WSU $80 Million dollar stadium expansion - financed through future Pac-12 revenue

[TimmyDUBs]

Can we pay off the families of the nations best recruits and have them come to boulder? :nod:

 

[btbuff]

Keep in mind Scholly costs are going up roughly 2500 a head per athlete next year. That will take a chunk out of our increase, we've got debt from previous coaches, debt from the BBall facility, and some cost sharing with the school that is likely to get yanked going forward; and of course a 9ish Million dollar revenue shortfall from our lack of media rights this year.

2500 x approximately 150 scholarship athletes(my guess) =375,000

 

[Quattro]

Undisputed top priority is Video Boards at Folsom. An absolute eyesore with that green stripe across the picture. Everything else is a distant second.

Wouldn't say anything is distant. We need to upgrade every facility ASAP, which includes locker rooms, indoor practice field, new sound system, new video boards, Folsom renovation, etc. Sound and video is first but nothing is a distant second.

Yes it does. Freaking Texas uses a bubble for indoor practice. Long term it would be nice, but the bubble makes it not a top priority.

Texas also has a much more natural recruiting base than we do and have the AD that receives the most revenue every year in the country. Why couldn't we build a practice field inside of the new facilities? Just build it over on Franklin and have it multi-leveled and drop down to the waste thing to the North. That practice bubble is pathetic.

Personally I think video boards, sound system, pimped lockerooms and training rooms are a bigger priority for 18 year olds than a permanent practice facility

It is but having a indoor practice field that's not a ****ing bubble would add to the allure. Jerseys are also something we need. Recruits want flash, which we don't have in any of our facilities or jerseys.

 

[Tractor]

Martin Stadium, with about 35,000 seats, is the smallest football facility in the Pac-12.
The new construction, known as the Southside Project, is not intended to increase capacity but to dramatically expand the number of premium boxes and luxury seats that can be sold for higher prices.

Sounds to me like we're already ahead of WSU (phew). We've already done this. So this story doesn't really bother me much.

Good for them for taking the first step. Now it's up to us to take the next step.

 

[96 Buff]

How does TABOR impact CU's ability to fund projects based on future revenue? There has to be some kind of borrowing limitation that CU has because of the amendment.

 

[Quattro]

Sounds to me like we're already ahead of WSU (phew). We've already done this. So this story doesn't really bother me much.

Good for them for taking the first step. Now it's up to us to take the next step.

Think the reason here is we could do the same and finance it with future revenue from the Pac 12 when it starts to come in next year IIRC.

 

[Duff Man]

A couple posts on rivals by SD and Left Hand makes this seem inevitable. Just waiting on all the funding

I hope so. Part of my issue with the AD over the years has been the unwillingness to set clear, concrete objectives and goals.

 

[ScottyBuff]

Pac-12 money won't be rolling in until 2013.

In addition to the "stipend proposal" that might raise costs $2,500/athlete the basic grant-in-aid costs have been increasing at around 10% per year also.

Yes, it is great to have the Pac-12 TV deal coming soon, but we need to be responsible with it too. The next five years we need to spend on projects/strategies with the greatest ROI.

What will bring in the most revenue from donations, ticket sales, etc? Forget what "would be nice" or "other schools have this", that doesn't matter. Let's just do what we need to do to take care of our own problems.

 

[buffsyko]

Do something with the fieldhouse and complete the east stands to match the lower level. Add some seats to the west side but not so many as to block the great view. 60K would be nice. Upgrade video, weight/training rooms, lockerooms and yes, an indoor facility not a big white bubble would be nice also. That would be a last priority though.

 

[absinthe]

can't we just put it in layaway like WSU?

ask ISU how that almost went for them...

 

[absinthe]

2500 x approximately 150 scholarship athletes(my guess) =375,000

Our current how ever many Scholly athletes some how cost us around $8,000,000. I have no F'ing idea how we get there, unfortunately your number seems like the best case IMO.

 

[Quattro]

ask ISU how that almost went for them...

Pac 12 is a bit more stable than the Big 12 though so I'm not sure how good of an example ISU is here.

 

[absinthe]

Pac 12 is a bit more stable than the Big 12 though so I'm not sure how good of an example ISU is here.

Perhaps some holes in the ISU analogy but borrowing against theoretical earnings is often a bad plan.

 

[Quattro]

Perhaps some holes in the ISU analogy but borrowing against theoretical earnings is often a bad plan.

We are 100% certain we will be getting money from the Pac 12, yes? If it was a no, I would agree but this seems the same as taking out a loan, albeit a huge one.

 

[dio]

Tini is going to have a 5k foot house in Cherry Hills when he is 22. He knows he's going to get paid, yes?

 

[absinthe]

We are 100% certain we will be getting money from the Pac 12, yes? If it was a no, I would agree but this seems the same as taking out a loan, albeit a huge one.

Death and taxes. Nothing else is certain.

 

[Quattro]

Tini is going to have a 5k foot house in Cherry Hills when he is 22. He knows he's going to get paid, yes?

Not the point I was trying to make because I would think the job market is more fickle than the money we're assured to get from the Pac 12. Would this be any different than essentially taking out a loan?

