Going to NBA games — particularly playoffs and NBA Finals games — at Oracle Arena in Oakland is a joy because it is loud and filled with exuberance and love of the sport. It feels more like a college atmosphere (with beer) than it does the more staid feel of many modern NBA arenas. I hope the Warriors don’t lose that when they move into their new arena in San Francisco in the fall of 2019.
What I do know: It’s going to cost some serious bank just to have the right to buy season seats in the new building.
The Warriors are making teams buy “memberships” for the right to buy season tickets — just don’t call them “personal seat licenses.” The San Francisco Chronicle has the details.
The team is calling it a “membership” program, and it will require season-ticket buyers to pay a one-time fee that will enable them to buy their seats for 30 years. In a unique twist yet to be used in any pro sport, the Warriors promise to pay back that fee after 30 years.
Golden State’s ticket plan represents the latest evolution of a business trend that has deep roots here in the Bay Area, where Al Davis and the Raiders were pioneers in selling “personal seat licenses,” and where both the Giants and the 49ers used similar strategies to help finance their new stadiums. The twist the Warriors are stressing is that, unlike PSLs, which required a one-time cost allowing a customer to buy season tickets every year, this plan involves a refund at the end.
How exactly does this work?
If you want to own Warriors season tickets, you would pay a one-time fee for the right to purchase your seats every year for the next 30 years. You can do that in one lump sum, or finance the payments. That’s a big commitment, but the team says memberships will be transferable and can be sold, but only through a marketplace run by the team.
How much are they? The Warriors say about half the memberships will be less than $15,000, the other half scale up from there.
In the Bay Area, there was zero chance the Warriors would be able to get public funding to help them build this new $1 billion arena (as it should be everywhere, but that’s another rant for another time). This is the Warriors’ way to essentially get an interest-free loan to help pay for part of that arena. This is not a plan that will work in every market, but with the money available in San Francisco they can pull it off.
This arena is going to generate a lot of new revenue for the team outside of just this membership fee, and those fattened revenue streams are something Warriors ownership is counting on to help them keep the best — and soon to be the most expensive — team in the NBA together.