Columbus Chamber Report Reveals Options to Retain Blue Jackets, Grow District

Blue Jackets, Arena District have significant impact on local economy

Executive Summary
CBJ/Arena District Backgrounder
Report on Options for Retaining the Blue Jackets in Columbus

COLUMBUS, Ohio – The Columbus Chamber today released a report that details options to retain the Columbus Blue Jackets (CBJ) and continue the economic development of the Arena District and surrounding areas.

“It is important that our community retain this team,” said Dave Blom, President, Ohio Health and Chair, Columbus Chamber Board of Directors. “The Columbus Blue Jackets impact our regional economy, support thousands of jobs, and bring millions of dollars in tax revenue that contribute to our quality of life.”

The report, commissioned by the Chamber and available at www.Columbus.org [see above], was produced by Stephen A. Buser, Ph.D., Emeritus Professor of Finance, The Ohio State University Fisher College of Business. In developing the report, Buser studied a range of information including Blue Jackets audited financial statements and reports, comparable NHL communities and arenas, and research from the John Glenn School of Public Policy.

“We all recognize a great value in the Blue Jackets, from the team itself to the economic importance of the entire Arena District, but this report clearly shows that there is a financial challenge that puts the team at risk,” said Ty Marsh, president and CEO of the Chamber. “Our role is to forward options that will engage a public discussion, and ultimately resolution, for retaining the team and ensuring the long-term health of the Arena District to continue its contributions to the regional economy.”

The report offers nearly 20 options in three categories: continuation of the existing ownership structure; implementation of public-private partnerships; and alternative private ownership structures.

“I’ve looked at NHL franchises across the nation, and it is clear that there are forms of public-private partnerships that have been successfully employed in other cities might be equally beneficial if employed in the case of the Columbus Blue Jackets and the operations of Nationwide Arena,” said Buser.

The report also details the economic growth that has occurred since the Columbus Blue Jackets came to Columbus and the Arena District was developed. According to the report the Arena has spurred economic growth in and around the district and more than $630 million had been invested in district as of 2006. At least 170 businesses employed more than 5,500 workers with annual wages of more than $350 million. Over a 10-year-period (1998 to 2008), property values increased by 267 percent.

“In my opinion, retention of the Columbus Blue Jackets is critical to maintain and enhance the economic activity in our community,” said Buser.

Columbus was awarded the NHL franchise in 1997. The late John H. McConnell, founder of Worthington Industries, was the founder, majority owner, chairman and governor of the Columbus Blue Jackets NHL team. Nationwide financed the $150 million arena. Today, John P. McConnell is the majority owner of the Columbus Blue Jackets.

The Columbus Blue Jackets played its first regular season game in October 2000. In 2004, Nationwide Arena was recognized by ESPN The Magazine as the No. 1 stadium experience among all 121 professional sports teams in North America.

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The Columbus Chamber, with 2,500 area businesses and organizations, leads and supports economic growth and development for the Greater Columbus community.