Nashville Ballpark: Latest -- Sounds Sold; Focus for now is on Greer Stadium improvements

[Mass Haas]

Link:

 

What a mess

[dadofandrew]

It's looking more and more like Nashville will not have a AAA team in a couple years. Too bad a visionary doesn't step up and broker a deal.

[homer]

Racine resident Craig Leipold owns the Nashville Predators NHL franchise (and owns a residence in downtown Nashville). I'm sure he has lots of ties to the Brewers ownership group - wonder if he's been approached or if the Brewers management doesn't really care since they can pretty much move their AAA team anyplace.

[zachjack13]

I believe that if the Sounds move, then the fans are the ones getting screwed. They pay good money to see a good team who has won championships in the past as well as up and coming players for the Major League team, and they get a slap in the face because people can't come together and get a deal together. It is stupid to think that most anywhere in the country you could get a deal and stadium done immediately, and then you have that one team messing that up. Hopefully, there can be SOME kind of resolve or maybe the Mayor of Nashville can get into the mix because it sounds like he wants the Sounds to stay in Nashville.

[Mass Haas]

Link while active, text follows:

 

www.fairviewobserver.com/...321/MTCN06

 

Developer, Sounds trade accusations

On eve of key date, each says other hasn't signed deal

By BRYAN MULLEN

Tennessean Staff Writer

 

Officials with the private development company partnering with the Nashville Sounds on a proposed new downtown ballpark said they were stunned by pointed comments made Monday by Sounds General Manager Glenn Yaeger.

 

"We were very surprised with what Glenn Yaeger had to say, and we've been working really hard with the Sounds for the past several weeks to try and get an agreement we thought was fair and reasonable," said Struever Bros., Eccles & Rouse General Counsel Priscilla Carroll.

 

Carroll was responding to Yaeger's comments to The Tennessean that "the Sounds are committed to a new ballpark in Nashville, but we just picked the wrong partner (in Struever Bros.)."

 

Both sides' remarks came one day before a critical deadline that must be met to help ensure the project's future. The Sounds and Struever Bros. have struggled to come together to finalize plans for the ballpark and must reach a joint development agreement by 4 p.m. today to file for a needed extension request with Metro.

 

If an agreement isn't reached, the project will die.

 

According to the Sounds, the team has given Struever Bros. a fair proposal for a joint development agreement, but Struever Bros. hasn't signed it. Struever Bros. countered by saying they have made a proposal to the Sounds, which the team has yet to sign.

 

"The reason the city isn't turning over the keys here is because (Struever Bros.) hasn't identified an equity investor," Yaeger said. "Who's paying for this thing? Where's the money coming from?"

 

Struever Bros. said they have had lenders lined up for weeks.

[Bambis Bombers]

The Nashville soap opera continues...

 

LINK

 

 

UPDATE: The Nashville Sounds threw another curveball this afternoon. At the final hour, the team did what it said it wasn't going to do. It signed the Metro Council amendment to the memorandum of understanding to extend the deadline for completing financing on a new downtown ballpark without having a joint development agreement with Struever Bros., Eccles & Rouse.

 

The Sounds pulled a last minute move last Friday with filing a resolution to get on the agenda for the April 3 meeting when everyone thought the deal was dead then.

 

On April 3, the council will consider the amendment. But Councilman Mike Jameson, who is sponsoring the amendment, has said he'll vote against it without the joint development agreement. That typically means other council members will follow suit and reject the extension.

 

And guess what? That agreement doesn't look like it's happening anyway. Struever Bros. issued a statement saying it made a best and final offer today and the Sounds rejected it.

"Within this proposed joint development agreement, SBER offered a clear path forward to get the project back on track by offering to share design expense and construction risk that under terms of the memorandum of understanding approved by Metro in February 2006 belong exclusively to the Sounds," Priscilla Carroll, the developer's general counsel said in the statement. "SBER is for an extension of this project by the Council, but only if an extension will result in the project becoming a reality. The fact remains that the Sounds must accept a fair and reasonable offer to help them with the obligations of the MOU."

