(from Venues Today, September 26, 2012) Global Spectrum and Live Nation have partnered once more, this time for an existing project in Canada. The two companies have recently finalized a five-year management agreement for control of the Copps Coliseum and Hamilton Entertainment and Convention Facilities, which encompasses the Hamilton Convention Centre and Hamilton Place Performing Arts Center, all located in Hamilton, Ontario.
President of Live Nation Canada, Riley O’Connor, said pairing up with Global Spectrum made sense. “It’s dear to my heart. I’ve been booking Hamilton for 15 years,” O’Connor said. Originally Live Nation had explored bidding on the Hamilton structures and using their staff for operations, but with Global Spectrum’s broad network in arenas and the performing arts, joining together was believed to be a better fit.
This deal is calling for both companies to cut losses at Copps and Hamilton. Copps Arena has an annual subsidy of $935,623, while Hamilton generated a loss of $967,063 each year. The new management team has vowed to reduce these subsidy costs for both venues by $500,000. The plan doesn’t stop there, however, the next $450,000 reduced will be split 30% to management and 70% to the city of Hamilton. The company goal is to break-even within two years.
Additionally, the two companies are planning on investing $500,000 towards improvements to the arena including food services and advertising before and after events. Their underperforming hockey team, the Hamilton Bulldogs, will also be included to that list. Averaging 40 games, the Bulldogs are about half of Copps’ annual events. “We’re looking to do more like 120 events once we ramp up,” said Frank Russo, Senior Vice President of Business Development for Global Spectrum. Both O’Connor and Russo emphasized these new events will open buildings, as well as opportunities for promoters and producers. Hamilton Place will benefit most from more activity at the convention center.