Tuesday, February 26, 2008

The Dynamo get a little more golden with Oscar De La Hoya

The MLS Champion Houston Dynamo have new owners, sort of. Boxer Oscar De La Hoya and business associate Gabriel Brener are set to purchase 50% of the club while current owners AEG will continue to control the other half.

AEG has placed the value of the Dynamo at more then $40 million, meaning this is at least a $20m investment by the two.

Interestingly De La Hoya, president of Golden Boy Promotions, and Brener, a Mexican investor with ties to the real estate industry in the United States, will only be the second Hispanic ownership group in the league (Chivas was the first).

No word yet exactly what roll AEG will continue to play, however I would guess they would take over stadium issues while the Golden Boys handle the team. My reason for this guess has to do with AEG's desire to have a concert venue in the downtown Houston area.

With the city ready to move on the Dynamo stadium idea, possibly as early as tomorrow night, and with the ownership issue looking to be settled, it appears good news is on the horizon for Dynamo fans.

The one question I still wonder is how will the Dynamo make money off this? With AEG looking to front $70-90m of the construction cost, they will want to keep a large amount of any profits. The team will save money by not needing to rent Robertson Stadium anymore, however they will probably only get limited percentages from non-soccer events held in the facility and as FC Dallas can tell you, it is the non-soccer events that make you the money.

However, even with these concerns, it is still great to see this move forward. Sure it will be another soccer venue with a stage at one end, but at least it is happening.

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