 

[absinthe]

Not the point I was trying to make because I would think the job market is more fickle than the money we're assured to get from the Pac 12. Would this be any different than essentially taking out a loan?

we arent assured that money any number of things could happen including one of the partners going bankrupt.

 

[CUFan]

we arent assured that money any number of things could happen including one of the partners going bankrupt.

This is true. However if you do the proper due diligence you can flesh out the risk. If there are certain guaranteed payments in the contracts, if the partners financial stability is determined to be good and if a bunch of other t's are crossed and i's are dotted, such a loan could be completed. I would imagine a healthy amount of equity would be needed for whatever project you are contemplating to make a lender comfortable. Probably not the cheapest loan and depending on the finances of the AD may not make sense, but borrowing against future revenues may be possible.

 

[sackman]

All loans are based on repayment from future revenues. There is risk any time a lender makes a loan that future revenues will not be adequate to repay the loan. That is nothing new.

Any loan they take out will likely be from the CU Foundation. The CU Foundation needs to find a place to invest it's funds just like any other financial institution. If they can get 5% on a loan from the CUAD compared to 3% in treasuries, they'd be doing themselves and their investors a favor by making the loan.

 

[Del]

Not a valid comparison. While Boulder doesn't need an indoor facility as much as someplace like Minn or even Oregon, they do need one. Pretending it's ok we don't have one because a warm-weather school doesn't have one is silly.

+1 Today's high in Austin is 88 degrees just to give you a comparison. We have maybe 3 or 4 days a year below freezing.

 

[tante]

+1 Today's high in Austin is 88 degrees just to give you a comparison. We have maybe 3 or 4 days a year below freezing.

**** you, it is so cold here my balls froze to my thigh this morning.

 

[Del]

First priority should be to fix the ghetto video boards and sound system which appears to be already in the works. After that, I think we should focus on what would get recruits here first rather than just making more box seats. Fans and donations will come if we start winning. We need a bigger weight room, better sports medicine/treatment, facilities, and a brick and mortar indoor facility. Build the one like in the plans with a track around it and you help out mens and womens track and cross country at the same time. We don't need a new locker room, we just got a new million dollar one in 2007 or 2008 and its fine. The one we have right now is on par or maybe slightly nicer than Wisconsin's from what I saw of the special they had last week. We don't need to have 26,000 dollar air conditioned locker rooms like Oregon, what we do need is a weight room that is on par, treatment facilities, and an indoor facility.

 

[89BUFF89]

agree with video and sound, helps the fans and football pays the bills. you can't even hear most of the audio on the south end of the stadium, at least when we've been in section 203, it's embarrassing... better wi-fi would be nice, my phone craps out every time i am there... these are things at the lower end of the cost scale.

 

[BuffUp]

Aren't they building an indoor golf facility?!?

One thing at a time, boys!

seen that - what is an indoor golf facility? are we playing put-put in the ncaa

 

[BuffUp]

First priority should be to fix the ghetto video boards and sound system which appears to be already in the works. After that, I think we should focus on what would get recruits here first rather than just making more box seats. Fans and donations will come if we start winning. We need a bigger weight room, better sports medicine/treatment, facilities, and a brick and mortar indoor facility. Build the one like in the plans with a track around it and you help out mens and womens track and cross country at the same time. We don't need a new locker room, we just got a new million dollar one in 2007 or 2008 and its fine. The one we have right now is on par or maybe slightly nicer than Wisconsin's from what I saw of the special they had last week. We don't need to have 26,000 dollar air conditioned locker rooms like Oregon, what we do need is a weight room that is on par, treatment facilities, and an indoor facility.

bang on and agree 100%

 

[skibum]

All loans are based on repayment from future revenues. There is risk any time a lender makes a loan that future revenues will not be adequate to repay the loan. That is nothing new.

Any loan they take out will likely be from the CU Foundation. The CU Foundation needs to find a place to invest it's funds just like any other financial institution. If they can get 5% on a loan from the CUAD compared to 3% in treasuries, they'd be doing themselves and their investors a favor by making the loan.

bing-bing-bing-bing-bing
This. With gov't bond yields down across the board (except for some muni's that are riskier than the $1M Countrywide lent on that 400 sq ft 1 bedroom condo just off east Colfax a couple years ago), institutional funds, especially endowments and pensions that have lots of investment restrictions, are starved for yield right now.

The administration needs to lay out a vision for the future, and show their plan to get there. There's only two reasons to not make a big announcement soon: 1. They're incompetent or 2. They still haven't figured out a way to handle the campus/state politics. I mean, it's really hard for the chancellor to tell the _______ studies department that they're going to have to cancel X project and lose Y number of grad assistants, and the next day announce a new $97MM athletic facility. We're ahead of the game on #2 compared to a lot of campuses because we've done a good job of separating out the budgets, but there's still a messaging problem.

My guess is that they are waiting to announce the achievement of some milestone (or even completion) of the $1.5B capital fundraising campaign they're on right now, and shortly after that announce some big new athletics facilities & upgrades (with lots of caveats that none of the $1.5B is being spent on athletics).

Or, they could just be incompetent; given the 5th year they gave DII, it's a possibility that can never be ruled out.