A new report from the design firm Populous and investment fund Project Level suggests that purpose-built stadiums could unlock transformative revenue opportunities for women's sports teams. Released on Friday, the 30-page document outlines how these venues can generate between $1 billion and $3.8 billion in cumulative incremental revenue over a 30-year period. The report emphasizes that the net present value of owning a stadium could range from $211 million to $637 million, highlighting the shift in focus from demand to infrastructure issues within the women's sports sector.
The report was developed in collaboration with advisory firm Comeback Ventures and draws inspiration from the ongoing project involving Denver Summit FC. Project Level is an investor in the club, while Populous is designing a new 14,500-seat stadium at Santa Fe Yards, which is set to break ground this fall. Asrat Alemu, a vice president at Project Level, noted the importance of sharing their findings to encourage more teams and owners to invest in their own stadiums.
One of the key case studies featured in the report is the Kansas City Current and their recently opened CPKC Stadium. As the only team in the National Women's Soccer League (NWSL) to have built its own stadium since the league's inception in 2013, the Current's experience serves as a model for other clubs. The report also mentions Brighton & Hove Albion, which aims to establish a purpose-built home by 2030.
Expansion teams Denver Summit and Boston Legacy, both of which began their inaugural seasons this year, are also on track to open their own stadiums by 2028. Their ambitious stadium proposals likely influenced the NWSL's decision to award franchises to these ownership groups, especially given league commissioner Jessica Berman's emphasis on infrastructure as a critical challenge for the league.
The Populous and Project Level report outlines various ways that owning a venue can enhance revenue growth and franchise value. By investing in a purpose-built stadium, teams can access revenue streams that may have been previously unavailable or limited. These revenue opportunities include increased sponsorship deals, enhanced ticket sales, additional profits from non-game-day events, and greater control over future media rights negotiations. Alemu pointed out that media rights are a significant revenue source for professional men's sports teams, and securing these rights is essential for the growth of women's sports.
While the construction costs for soccer-specific stadiums in the U.S. can range from $65 million to over $450 million, the report argues that this upfront investment is crucial for long-term growth. CPKC Stadium, which opened for the Current's 2024 season at a cost of approximately $143 million, has already seen a remarkable 260 percent increase in revenue during its inaugural year. In 2023, the club was valued at $75 million and generated $10.1 million in revenue, with projections indicating that revenues could reach $36 million in 2024 and the club's valuation could soar to $182 million.
The report highlights the Current's success in a relatively small sports market, noting that both the Kansas City Chiefs and Royals rank lower in team valuations compared to other franchises. The Current's performance demonstrates how purpose-built, team-controlled venues can help smaller-market clubs overcome traditional disadvantages in women's sports.
Plans are already in place to expand CPKC Stadium's capacity to 18,000, as the venue is central to a new district being developed along the Missouri riverfront, which will include housing, retail, and restaurants. This investment in infrastructure not only boosts the team's valuation but also strengthens its connection to the community.
The report also includes insights from various stakeholders in the NWSL, comparing potential revenue streams for clubs with their own stadiums versus those without. Alemu emphasized the need to shift the narrative around women's sports from merely advocating for athletes to demonstrating the financial viability of these investments.
Owning a stadium offers teams greater control over their revenue and scheduling, which is vital for media rights negotiations. By designing venues specifically for women's sports fans, teams can enhance the game-day experience and improve player and staff well-being, making recruitment and retention more effective in an increasingly competitive sports market.
Sherri Privitera, senior principal and women's sports director at Populous, stressed the importance of having control over stadium infrastructure to cater to the preferences of women’s sports fans. The report concludes that investing in purpose-built stadiums is essential for women's sports to build a sustainable and profitable future, particularly as media rights remain an untapped area for revenue growth.
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