The future of Cape Town's new stadium

2010-07-27 · General Property News

CAPE TOWN - Imagine owning a comfortable house in a good area. It's large enough for your needs, requires some renovation, has been in the family for more than 100 years and is paid for. Then you get pressurised to sell it and rent the brand new mansion around the mountain in another suburb. That in a nutshell is what faces Western Province Rugby Union when it comes to the much talked about Cape Town Stadium and its sustainability, which many think can't be overcome without WP Rugby leaving its home and much loved Newlands.

As things stand, according to Morne du Plessis, chairman of Sail Stadefrance, the operators of the stadium, "it is all in the hands of WP Rugby and there is no approval from them with regards to moving house". WP Rugby is a "work in progress", said Du Plessis, who addressed the media at Cape Town Stadium on Wednesday as well as unveiling the stadium's new logo.

While WP Rugby must surely feature in the stadium's long-term profitability plans (Sail Stadefrance (SSF) has a 30 year lease), just breaking even in the short to medium-term will be a challenge for the French/South African consortium. Du Plessis reiterated the point that the city does not expect to make a profit from the stadium and SSF's job is "make the stadium sustainable from an operational point of view".

Western Province would have to consider all its commercial interests, corporate suite holders, season ticket holders and the community at large before making such a big decision.

Now that Sail Stadefrance is entering its lease phase it needs to make the stadium work. It had a management contract for the period of the World Cup but now maintenance costs fall to it. Du Plessis said that to make the stadium viable it will actively market it as a world class events venue as well as pursuing its own event creation strategy. However, they are hampered by outdated city event laws restricting what can and can't be done in the area. "ROD (record of decision) needs to be adapted to allow the stadium to reach its potential. This must be done in conjunction with a public participation plan."

The operators are targeting about 15-20 events in the first 14 months. They are pursuing at least one Tri Nations games, will host a rugby festival similar to the one used as a pre-World Cup test, and would like to host a Varsity Cup game as well as a friendly between European Rugby club Saracens and the Stormers in February. They are also "aggressively" bidding for the right to host the South African leg of the World Sevens tour, an annual event.

Soccer wise Du Plessis says they are in discussion with the three Cape Town PSL clubs about the continued use of the stadium. While an anchor tenant is vital to the stadium's success, guaranteeing good crowds for each home game is not always possible and SSF has set 20 000 spectators per game as a minimum to make it sustainable. "The backbone of success is the loyal supporters," said de Plessis. It is also talking to SAFA and planning a Bafana game there.

Du Plessis also announced that the this year's Absa Premiership season will kick off with a party and double-header  at the stadium; featuring Ajax Cape Town against Bloemfontein Celtic and Vasco da Gama against Orlando Pirates. This will be the city's way of saying thank  you to the public for the support received.

   

Other events earmarked for the stadium include concerts, religious events, Stadefrance Live events and a large New Year's Eve event.

Du Plessis realises the challenges ahead but also realises that in the Cape Town Stadium we have created something special, "The people have fallen in love with the city and in love with the stadium." The fan walk adds to the experience, allowing many non ticket holders to enjoy the atmosphere and festivities that will surround big games and there is an opportunity to grow a new support base for teams and sports alike.

Du Plessis, who can't bring himself to even mention the large animal of a certain colour often used to describe the stadium's future, says he is always asked two questions. Is it sustainable and will rugby move? Time will tell whether it's sustainable and "the rugby authorities and the people they represent will decide WP rugby's future".

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