SA Olympic bid on the horizon

[thestaggy]

Send it to Durban and get some mileage out of that hulking white elephant.

 

[ToxicBunny]

Send it to Durban and get some mileage out of that hulking white elephant.

You mean the only stadium that is actually making a significant amount of money every year through daily operations?

 

[thestaggy]

You mean the only stadium that is actually making a significant amount of money every year through daily operations?

Still doesn't break even, still costs the ratepayers and still doesn't have a permanent tenant, so it is used rarely for its intended purpose and hence ''white elephant'' status.

 

[ToxicBunny]

Still doesn't break even, still costs the ratepayers and still doesn't have a permanent tenant, so it is used rarely for its intended purpose and hence ''white elephant'' status.

That then applies to pretty much every stadium in the country, barring maybe Newlands, Kings Park, Ellis Park and Loftus.

 

[thestaggy]

That then applies to pretty much every stadium in the country, barring maybe Newlands, Kings Park, Ellis Park and Loftus.

All of the stadiums that are owned by or host rugby unions are fine as they are heavily utilised for their intended purposes.

White elephant status applies to practically every legacy stadium, with maybe the exception of the Nelson Mandela Bay Stadium as it is used year round by the EPRU.

Would have been nice if a deal could have been struck between the WPRU and Sharks Rugby that would see them take over as tenants in the new stadiums in their respective cities. I'd also like to see the Lions move into FNB. The stadium in Mbombela should have been on the lines of the stadium in Rustenberg; simple and cheap, as that was always going to be grossly underutilised.

 

[Polymathic]

Still doesn't break even, still costs the ratepayers and still doesn't have a permanent tenant, so it is used rarely for its intended purpose and hence ''white elephant'' status.

Well last news article I saw stated the Moses Mabidha Stadium is only world cup stadium to run at a profit

 

[ToxicBunny]

See I wouldn't classify something like Moses Mabhida as a white elephant... The yearly losses are narrowing quite nicely atm.. was R11.5m last year, from R30m the year before (from what I can find on the net)...

These are infrastructure projects, and in some ways can't be seen as purely profit generating facilities.. they bring other benefits to the table.

 

[thestaggy]

Well last news article I saw stated the Moses Mabidha Stadium is only world cup stadium to run at a profit

"Although the Moses Mabhida Stadium is still operating at a loss, similar to all other World Cup stadiums in the country, the stadium is currently generating income in excess of R70m per annum," said Moyo.

http://www.iolproperty.co.za/roller/news/entry/durban_to_take_over_management

Durban stadium loses R2m every month

The Moses Mabhida soccer stadium is operating with a shortfall of R2 million every month and this is expected to go on for the next three years, but the eThekwini Municipality says the losses are well within the budget.

Last week for the first time, the municipality, disclosed the stadium's financial results to The Mercury. These showed the stadium had an income of R71.5m and expenses of R96.8m, with a deficit of R25m in the financial year that ended on June 30.

While the maintenance costs for the stadium stand at R718 000 a month, Durban architect Reuben Reddy, who was part of the technical team who looked at World Cup stadiums, said the costs would go up after the first five years.

"Stadiums are special animals and across the world they incur massive maintenance costs. The costs are largely due to mechanical, electrical and plumbing services, which have to be properly maintained.

http://www.iolproperty.co.za/roller/news/entry/durban_to_take_over_management

Granted these articles are dated 6/5/2013 and 30/10/2012, but I doubt there has been some sort of drastic shift in the financial situation seeing as we are talking about a significant deficit not more than a year ago and even more unlikely that it has changed much when the stadium management admits that it is still a bit of a struggle to attract lucrative major sporting events and concerts to the stadium on a regular basis. So yes, they may be doing well with their sky car and function/conference facilities, but as a venue designed to host major events, it is not doing well.

See I wouldn't classify something like Moses Mabhida as a white elephant... The yearly losses are narrowing quite nicely atm.. was R11.5m last year, from R30m the year before (from what I can find on the net)...

These are infrastructure projects, and in some ways can't be seen as purely profit generating facilities.. they bring other benefits to the table.

Fair enough, but I still feel that conference facilities, restaurants and other amenities should be complementary to the hosting of sporting events and major concerts, not the lifeline of the stadium.

 

[cr@zydude]

Still doesn't break even, still costs the ratepayers and still doesn't have a permanent tenant, so it is used rarely for its intended purpose and hence ''white elephant'' status.

Amazulu are the tenants there, hosting 15 matches per year. It also hosts at least 1 Golden Arrows match each year. It might not be making money, but it is being used.

On topic, Durban must surely be the hots. They've been spending money on the Kings Park precinct for years.

 

[thestaggy]

Amazulu are the tenants there, hosting 15 matches per year. It also hosts at least 1 Golden Arrows match each year. It might not be making money, but it is being used.

On topic, Durban must surely be the hots. They've been spending money on the Kings Park precinct for years.

I stand corrected on that. However, the powers that be are aware that they need more from sporting events.

"The stadium is being used more frequently for meetings and functions. The difficulty seems to be drawing major sporting and other events, especially when Durban audiences are not good at supporting large musical events. We don't have a winning soccer team with a large following, and rugby, for the moment, seems unlikely to move from Kings Park." - Durban Chamber of Commerce and Industry CEO Andrew Layman

 

[cr@zydude]

I stand corrected on that. However, the powers that be are aware that they need more from sporting events.

The cup finals, which Durban seems to get one of each year, do very well. The problem is that neither Amauzulu nor Golden Arrows draw good crowds for their home matches. The only exceptions are against Kaizer Chiefs and Orlando Pirates.

 

[thestaggy]

The cup finals, which Durban seems to get one of each year, do very well. The problem is that neither Amauzulu nor Golden Arrows draw good crowds for their home matches. The only exceptions are against Kaizer Chiefs and Orlando Pirates.

Such are the struggles most of our clubs face, sadly.

What is the deal with Chiefs and the Peter Mokaba Stadium?

Back on track; Outside of thinking that the stadium could see more use as a sporting venue, Durban would be a fine host city.

 

[Indigogirl]

Durban can have it...keep that crap out of CT...

Durban is more than welcome to bid for the Olympics - they can find out why so many Capetonians climbed on their hind legs during the 1990s to fight against the bid for the 2004 Olympics and all that the Olympics entails. This includes:

Fast-tracked development (ignoring, and riding roughshod over many of the actual needs of whichever city hosts the event);
Local businesses ignored, while the multi-nationals - such as Coca-cola, Nike and Nashua get all the business;
Forced removals - of folks living in areas that are not "convenient";
The "white elephant" syndrome of multiple stadia in a city that does not need/want them;
Street closures, etc. etc.;

There was a Strategic Assessment undertaken during the Cape Town Olympic Bid - to inform the process. It wasn't great, but it did highlight several issues - if you want to take a look, then check here.

There are some very stark realities - sure some people get to see some Olympic Games events without having to leave the country, but Durban (and the rest of the country) have to bear the costs - often for decades after. Have a look at the section in the Strategic Assessment titled "Macroeconomic risks" - for example. They are very worrying and times have not really changed much. One can only feel less secure about whose "handses" will be in whose "pocketses"...

 

[BLIXEMPIE]

In SA we can host the Summer Olympics in the middle of winter.