 

Even if the agreement was signed, the Sounds could be dealing with a hostile council, making passage difficult.

 

 

As originally reported:

 

 

There may have been no joy in Mudville when mighty Casey struck out, but he wasn't in Nashville when the Sounds deal went South.

 

The Nashville Sounds have whiffed on a deal to go downtown after much anticipation that locals would while away summer afternoons on the riverfront hearing wood meet twine wrapped tightly in leather.

 

But the team's development partner is feeling a bit like Ray Kinsella ("if you build it, they will come"). It says it wants to build a ballpark so another minor league baseball team will come.

 

If Mayor Bill Purcell holds the Sounds in default -- as he has threatened -- of the memorandum of understanding signed a year ago, the team's development partner Struever Bros., Eccles & Rouse intends to move forward under the MOU and search for a team to replace the Sounds if issues can't be worked out. The developer already has relationships with professional baseball teams, notably the Baltimore Orioles and the Boston Red Sox.

 

It would be a challenge to get another team and Struever Bros. would prefer to have the Sounds play in the ballpark but is prepared to search if necessary. To help in that cause, the developer may need an amendment to the MOU that allows for at least a Double-A team, not Triple-A as stipulated.

 

Neither the Sounds nor Struever Bros. have budged on a joint development agreement to restructure the deal to build a new $43-million ballpark downtown. As a result, blame has been flying from every direction. As it stands, the developer appears to have Metro on its side.

 

Purcell said Friday he would hold the team in default of the MOU if the Sounds don't agree by 4 p.m. tomorrow to extend the deadline for completing financing to Oct. 31.

 

The team won't sign the amendment without the joint development agreement.

 

Glenn Yaeger, the Sounds general manager, however, hasn't given up hope for a downtown ballpark if the deal dissolves. This afternoon, he said from his spring break vacation in Arizona while taking in some baseball spring training games, that the team won't give up trying to get a new ballpark downtown, just not with Struever Bros. as the development partner.

 

"The only remedy we have is to let this expire," Yaeger said of the MOU.

 

Yaeger tossed a knock down pitch at Struever Bros. this afternoon, which prompted the developer to start talking publicly about what it would do if the city pushed the Sounds into default. He has been blaming Struever Bros. for the troubles with the deal moving forward, saying the developer hasn't performed under the MOU. But Yaeger went farther yesterday. He said the developer hasn't responded to requests to show a commitment to the project, "one they've been unwilling to do for 14 months."

 

Yaeger said the developer's fee is one point of contention. If Struever Bros. becomes master developer as proposed, it takes over how the $43 million is spent on the ballpark. He said $10 million covers "soft costs" with the first $2 million going to Struever Bros. as a development fee. Yaeger said the team wants Struever Bros. to reinvest that into the project. "To us, that's a commitment to the project," he said as San Francisco Giant Barry Bonds was striking out in the background.

 

The team also wants Struever Bros. to cover the cost of getting construction documents to the level needed to determine a guaranteed maximum price. Those costs would be reimbursed at closing, he said, but noted that the developer has balked at that notion.

 

Interestingly, it's the lack of complete construction documents and a guaranteed maximum price that could put the Sounds in default. Struever Bros. and Metro's position is those documents were supposed to be completed long ago. The Sounds' lenders wanted them as a condition for loaning $23 million for the ballpark.

 

Yaeger has countered that the design process was stopped when it appeared that Struever Bros. wasn't able to put together its $20-million share of the money for the ballpark and never disclosed who its equity partner was on the planned $225-million adjacent development. "We knew Struever Bros. wasn't going to able to hit the Dec. 31 deadline," Yaeger said. "We've been asking the city since July to step in."

 

By default, the Sounds actually get another 45 days to make it right if Purcell proceeds to push the team into default. That isn't believed to be enough time to pull together construction documents to get a guaranteed maximum price. After the 45 days, Struever Bros. gets 90 days to find a developer for the ballpark, which could be itself and bring another team.

