Video: How seat licenses work

After a decade of negotiations, threats and promises, the Vikings showed Minnesota the money Thursday night. The team stacked up a subsidy from the NFL, a personal seat license plan and future naming rights to pay its $477 million share of the new stadium. And then Vikings owners kicked in another nine figures to seal the deal.

“The 100 million in equity is cash coming from the Wilfs, from the pockets of our owners,” said Vikings Chief Financial Officer Steve Poppen.

As Minnesota Gov. Mark Dayton had demanded, the team committed more of its own cash to the project in the end. That’s money on top of the other revenues the Vikings earmarked to pay their 49 percent share of the 1 billion dollar stadium project.

But Vikings fans will have to put up, too. The state has agreed to sell $125 million in personal seat licenses on the team’s behalf. The licenses will range in price from $500 to $10,000, although the average seat license will cost $2,500 each. And three out of four fans will have to buy a license in the 65,000 seat stadium. The licenses are one-time fees, that give buyers ownership of the seat. They’re also commodities that can be traded or sold.

  • Random_Sample

    Wow, talk about minimizing risk.
    So, of the $400,000,000 the Wilf’s were supposed to pay for the stadium. They will manage to pay virtually nothing, yet reap all of the rewards.

    $100,000,000 from PSL’s plus the $200,000,000 from naming rights leaves $100,000,000 for the Wilf’s to pay. However, they will likely get an interest free loan for that amount from the NFL.
    That is not even the worst part.

    Reports are that Personal Seat Licenses will cover 75% of the seats at the new “Peoples Stadium”. That is an increase of 13.5% more seats locked up permanently by season ticket holders compared to the old Metrodome. So, that leaves only 16, 250 seats of the 65,000 seats in the new stadium available for single game purchase. That is not a lot of tickets for people that cannot afford the thousands of dollars involved in PSL and season ticket costs.

    The Vikings are a corporate team, plain and simple. The are a slick well oiled professional organization that has taken Minnesotans for a ride.
    I predict the Vikings will lose many fans over this disaster.