Falling Rental Car Revenues Hit Sports Facility Deals

With tourism in a slump, the cities that host Major League Baseball’s “Cactus League” spring training teams are dealing with a continuing downturn in revenue as play begins in March. The revenue drop is not caused by attendance drop-offs, but by falling income from a 3.25 percent rental car fee that supports debt on Cactus League stadiums, according to The Bond Buyer.

Financial pressure is growing in the area of sports and tourism tax revenue, as Arizona is hoping to get an $84 million deal to keep the Chicago Cubs spring training facility in Mesa, Ariz.

Two public agencies, the Arizona Sports and Tourism Authority and the Maricopa County Stadium District, issue bonds for the league’s stadiums, with some help from cities in the Phoenix area. Two Major League Baseball teams also play their spring training games in Tucson.

Julie Schweigert, director of the stadium district, said auto rental revenue is down sharply from last year, primarily due to drops in business and convention travel.

Comment On This Story

Name:  
Email:  
Comment: (Max. 10000 characters)  
Please leave blank:
* Please note that every comment is moderated.

 
 

Newsletter: Sign up to receive latest news, articles, and much more.

Read the latest

Auto Focus Blog: A blog covering fleets, auto rental and the business of cars

Auto Manufacturers: Mobility Disruptors or Fleet Providers?

Maven’s Alex Keros shares insights into evolving smart mobility business models and new opportunities with fleet management.

What is Your Time Worth?

Personal observations of retail and travel transactions reveal just how much a consumer’s time is worth today, and how increasingly intolerant we are of inefficient transactions.

Safeguarding Your Business with Brokers

While the high-profile bankruptcy of Atlas Choice has left many car rental companies wary of working with brokers, rental companies can take steps to protect themselves and ensure a productive relationship.

Job Finder: Access Top Talent. Fill Key Positions.

>