 

The length of time pushes the process nearly to a new mayor and a new council, which it could change the environment entirely for a downtown ballpark. Or, depending on the status of Struever Bros., could mean the Sounds come back and ask a new mayor and a new council to float city bonds to build the ballpark, something Purcell wouldn't do.

[Mass Haas]

Won't bore you with the text pasted, but here's the latest news (first link) and a scathing editorial against Sounds management (second link):

 

www.tennessean.com/apps/p.../1009/NEWS

 

www.nashvillecitypaper.co...s_id=55381

[Mass Haas]

Sounds GM Glenn Yaeger said on the radio this past Friday that the Sounds are not close to partnering up with Struever Bros. and that the effort to build a minor league park on the riverfront property is futile.

 

Even the Pacific Coast League is now set against this:

 

www.nashvillecitypaper.co...s_id=55444

 

Look for the official nail in the coffin at Tuesday's City Council vote.

 

Brewers stuck for 2007 and 2008, but they should be able to get out of their four-year PDC (Player Development Contract) with Nashville if they wish after just those two years.

[Mass Haas]

Link while active, text follows:

 

www.nashvillecitypaper.co...s_id=55493

 

Sounds strike out on stadium deal extension

By John Cummins, Nashville City Paper news correspondent

 

Don?t start looking for home-run balls in the Titans parking lot anytime soon.

 

In an overwhelming rejection of the squabbling between the Nashville Sounds and Baltimore developer Struever Bros. Eccles & Rouse, the Metro Council voted 38-0 Tuesday night to reject giving the parties more time to agree on building a downtown baseball stadium.

 

The move gives the Sounds and Struever only until April 15 to find a way to solve their differences. At that time, the agreement between the Sounds, Struever and the city lapses. And no stadium will be built, at least in the near term.

 

Both the Sounds, Struever and the city were quick to blame each other for the impasse.

 

Yaeger, in a Tuesday letter to Metro Council member Mike Jameson, said the Sounds had doubts about Struever?s ability to perform nine months ago, but ?Metro refused our repeated requests to find Struever Brothers in default.?

 

Struever struck back, with Chief Financial Officer John Kovacs saying in a statement that ?Had the Sounds spent their time, energy and money performing the tasks required under the [agreement] as opposed to continually looking for ways to make others pay for those same tasks, we would be closing the transaction today instead of watching it die.?

 

And in a press release from Metro issued by attorney Larry Thrailkill, Metro blasted the Sounds for engaging in ?revisionist history rather than meeting [the Sounds?] obligations to the people of this community and your business partner.?

 

At Tuesday?s Metro Council meeting, both Yaeger and Kovacs said their organizations were still committed to making the downtown stadium development a reality, although neither offered any details on how to do it.

 

?The future of the project is now in the hands of the city,? Kovacs said.

 

But the mood of Metro Council members toward both the Sounds and Struever was cool. Several council members pointed out that the city had given extensions and taxpayer money to the deal, in hopes the Sounds and Struever could reach an agreement, without any results.

 

?The public is just as tired of this as we are,? said Jim Gotto. He was echoed by several other members, including Jim Shulman.

 

?A lot of people wanted this project to work out,? said Shulman, noting the downtown stadium planning dates back to 2002.

 

?It makes sense to disapprove it tonight,? he said. ??We basically struck out, and that?s too bad.?

 

The Sounds will continue playing at Greer Stadium. They will open the 2007 Thursday against the New Orleans Zephyrs.

[dixieflatline]

This is really bad news. Greer stadium is in terrible shape IMO and if a new park can't be found then the brewers should move their affiliation. I have been to several A ball stadiums that are far superior to Greer.

[patrickgpe]

well we can't do much until our player development contract runs out. Didn't we just sign a 4 year deal???

[BillScottCanRake]

well we can't do much until our player development contract runs out. Didn't we just sign a 4 year deal???

