Behind the Sabina Park investment

[Lazie]

<TABLE cellSpacing=0 cellPadding=1 width="100%" border=0><TBODY><TR><TD><SPAN class=Subheadline>Is box leasing enough to secure loan repayment?</SPAN></TD></TR><TR><TD>By Balford Henry
Sunday, March 18, 2007
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<P class=StoryText align=justify>Government's approximately $2- billion(US$30-million) investment in Sabina Park will be repaid from the lease of over 110 boxes (suites) to private entities.<P class=StoryText align=justify>According to Minister of Finance and Planning, Dr Omar Davies, a "special purpose vehicle" has been formed by the Jamaica Cricket Association, the local cricketing executive body, and Kingston Cricket Club, the owners of Sabina Park, for the purpose of administering the loan.<TABLE cellSpacing=0 cellPadding=5 width=360 align=center border=0><TBODY><TR><TD></TD></TR><TR><TD><SPAN class=Description>Experts say it will cost alot to maintain Sabina Park (Photo: Bryan Cummings) </SPAN></TD></TR></TBODY></TABLE><P class=StoryText align=justify>He said that funds for repayment would come from the lease of the upscale boxes, which have been constructed in the George Headley Stands, as well as the new, unnamed north stand.<P class=StoryText align=justify>President of the Jamaica Cricket Association (JCA), Jackie Hendriks, confirmed Friday, that the boxes are being leased for 10-year periods at between US$90,000, for those on the lower floors, and US$45,000, for those on the higher floors.
There are also 14 double or 24-metre suites, currently occupied by representatives of the International Cricket Council (ICC) for Cricket World Cup 2007, which will eventually be leased at double the regular prices.<P class=StoryText align=justify>Hendriks told Sunday Finance that there are 32 boxes in the George Headley Stand and that there are another 78 in the north stands. He says that about 90 per cent of these boxes have been leased ensuring a reasonable flow of income into the coffers of the "special purpose vehicle".<TABLE cellSpacing=0 cellPadding=5 width=360 align=center border=0><TBODY><TR><TD></TD></TR><TR><TD><SPAN class=Description>Finance Minister Omar Davies (left) and Security Minister Peter Phillips view from a box, the ICC Cricket World Cup game between West Indies and Pakistan at Sabina Park on Tuesday. There are over 110 luxury boxes at Sabina Park. </SPAN></TD></TR></TBODY></TABLE><P class=StoryText align=justify>However, there are concerns about whether the current arrangements will attract enough funds to maintain and secure the newly upgraded park, and what additional programmes are being planned to increase revenues.<P class=StoryText align=justify>Minister of State for Foreign Affairs and Foreign Trade Senator Delano Franklyn, who had been specially assigned by the government to oversee the preparations for CWC 2007, told the Senate recently that it would cost approximately US$2 million per month to maintain the new Trelawny Multi-Purpose Stadium in Falmouth.
Experts say it will cost a lot more to maintain and secure Sabina Park.<P class=StoryText align=justify>Executive director of the Local Organising Committee (LOC) for CWC 2007, Robert Bryan, suggested last October, that the government intended to eventually divest the Trelawny stadium, which also cost $2 billion to build.<P class=StoryText align=justify>But, speaking January last year at the groundbreaking for the Sabina Park upgrading, former Prime Minister PJ Patterson said that a company was already incorporated to assume ownership of the Trelawny stadium after CWC 2007 ends.
He said that the government would soon be inviting proposals for investment development and management services re

[Shatta]

RE: Behind the Sabina Park investment

Wicked post Lazie and sad to say but it shows the ineptitude of our local politicians and also our lack of vision.

Deep in the heart of the capital city of the reggae capital of the world we can't think of ways to generate revenue besides playing cricket? What about football, hockey, entertainment etc?

How much thought went into all this?

Without vision the people perish

respect

[Mosiah]

RE: Behind the Sabina Park investment

<DIV>I'm sorry, Shatta, but I cannot see how over 100 luxury boxes are going to be healthy in today's Jamaican economy. Yes, companies have crazy cash, and Jamaican people like to show off, but I cannot see how many companies will be able to justify such expenditures.</DIV><DIV></DIV><DIV>If the cricket authorities succeed in leasing these luxury boxes and maintaining the rest of Sabina Park, more power to them! I hope our journalists are brave enough to do a follow up story to this article next year and 5 years from now.</DIV>