The University of Kansas is in the process of renovating the David Booth Kansas Memorial Stadium, with plans to take on $115 million in new debt to cover the construction costs. The total project funding is approximately $450 million, with $248 million in donations and $85 million in grant money from the state. The university is expecting a seven-fold increase in revenue from the stadium once it reopens in August, with the addition of modern amenities and the construction of a new conference center.
Chief Financial Officer Jeff DeWitt mentioned that the new revenue generated from the stadium will help offset the debt service payments, which are estimated to be around $10 million per year. The university is banking on the increased revenue from ticket sales, concessions, merchandise, and hosting events to cover the debt payments.
Comparisons with other athletic departments in the region show that Kansas lags behind in concessions and game day revenue, indicating potential for growth. The renovated stadium, despite having a smaller capacity than others in the region, is expected to produce higher revenues due to the significant improvements made.
The ongoing renovations do not include work on the east side of the stadium, but plans for a future project, including a new grandstand, hotel, retail, and student housing, are in the works. The university is in discussions with private developers and expects an update on the project within two months. The aim is to enhance the stadium’s revenue-generating capabilities and provide a top-notch experience for fans.
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Photo credit www2.kusports.com