 

If a new stadium deal isn't in place, I think the Brewers can opt out after two years.

 

EDIT:

 

This is from one of the articles above:

 

The current contract runs through the 2010 season, but the Brewers could break the agreement if a new ballpark isn't constructed or massive improvements aren't made to Greer Stadium, the current home of the Sounds.

[Kraft4a3]

Well, hopefully the Brewers can find a home. But out of the cities mentioned they all have current teams.

 

If Nashville can't come through, which it sounds like they won't (no pun intended), where do the Brewers turn for a new home for their AAA team.

 

I don't think Florida is your best option, but California is so foar from their other affiliates. Where do you find another Nashville size city with a fan base.

 

Orlando could use a team I believe, but then what league are you would the team be in?

[recte44]

How about Madison?

[billyhallfan]

where would they play in Madison? I can't see a deal getting done in Madison, though it would be sweet, but Warner Park is a dump, and Madison couldn't support the Mallards and a AAA club. And the Mallards have no intention of leaving.

[berniebrewer4life]

Madison would have to build a new stadium, not to mention that i don't think Madison is big enough for AAA baseball. AA sure, but not AAA.

[billyhallfan]

ya but there are no AA leagues around here, so if not big enough for AAA, they would have to settle for A.

[dadofandrew]

I've talked about Madison being the Brewers' AAA team a few times, but it would not happen unless Mark A wanted to build his own regional sports network and saw the Sounds as cheap filler. It would probably take a Cuban-type to be willing to build a stadium, lose money on the team, and so on.

[Big Reed]

I like Dayton. it's a fairly new park, and they average over 8,000 fans to see midwest league A games. They were 5th in the nation in dip-n-dot sales two years ago which included sales in major league parks. They have a waiting list for ticket sales as long as the Packers do. if you want to see a game, you have to buy a season ticket. Admittedly, it's in the heart of Reds country. but you can't find better fan and city support

 

or, can we give New Orleans a second chance?

 

what is the rule of changing the affiliation of an AA team? Could the brewers make a deal with a place that is currently hosting a AA team? I was thinking of possibly Birmingham, San Antonio or Orlando. Birmingham is close to Huntsville, and has been historically a good AA town. I can't believe San Antonio could not support a AAA team.

[Mass Haas]

Link while active, text follows:

 

tennessean.com/apps/pbcs....328/SPORTS

 

Brewers put burden on Sounds

Must upgrade Greer, seek permanent home

By BRYAN MULLEN

Tennessean Staff Writer

 

The checklist was long for the Nashville Sounds as they attempted to finalize plans for a new downtown ballpark.

 

Now that the deal is dead, the Sounds' main priority is clear: Attempt to appease its parent club ? the Milwaukee Brewers ? by improving Greer Stadium while looking for a permanent home.

 

Sounds simple enough, but little has been simple with the Sounds.

 

The Brewers recently signed an extension with the Sounds to be the team's parent club through the 2010 season. It was predicated on the Sounds' promise to move into a new ballpark beginning in 2008. Brewers officials became irritated when the opening date was pushed back one year to 2009. Then they became all but fed up when Monday's deadline passed and plans for a new downtown ballpark died.

 

Now the Sounds will attempt to upgrade 30-year-old Greer Stadium to keep the Brewers happy.

 

And if the Sounds don't?

 

"It has to happen, quite frankly," said Scott Martens, the Brewers' business manager of minor league operations.

 

Should the Sounds fall short of the Brewers' expectations, the major league club can decide not to extend the contract with the Sounds.

 

The Brewers then would be free to find another minor-league franchise to serve as its Triple-A affiliate. At that point, the Sounds would have to try and convince another MLB franchise to forge a deal to become the Sounds' new parent club.

 

If all else fails, the Sounds could pull up shop and move to another city or shut down altogether.

