Tuesday, August 30, 2016

The Yankees Fell for one of Those “Refinance Now” Commercials

Please overlook the tiny bit of sarcasm that I put in the title of the blog post as I couldn’t help it, that’s just how I am here lately. That was the first thought that popped into my head when I read that the New York Yankees were looking to refinance the $1 billion of debt they have racked up from building the new Yankee Stadium in the Bronx. Hal Steinbrenner is looking for new and inventive ways to make more money for himself each and every day, isn’t he?

Truth be told the Yankees could save around $10 million annually from the loans they took out to build the $1.2 billion stadium in the Bronx that opened in 2009 which could go a long way if it was invested back into the team. The problem is, and of course I’m speculating here, it won’t. It will go straight back into the Steinbrenner family bank account never to be heard from again.

According to reports the Yankees are breaking even right now with the stadium payments (which will rise from $73 million annually to $76 million in 2018), YES Network dues and Legends Hospitality and its workings. The Yankees almost need this to work if they don’t want to operate in the red but since the Yankees used taxpayer dollars to build the stadium it may be easier said than done. Since the Yankees are tax-exempt and has 40-year bonds issued to help fund the stadium by the city of New York the team now has to kiss a little butt.

The team has already announced a willingness to give back 2,000 of the 9,000 parking spots it received from the Bronx Parking Development Co. now that the Yankees are officially losing money on their parking garages. Trust me, if there is a way for Hal to squeeze a penny out of this situation he will. Have no fear, we’ll be back to running in the green in no time. 

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Sorry for the Capatcha... Blame the Russians :)