Stadiums don’t make profits but

Economists generally agree that stadiums don’t make profits.

I am not equipped to argue against that but, profitable or not, Dunedin’s Forsyth Barr stadium is making a huge contribution to the social life and economy not just of the city but the wider region.

South-bound traffic was bumper to bumper on State Highway 1 through Oamaru on Thursday as people from Canterbury headed to Dunedin for Ed Sheeran’s first concert.

Traffic heading north and east to the city were just as busy.

The ODT reported on a city full of people enjoying themselves, and spending up large through the weekend.

North-bound traffic was bumper to bumper as people headed home yesterday and businesses en route benefitted from travellers who stopped.

Riverstone Kitchen, north of Oamaru and a few kilometres on the right side of the Waitaki River, is always popular with locals and travellers.

But this Facebook post shows how busy it was this weekend, owing in no small part to concert goers stopping on their way to and from Dunedin.

Easter Weekend – 5 record breaking MAMMOTH DAYS!

Here’s a few stats for you:
38kg Coffee used
over 1/2 tonne of potatoes
25 staff with an accumulated 916 hours worked
2420 people eating in the restaurant ( plus many more takeaways we didn’t count)
95kg fish
312 litres milk
and 218 Hot Cross Buns (sold on just 1 day!)

We hope you all had a good weekend and got to relax a little more than we did.  . . 

The building of the stadium attracted a lot of critics, some still argue against it. They may have grounds for their criticism.

But when the stadium has a show that attracts visitors numbering more than half the city’s population and their spending benefits many businesses en route as well, the optimism of those who backed it is vindicated too.

 

3 Responses to Stadiums don’t make profits but

  1. Paul Walker says:

    Economists say that building stadiums wastes resources. The resources used on the stadiums could be better used elsewhere.

  2. Andrei says:

    How many events of that size does the stadium accomodate each year?

    What was the capital cost and what are the interest costs?

    What are the ongoing maintenance costs?

    i cnnot see it stacking up but the numbers might be illuminating

  3. Paul Walker says:

    Andrei’s question are good questions, deserving of answers. And no the numbers will not stack up.The simple message from economic studies of stadiums is that they are not worth the money. US studies suggest that stadiums need to be used 250-300 nights a year to break even. Is Forsyth Barr really used 300 nights a year?

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