It doesn’t matter if you’re financially big or small, you’re likely feeling some sort of effect resinating from the current coronavirus pandemic. You could be me, a guy who hammers on a keyboard for a living, or a big professional sports executive charged with making sure a fancy new stadium gets built in time for the upcoming season.
Rams seeking more NFL stadium funding. My story https://t.co/0aXcvRfc6c— Daniel Kaplan (@KaplanSportsBiz) May 14, 2020
Well, if you’re the Rams, your pockets might be especially itchy right now while everyone is attempting to navigate the murkiness and make sure SoFi Stadium is up and running enough to host NFL games this fall. But according to The Athletic’s Daniel Kaplan, the Rams may be hurting a little more than expected when it comes to financing the new venue.
According to Kaplan, the franchise has reportedly sent multiple inquiries to the NFL for help. The first was a request for an extra $500 million to “offset cost overruns.” The second request was to ask for double the initial time they were originally given to payback all the money they have borrowed, increasing the current plan of 15 years to 30. If they receive the extra $500 million, that would bring the Rams’ total to $900 million.
It’s expected that the Chargers will likely split the up-to-$500 million infusion of cash, as well. At this point, it’s almost safe to say that fans will not be in the stands, at least during the beginning of the season. With some NFL facilities able to open starting next week, hope is certainly on the rise. However, the lack of confidence at the moment is taking a shot to PSLs which is revenue the Rams hoped would go directly to paying off debt.
For those that don’t recall, the Chargers somehow got off the hook for needing to carry the same load as the Rams in selling PSLs. In 2016, Kroenke agreed to a deal that would take the revenue generated from the Chargers’ PSLs and put it directly to capital costs. But any cost overruns would be Kroenke’s problem only, which seems to be coming to fruition as of right now.
Even with all of this up in the air, the biggest remaining question mark still sits with whether or not SoFi Stadium will even be able to open when and if construction in completed. The state of California has recently extended its’ stay-at-home orders until the end of July while maintaining their firm stance on “easing into” a re-opening instead of rushing one.