04-03T05:23:28+00:00

Paul

Guest


i was there on monday there was 18000 minimum don't try and be neg because its the roosters genius.

2013-04-03T04:37:56+00:00

mushi

Roar Guru


All sports are fun. When we start penis measuring over my made up rules are better than yours we lose the enjoyment.

2013-04-03T04:29:29+00:00

Redb

Roar Guru


Your the classic oh I use to like AFL but.... You are wrong and missing out. But keep up the fight lol

2013-04-03T04:00:35+00:00

Australian Rules

Guest


It's not a "pro-AFL remark", it's a statement of fact about the MCG and its place in history. You say football matches at the 'G are "bland". I disagree - the history, size and the 50:50 crowd creates an atmosphere at the G which is anything but "bland". But each to their own.

2013-04-03T03:41:25+00:00

Lou

Guest


Wow an NRL story has attracted AFL commentary ?? Go figure !!! It's obvious AFL fans have time for NRL !! Build a new stadium !! and who cares for AFL not me never, never googled it , never read an article , never watched a single game , I just don't care what they do !!!

2013-04-03T02:56:55+00:00

Football United

Guest


The MCG is the oldest football stadium in the world (albeit technically a “cricket” stadium). And how does this have anything to do with the article. Your constant Pro-AFL remarks on NON AFL storys is extremely boring. I describe it as bland because there is little individuality to the clubs anymore, crowd numbers matter little for me in this issue. The only difference is names and colours. They barely even train in their suburbs anymore let alone play.

2013-04-03T02:51:08+00:00

Football United

Guest


Maybe not, I'm an immigrant and i went to AFL when there really was no other choice sports wise. Storm weren't going yet and i wasn't going to support an greek or croatian NSL club either. Crowd Numbers aren't everything, yet it has become an obsession with the AFL in sports dick measuring contest. How would 50k fit into Vic Park, they wouldn't. Same as how 100,000 Man Utd fans don't fit into Old Trafford, yet they (or any other team) wouldn't move games to wembley just to fit in more people or away fans, which is precisely what Geelong do when they play at the MCG. For me the experience of going to a game was all about the experience and the experience of being crammed into Victoria Park, IN COLLINGWOOD, with 30k other Collingwood fans baying for blood, i couldn't care less about opposition supporters, hence my feeling that going to richmond to watch a collingwood home simply for the sake of fitting people in felt inferior.

2013-04-03T01:14:02+00:00

mushi

Roar Guru


This is very quick back of the envelop and riddled with lax assumptions and poorly gathered data but how about this: The redevelopment of Suncorp was what A$280m and that doesn’t include the parcel of land which is probably another A$10m plus in Sydney after a quick look at the state valuations office website. So inflation adjusted (2.5%) you are looking at about A$385m to build a quality stadium (assuming there were no benefits to suncorp being a redevelopment, and no additional cost for getting transport mainlined to the stadium – which is awfully generous). So the NRL doesn’t have 385m, so they ask for the government for a 1/4 to seed the project, (because of course tax payers should have to fund commercial enterprise so NRL players can get pa-aid) So now they need to come up with the remaining A$289m. The banks will probably ask them to run a much reduced end leverage point so let’s say they are generous (despite their previous stadium dealings) and give them a 8 year line at around 7% (which is likely to cost someone their job on a stadium financing given the asset is basically worthless ) with a target leverage of 50% (which will still be tough to manage). So they need to squirrel away about 12m a year to get the leverage down to that level (so it costs them 96m of their 1bn TV deal, and it is an investment not an expense so I think their are some tax issues there but anyway) Now a quick look at the internet says these things take about three years so assuming a pretty even distribution of spend you will need repayments not to begin until year four. Now what is the useful life of a flagship stadium? 20 years? So lets say depreciation to maintain it is about 19m. That means for the stadium to get to fund itself whilst the NRL is apying down the leverage it needs to generate down to 50% leverage the NRL basically needs the stadium to generate in the 51m a year range of profit before tax and depreciation. This means that you need to generate around 650k a game over 85 games (3 per round plus 6 finals games – I’m assuming that Stadium). So if through this centralised revolution you bump the average crowd by 10% to 17.5k per game then you still need to generate $34 per person after costs. These costs are not to be trivialised. A quick look gave me the costs for Parra stadium in 2010 (not a like for like mind you given some of the venue hire agreements etc probably takes some of it) had costs at around 4 times what they make on selling you over priced hot dogs and warm beer. Now a bigger stadium will have some benefit on the cost base so lets say that it is double. This would mean to cover the $34 amount you would need the average ticket price to be far in excess of the $34 per person (probably looking at north of 60 – 65 bucks?) in order to cover generous financing terms after a 25% government contribution, a 10% jump up in attendance, putting in another 96m of the NRL’s money. In other words a dumb investment. If the government will fund it great, but sure Smith a former banker will not be so incredibly stupid to put the NRL on the hook for something like this.

2013-04-03T00:42:46+00:00

Nostradamus

Guest


And Waverley being in existence meant the VFL got a better deal with the MCG than it would have otherwise. Sheek - you need to do more unbiased research

2013-04-03T00:40:14+00:00

Nostradamus

Guest


FU You cant be much of a supporter is you ditched a team because it moved its ground to gain revenue and so more supporters could get in. How would Magpies 50K supporters get into Vic park...

2013-04-03T00:38:14+00:00

Nostradamus

Guest


Like the St peters stadium they were going to build in the 60s - never happened esp as the SFS has only 16 NRL games a year now

2013-04-02T21:58:30+00:00

Australian Rules

Guest


The MCG is the oldest football stadium in the world (albeit technically a "cricket" stadium). I'd hardly describe its matches, which have 75k+ in attendance, as "bland". The fact that the crowd is 50:50 makes the atmosphere better.

2013-04-02T21:49:36+00:00

The_Wookie

Roar Guru


Um the VFL lost a lot of money on Waverly? Lets see - Original cost 3 million (1970) - Additional cost to finish 4.5 million (1974) - lighting 1.2 million (1977) Total cost - 8.7 million (est 38 million in YR 2000 $) Sold for $110 million in 2000 after 732 VFL/AFL matches including 70 finals and a grand final I think it paid for itself.

2013-04-02T21:31:03+00:00

Australian Rules

Guest


Looks like there was a couple of SCG games over 50k in the '60s. And I think Round 1 in 2001/01 was a double-header...and so the official crowds were from 2 games? http://stats.rleague.com/rl/crowds/summary.html

2013-04-02T18:59:23+00:00

Tenash

Guest


Lol ! Nice one Kellet. Was thinking the same thing.

More Comments on The Roar

Read more at The Roar