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January 18, 2007

Naming rights could pay half the cost of the subsidized "Barclays Center"

AYR-arenafinancing.jpgAtlantic Yards Report

Norman Oder explains the implications of Bruce Ratner's deal to sell the naming rights of a new Nets arena to Barclays bank.

But the big story behind the planned Barclays Center--forget the "Brooklyn Arena" placeholder, which was long gone from the official site--isn't how much a British firm might spend to get a foothold in the New York media market. And it isn't even the obvious irony that "Brooklyn pride," as New York Magazine's Chris Smith pointed out yesterday, inevitably gets pushed aside when it comes to business.

It's that Forest City would get Barclays to pay for perhaps half of the construction cost of the arena (and others to pay significant chunks.) That would make the most expensive arena in the country, at $637.2 million (p. 7), a lot easier to build.

Click here for a detailed explanation of the arena financing and what questions remain.

Posted by lumi at January 18, 2007 11:07 AM