NASCAR HOF

NASCAR HOF In Year Two Again Operates At Higher Losses Than City Of Charlotte Expected

Published May 23, 2012

The $200M publicly-funded NASCAR HOF “turned two this month with shrinking expectations on the horizon,” as the early returns from the facility have been "sobering,” according to Erik Spanberg of the CHARLOTTE BUSINESS JOURNAL. For the first nine months of this fiscal year, “losses totaled $684,000, well above the budget estimate of $387,000.” Charlotte Deputy City Manager Ron Kimble and other backers contend that the HOF “has delivered, helping attract conventions, generating hotel and restaurant business and cementing the region as the home of the annual all-star race at Charlotte Motor Speedway.” The Charlotte Regional Visitors Authority, which operates the HOF, “projected an operating profit of $800,000 in the first full year and instead" lost $1.5M. CRVA Board Chair Joe Hallow said, “I think break-even would be a terrific win. The question is, if we are able to get the business to operate needing a subsidy of half a million dollars a year, is it worth it? In my personal opinion, it would be.” CRVA CEO Tom Murray “vows to at least reduce the deficits as part of a broader reorganization and cost-cutting campaign.” Spanberg notes sales, marketing and PR, “among other areas, will be consolidated so staffers work on more projects.” The HOF will enter its third year “likely 30% behind already downsized revenue projections” (CHARLOTTE BUSINESS JOURNAL, 5/18 issue).

GETTING THEIR GROOVE BACK: In Charlotte, Steve Harrison wrote better turnstile numbers have HOF officials "believing they are on the right track.” NASCAR HOF Exec Dir Winston Kelley said, “There is a series of different things that we have learned have worked.” Kelley said that “reduced-price tickets for locals in February and March helped boost attendance.” The HOF has “recently been able to keep attendance steady due to more aggressive discounting." In addition, the HOF “has reached out to school groups, and yellow buses have been a common fixture in front of the museum” (CHARLOTTE OBSERVER, 5/19).

PARTY SPACE: The CHARLOTTE BUSINESS JOURNAL's Spanberg notes the HOF “could be booked … with private events” during the Democratic National Convention. The DNC host committee “already has one event" planned for the HOF on Sept. 2. Bank of America Stadium “also is facing scheduling issues related to a DNC party.” President Barack Obama is set to give his acceptance speech there on Sept. 6. For that reason, the NFL Panthers “will make their 2012 regular-season debut on Sept. 9 in Tampa.” Still unresolved for the Panthers is "whether the team will use its stadium weight room, meeting rooms and adjacent practice fields during convention week.” Team President Danny Morrison said, “We’re looking at our options” (CHARLOTTE BUSINESS JOURNAL, 5/18 issue).