£150m update shows Leeds United what Elland Road rebuild might look like — TBR Football 4/9/24
Adam Williams
The redevelopment of Elland Road has been in the pipeline
for some time and Leeds United fans may just have got their first clue as to
what is in store.
Matchday income is a vital revenue stream for Leeds, whose
37,890-capacity stadium generated almost £30m in the last financial year alone.
Particularly since the investment arm of the San Francisco
49ers first bought into the West Yorkshire club in 2018, talk of expanding and
improving Elland Road has intensified.
The 49ers have signalled that this is very much still in
their plans after they purchased the Elland Road site back from previous owner
Andrea Radrizzani earlier this year.
The ambition has long been to take capacity to over 50,000,
although the 49ers have suggested that infrastructure improvements may have to
be deferred until Leeds are back in the Premier League.
Elland Road’s value extends well beyond its economic
utility, but the likes of Tottenham have shown how even a moderate increase in
capacity can transform a club.
And with Leeds under pressure in terms of PSR (Profit and
Sustainability Rules, or FFP), every penny they generate through the turnstiles
is precious.
United States sports teams are the ultimate industry
authorities when it comes to building stadiums.
NFL teams in particular have learned how to create huge
venues (average attendances across the league are higher than 70,000) and
monetise them with maximum efficiency.
As relayed by Forbes, the San Francisco 49ers have now
unveiled a number of upgrades as part of a £150m redevelopment plan for the
Levi’s Stadium in Santa Clara.
Gearing up to host the World Cup and Super Bowl in the same
year in 2026, the 49ers are making improvements throughout the 68,500-seater
arena.
In what might be a clue for Leeds fans hungry to know what
the future holds for Elland Road, many of the renovations focus on the
multi-functionality and premium areas of the stadium.
There is increasing awareness within football that stadiums’
revenue-generating potential should go beyond every other Saturday. They should
be able to host concerts, conferences and other events too.
Leeds know this themselves. Just a few weeks ago, Elland
Road staged Rugby League’s Magic Weekend.
It is likely the reason that Leeds have recently named two
new directors, Andrew Schwartzberg and Eugene Schneur, whose backgrounds are in
property and construction.
And with extra investment secured from Red Bull via a
minority ownership deal, the 49ers may now be ready to draw up plans for when
they have the capital to revamp the famous old stadium.
A crude calculation based on Leeds’ current matchday income
shows that taking capacity at Elland Road to 50,000 would see the club
generated £38.268m per season from a rebuild.
In reality, the true numbers would be much higher.
It would justifiably be a controversial move among fans, but
an improved stadium would allow Leeds to charge higher prices, as well as place
more emphasis on lucrative hospitality suites.
It would also make Elland Road more attractive to sponsors.
A naming rights deal could even be on the cards.
Leeds will likely hope to generate around £50m per season
through the turnstiles once the project is complete – although fans might have
to wait quite a while longer yet.