John Keim and Seth Wickersham were the co-authors of a recent story on ESPN about the details of Josh Harris’ 43-page prospectus to pitch to potential limited investors in the Commanders, and what they learned from it.
Wickersham joined BMitch & Finlay to discuss that on Wednesday, while Keim jumped on with Kevin Sheehan to discuss his biggest takeaway from the document:
“This was sent out in March 2023, so it was relatively updated, and in a general sense, we learned that the franchise had fallen under Dan Snyder, and they pegged him and the controversy as a big reason revenue had fallen,” Keim said. “That, and the naming rights, where FedEx, who pays $7.6 million a year for naming rights, has the option to get out if there’s an ownership change – and that could be a possible windfall, because they feel they could get up to $30 million in a new naming rights deal.”
The prospectus included thoughts on how much revenue could increase under new owners who simply aren’t Snyder, and even more so if a new stadium is built – with the conservative estimate being 2031, and despite all three municipalities listed in the document as potential sites, old ownership told them that Virginia could possibly offer up to $1.5 billion in incentives to build there.
Keim and Wickersham did not write specifically in-depth about the local revenue total, which was $173 million last year, but Keim did note why there’s optimism in the prospectus it can more than double.
“I talked to Jason Wright about that at the owner’s meetings in March, and he said people didn’t want to be associated with the brand because of Dan Snyder,” Keim said. “He said the Snyders are well aware of what the business model will look like after the sale. That’s substantial increases projected there, but Wright would also bring up the ability to re-invest in the franchise and FedEx Field, and things they see you can do with the extra money, that can continue to add to that growth.”
Related
And when it comes to the stadium idea, Keim and Sheehan agree that a heavy investment in improving FedEx Field has to happen because they’re still going to be there for a while – but the chances of, and locations for, a new stadium are certainly much improved without Snyder in charge.
“What they were told by current ownership that Virginia might give them – well, Maryland and DC will be in on this too, so it’s who can provide the best incentives, and then, where is the best place to build,” Keim said. “If it’s RFK, there are still obstacles there, and just because everyone wants to go there doesn’t mean they can, so how can you get to a point where that’s doable? There’s a lot that goes into this, so who knows how long this whole process will take. I think that’s why they put out a 2031 estimate, because you just don’t know.”
Check out Keim’s entire segment on all things Commanders above!
Follow The Kevin Sheehan Show on Twitter: @kevinsheehandc & @sheehanpodcast
Keep up with 980 The Team via:
Audacy App | Online Stream | Twitter | Facebook | Instagram