Case Studies

MLB TEXAS RANGERS, ARLINGTON, TEXAS

Acquisition Diligence

Leib Advisors assisted Rangers Baseball Partners, LP, in their acquisition of The Texas Rangers Major League Baseball franchise and Rangers’ Ballpark in Arlington from Hicks Sports Group, LLC. Our work addressed acquisition diligence that channeled relevant operating data and developed creative revenue enhancement opportunities to support the development of an operating strategy that could support appropriate levels of debt financing, acceptable returns to the partners, and moreover dovetailed with the economics of a price competitive bid.

Services:

Items of Interest

As part of our services we worked to develop investor materials and membership contribution agreements and related documentation to achieve tax leverage that could fuel working capital. We will provided technical support and analysis used during discussions with the Seller, Lender and other capital sources. We also provided support to transaction objectives by providing technical and strategic advice on structure, financial diligence, and recommendations on accounting and tax matters.

NHL TAMPA BAY LIGHTNING, TAMPA, FLORIDA

Purchase Price Allocation

Leib Advisors has performed numerous purchase price allocations involving sports properties. We specialize in the identification and valuation of intangible assets and we offer our experience with goodwill impairment and purchase price allocations.

Our purchase price allocation deliverables include an independent and objective formal report including facts and analyses to support generally accepted valuation methodologies and conclusions in a format suitable to auditors, the SEC, The International Stock Exchange, and other regulatory bodies.

Leib Advisors performed a purchase price allocation for OK Hockey, LLC (an investment group led by Oren Koules, the Los Angeles-based producer of the “Saw” horror films and the CBS comedy “Two and A Half Men”) as part of their acquisition of the NHL Tampa Bay Lightning from Palace Sports and Entertainment. The deal included the team, its lease agreement with Florida's Hillsborough County, which owns the St. Pete Times Forum where the team plays, and 5.5 acres of adjacent land.

Our work required an allocation of purchase price among (i) the interests, and (ii) the assets of the Acquired Companies. The work helped determine the tax basis of membership interests related IRC Section 754 adjustments and tax compliance. Our analysis of the tangible and intangible assets and corresponding reports were completed in accordance with the Uniform Standards of Professional Appraisal Practice issued by The Appraisal Foundation. These standards are recognized and accepted by all taxing authorities and should also provide support acceptable under GAAP.

AAA PACIFIC COAST LEAGUE NASHVILLE SOUNDS, NASHVILLE, TENNESSEE

Acquisition Diligence

Leib Advisors assisted MFP Real Estate, LLC, in their acquisition of the Nashville Sounds Pacific Coast League franchise.



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CHAMPIONSHIP PARK, HILLSBOROUGH COUNTY, FLORIDA

Feasibility and Economic/Fiscal Impact Analyses

Leib Advisors assisted Hillsborough County in the planning of Championship Park, a $40-million sports and recreation complex that would potentially incorporate a number of different uses and facilities.

Our feasibility report addressed and recommended the need for facilities including a professional soccer stadium, baseball facilities for a Minor League Baseball team and/or an MLB spring training complex, and facilities for amateur, competitive, and recreational sports. Our analysis also addressed the complex’s financing and its ability to support each potential use, and will project expected economic and fiscal impacts to the community.

Services:

Items of Interest

Leib Advisors’ scope of work included guiding the development plan for the proposed complex, including recommending the type and size of facilities needed in Hillsborough County. Based on our research and recommendations, we prepared forecasts of the recommended complex’s first ten years of demand and operations, as well as annual economic and fiscal impacts that would accrue to the County based on the presence of the complex.

WARREN COUNTY SPORTS COMPLEX, WARREN COUNTY, OHIO

Market and Financial Feasibility Analysis

A proposed sports and entertainment facility in Warren County, Ohio, featuring an outdoor complex with 19 soccer fields (including one 3,000-seat stadium) and eight baseball diamonds and in indoor fieldhouse with six basketball/volleyball courts.

Services:

Items of Interest

The facility has been designed specifically to complement the existing entertainment and hospitality attractions in Warren County to generate a higher tourist demand to the area. The intent of the complex is to attract high-end youth athletic tournaments and competitions, but will also include local league play, consumer shows, and other locally promoted athletic events. Numerous interviews with local stakeholders, potential user groups, comparable facilities, and other organizations were held.

PLANNED LOUISVILLE ARENA COMPLEX, LOUISVILLE, KENTUCKY

Feasibility and Economic/Fiscal Impact Analyses

A planned 22,000-seat arena on a downtown riverfront site in Louisville, to be anchored by the University of Louisville basketball program. However, the arena will also be designed to host NCAA championships, concerts, community events, and other special events. The site will also contain a hotel, retail, and commercial uses.

Services:

Items of Interest

Our initial analysis independently verified the feasibility of the arena’s financing plan, which included public and private funding, a TIF district, and other sources. We were later retained by the Authority to perform an economic and fiscal impact analysis, which estimated the future local and statewide impacts (spending, jobs/payroll, and taxes) generated by the new arena and current impacts associated with Freedom Hall, as well as the resulting incremental impacts of the new arena. We also currently updated our original feasibility analysis for inclusion in bond documents.