Stadiums Ripping Out Suites
Luxury suites are falling out of favor with some teams and venue owners, who’ve taken to ripping out skyboxes following changes in corporate entertaining policies and tax laws.
Apparently, many corporations are finding that the expensive suites they’ve leased aren’t getting used as much as they’d like, with some companies seeking more cost-effective ways to entertain clients.
Jack Borkey, CEO of Pepco, told the Wall Street Journal his company will not renew three of its four Cleveland Browns leases and is taking a different approach to entertaining clients – fishing trips.
"You’re not really getting your money’s worth and you get the same thing done," he said.
A recent Journal report listed 10 teams that have razed or refurbished suites in efforts to boost their revenue and combat the trend.
In many cases, suites are being knocked out to build larger clubs, party rooms and lounges that can house more people, and thus offer lower price points per person.
Teams like the Detroit Pistons are taking the idea of the skybox underground, the Journal reported. The Pistons apparently popularized the trend of offering "bunker suites" that come with courtside tickets so suiteholders can move between their seats and the lounge.
Other teams have gone different routes by offering suiteholders perks such as suite renovations, food and ticket credits, and discounts for long-term lease extensions, the Journal said.