City Looking To Make More Money From Pechanga Arena, Looks For New Lease Deal
Wednesday, May 1, 2019
Photo by Matt Hoffman
The city of San Diego pulled in nearly $600,000 in revenue from Pechanga Arena San Diego in fiscal year 2018 — that includes money from things like parking, the swap meet and naming rights.
A city spokesman said even more money could be made from the arena, formally known as the Sports Arena, and is conducting a request for proposals (RPF).
"The city of San Diego has issued an RFP for a short term lessee of the Sports Arena in the belief that the property can realize greater revenues," spokesman Arian Collins said. "This assessment is based on a careful study of the market and the property by the Real Estate Assets Department."
Pechanga Arena San Diego sits on city-owned land is operated by AEG Management SD. The arena’s current operating lease ends next May. The request for proposals issued by the city calls for a new lease of no longer than three years. At the city’s discretion, it could extend the lease for up to two more years.
The RFP notes that the arena hosts a handful of sports teams and nearly 150 events per year bringing in more than 600,000 guests. It stipulates the types of proposals should include events that already happen at the stadium.
The RFP states: "Each proposal should reflect the city's desire to have a lessee who provides a high level of service to the public while operating, managing and maintaining the property and, at a minimum, its current uses, event types and operations in a fiscally responsible manner."
A spokesman said the current operating lease does not provide the city with a percentage of rent from events inside the arena. The proposals are due to the city by May 23.
The City of San Diego thinks it can make more money from Pechanga Arena — long known as the San Diego Sports Arena that first opened in 1966.
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