Bills new stadium lease is latest example of less severe relocation penalties
NFL teams have perfected the art of getting free money from local governments to get new stadiums. NFL teams are gradually getting better at perfecting the art of maximizing their ability to do it all again, sooner than later.
John Kryk of the Toronto Sun (via Sports Business Daily) explains that the new lease signed by the Bills in Buffalo has a relocation clause less ironclad than past relocation clauses.
At issue is the liquidated damages clause, which imposes a set fee for teams that break a stadium lease early. The NFL believed that past clauses of that kind (including the one in Buffalo’s most recent lease) was too strict, because the amount didn’t decline and approach zero over time.
This lease does, making it similar to long-term leases signed by the likes of the 49ers and Vikings when opening their own new venues within the past decade.
It’s a quiet win for the teams that secure these provisions. Whether the goal is to use the possibility of breaking the lease and writing the check becomes leverage for renovations, upgrades, or a new building — or whether it simply gives the NFL the flexibility to move teams to more desirable markers (including European) — the league emerges from the transactions with great deals on both ends.
A lot of free money pocketed on the way in, and not much money paid on the way out.
Bills new stadium lease is latest example of less severe relocation penalties originally appeared on Pro Football Talk
