Entering 12

And just to cheer everyone in the East Bay up, there’s this:

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Why won’t I acknowledge #11, or the 11th anniversary? Umm…

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Pffft.

Do not be surprised when teams withhold rent as part of lease talks

The Merc reports that the 49ers have withheld more than $5 million in rent from the City of Santa Clara.

Yawn.

The team is due a rent “reset” that could eventually lower its annual payments from $24.5 million, a figure that includes operating costs. The 49ers like to claim that it’s the highest rent in pro sports, though most leases don’t include operating costs, usually an eight-figure item on their own. Even with those costs removed, it’s still a pretty high rent payment. That doesn’t mean anyone should be sympathetic to the Yorks. Forbes had the team’s revenue and operating income for the 2014 season at $427 million and $123.7 million, respectively.

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The 49ers believe the rent on this place is “too damn high”

That said, the system, and the very nature of these lease agreements puts teams in a negotiating advantage from jump. If a lease is about to expire, or if there’s a clause that allows for renegotiation, chances are the team is going to take advantage of it. Let history be a guide.

  • A year ago the Raiders withheld rent as they talked 2015 lease with the Coliseum JPA. The lease ended up being for only one year.
  • The A’s famously had a lengthy brouhaha with the GPA over shorted parking revenue that eventually spilled over into lease talks. After Oakland played hardball with the A’s, then-MLB commissioner Bud Selig pulled the move threat card and Oakland backed down.
  • During the Chris Cohan era, the JPA sued the Warriors three times over breach of contract, ending in settlement.
  • The Giants owned the AT&T Park structure, so their lease with SF was for land, a nominal fee. That didn’t stop the Giants from arguing over property taxes, eventually going to court over the matter.

All of that happened since the turn of the millennium.

In a more charitable world, teams and their incredibly wealthy owners would hold to their contracts, instead not even waiting for the ink to dry. That’s not the world we live in. So we can grouse more about certain owners we disdain as opposed to others we hold in higher regard. It doesn’t matter. This is how teams operate. Since these facilities have such huge mortgages and most of them are publicly owned, it’s the municipalities that get the worst of it. Exactly what can the cities do, anyway? Evict the teams? Cities can and should fight for what they can, but remember that in the end, they’re not supposed to be the winners. The teams are. The deck is stacked against the public.

A note on race and patience

Admittedly, the following is at best only tangentially sports related. Normally I keep notes like this on my personal Facebook page. This time I felt I should post it here, simply because there are a few lessons to learn from it, especially when interacting on the internet. Don’t worry, this is not turning into a personal blog. I’ll have a real sports stadium/business post tomorrow.

Last night after the Knicks-Suns game we crowded into a garage elevator. An elderly white couple hurried in as I held the doors open.

“Floor?” I asked them.

The woman replied, “Four.”

Then she looked at me, paused as if to correct herself, and said, “Cuatro.”

I pressed the appropriate button and looked over at my younger brother, who smiled a little.

When we reached the fourth floor the doors opened and the couple exited the elevator.

After the doors closed everyone remaining in the elevator, including the rest of our crew and some strangers, laughed hard. We went to level five.

Now, as a Filipino, I do occasionally get mistaken for Mexican. My Spanish surname means I sometimes get mail from Latino special interest groups. But I am not offended by this, just as I am not offended by that lady. How would she know? It can be difficult. I could have gotten confrontational or corrected her in a condescending manner. Would that be helpful? Probably not. An elevator is not the place for lectures about race.

My reaction was not about that lady, but about the difficult nature of racial discussions. Even the most trivial, inconsequential exchanges can blow up because of misunderstandings. And while there are still issues with institutional racism and disgusting behavior (Trump rallies), white folks are caught up in a sort of verbal paralysis regarding race and that sucks for them. Not as much as actual practiced racism, but it sucks.

So please, don’t mind if I laugh about it every so often. I’m just coping with the absurdity of it all.

– Brown person.