Newarenanow or anyone else, Belko's article states Quote:
In addition to sharing parking revenues and development rights, the state, city and county also want the team to pay rent at the new arena, in excess of the roughly $2 million a year it pays SMG at Mellon Arena, sources said.
Does anyone know if the 2 million referred to here is separate from the contruction payment last reported to be around 2.9 mill?
My guess is that the SEA will operate the arena. The Pens will control all the revenues for hockey and non-hockey events. The Pens will pay $2 million in rent to the SEA as SEA would be considered the operators of the arena. This would be unrelated to the Pens' $2.9-million-a-year contribution to the arena construction because that is in fact going to the financing plan of the arena, not the maintenance of it (there are rumors, however, that the Pens' financing contribution has dropped to $1.5 million a year).
That's the best I can do with it. I could be wrong. I'm not sure where Belko is getting this info from because none of it - the rent payments to the SEA, the $10 million payment to the Isle of Capri, etc - meshes with what the Trib reported. (I don't know what's up with that payment to IoC either...sounds like something between the team and the Isle of Capri, and I don't know why Rendell brought it up unless the Pens were seeking some sort of relief from it as part of the arena deal.)
The Pens have steadfastly refused comment on this negotiation and Belko seemed to have an awful lot of inside info on this that the Trib didn't have. I hate to say it, but Conte and Rossi with the Trib have been a solid day or two ahead of the PG on this issue since it began, so I'm not sure how much stock to put into Belko's report.