 

Lease expires in '08

 

Even with such possible dire consequences, don't expect the Sounds to pour tens of millions of dollars into Greer Stadium. The Sounds' lease with Metro expires on Dec. 31, 2008, and Metro recently informed the Sounds not to ask for an extension to the lease if major renovations aren't done.

 

The Sounds said they are exploring several options beyond 2008 in order to stay in the area ? including the possibility of building a new ballpark somewhere else in Middle Tennessee ? and that spending millions on Greer for the short term would be foolish.

 

"We're very good at dressing up Greer Stadium for the fans, but yet not throwing good money after bad on improvements that we're never going to see the benefit from," Yaeger said. "We might not be at Greer Stadium for the long term."

 

It ultimately will be up to the Brewers to decide if improvements to Greer will be suitable. Yaeger said there are no structural or safety concerns regarding the stadium, but he did admit the home and visitor clubhouses need serious upgrades, as do public restrooms, concessions and other fan amenities.

 

A substandard Greer

 

"As a major league affiliate, we have to do what's in the best interest of our players and our coaching staff and everything else," Martens said. "Currently, Greer Stadium is well below minor league baseball standards. There are a lot of things that need to be addressed with the stadium."

 

At least one prominent Nashville figure believes the Sounds should put millions of the team's own dollars into renovating the stadium. Ronnie Greer, who represents District 17 where Greer Stadium is located, said the Sounds should open up their wallets and get to work.

 

"If they are willing to sign a note to get $20 million to build a downtown ballpark, why don't they sign the same note and do what they need to do with Greer Stadium?" said Greer, who is not related to the stadium's namesake, Herschel Lynn Greer (1906-1976). "If they are intent on staying in Nashville, they need to do whatever it takes."

 

So who pays for the upkeep of Greer Stadium? The city gives the Sounds $250,000 annually for maintenance costs. The Sounds pay for any costs incurred beyond that, including any renovations and upgrades to the facility. The Sounds said the total average annual cost for all maintenance and renovation expenditures is $500,000, which includes the city's $250,000.

[Mass Haas]

On a related but unrelated note, The Helena Brewers have asked city commissioners for $1.6 million in improvements to Kindrick-Legion Field, including new lights, renovations to the infield and outfield, improved seating, expanded restrooms and more.

[homer]

I wonder if Montreal would embrace a minor league club? Before the Expos, they were one of the Dodgers top affiliates (it's where Jackie Robinson made his pro debut) and I believe they drew pretty darn well for a minor league team. Although I could understand it if there was reticence entering into that market again.

[bball123h2]

I've never been, but would Madison be capable of supporting a AA/AAA team? I know the Mallards are pretty popular, but i know nothing about their stadium. ******on seems to draw really well too, though i don't know their current contract situation.

 

That said, I'd totally go to Stade Olympique to see Will Inman's AAA debut.

[ReverendBrewmeister]

Quote:

---

I wonder if Montreal would embrace a minor league club? Before the Expos, they were one of the Dodgers top affiliates (it's where Jackie Robinson made his pro debut) and I believe they drew pretty darn well for a minor league team. Although I could understand it if there was reticence entering into that market again.

---

 

Going with the Canadian angle, would the Brewers entertain the thought of going into the Ottawa market? The current Ottawa team will be relocated to Allentown, PA, creating an opening in a city with a stadium built in 1993.

 

I wonder if Toronto would be interested in switching affiliations to Ottawa when their PDC with Syracuse expires after 2008. That would possibly open up Syracuse for the Brewers.

[dadofandrew]

There seems to be a lot of confusion here. The Brewers do nothing except sign with a AAA team. They do not decide where the teams are, and so on. Ottawa is moving to Allentown, PA by the way, and will be the Phillies' AAA team.

 

The Madison option is likely pie in the sky. It would involve Mark A buying a current team and moving it to Madison after building a stadium. It certainly is not an option until after the current TV contract ends in '12, and not then probably.

 

Now that Ottawa is soon to be gone, the worst AAA team might well be Nashville, if the stadium is truly that bad. There is likely nowhere to go but up.