Leeds is 'best location' for new 5,000 capacity sports arena, report concludes
A study into a new indoor sports facility that could host basketball, netball or ice hockey has been released
LEEDS would be the best location in West Yorkshire for a new 5,000 capacity sports arena, a new report has concluded.
In Summer 2024 West Yorkshire Mayor Tracy Brabin approved a study into whether a new indoor sports facility that could host professional basketball, netball and ice hockey matches could be built in West Yorkshire.
It followed a presentation by Dr Mark Mills, an academic, basketball commentator and expert who said an indoor sports arena could be a “game changer” for the region.
On Friday a meeting will hear the results of the study, which says such a venue would be sustainable – despite “slim operating margins.”
Last year’s meeting heard that more under 16s play basketball than rugby and cricket combined, but the sport receives a fraction of the funding awarded to rugby and cricket.
Lack of facilities in West Yorkshire meant many young players are not able to pursue their love of the sport to a higher level.
A new arena could lead to a huge boost for the sport, as well as netball and ice hockey, and attract crowds from across the country.
Next Friday’s meeting of West Yorkshire Combined Authority’s Culture, Heritage and Sport Committee, members will be given the findings of the feasibility study into the proposed 5,000 seat arena.
They will hear that although Leeds is listed as the best location for any such arena “all of the West Yorkshire Local Authorities would be keen to secure the venue for their area, given the prospective social and economic benefit.”
The study was carried out by IPW…, a specialist entertainment and arena consultancy based in London.
The organisation looked at the feasibility of developing a private/public partnership to “realise an indoor arena for basketball, netball and other activities with profit share being reinvested in grassroots sports facilities across West Yorkshire.”
It found that the cost projections for a 5,000 seated capacity indoor arena range from £48.1m to £56.9m.
The report looked at two models, one that would accommodate ice hockey, basketball and netball and another that would be for basketball and netball only.
Both options would turn an annual profit – £173,000 for option one and £214,000 for option two, by the third year of operating.
The report says: “This suggests there is scope for both arena model options to be sustainable, but there is associated risk given the slim operating margins.
“Under all scenarios the projected EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) would not be sufficient to fund the cost of the arena and therefore would require other sources of funding – anticipated to be mainly public sector, but potentially also franchise owner contributions and enabling development on a suitable site.”
The study looked at where the arena could be based, adding: “We have not at this stage sought to make a recommendation as to a preferred market conurbation within West Yorkshire, and WYCA has not actively sought prospective development sites to date.
“We have however explored some of the key considerations that we expect should ultimately form the basis of a site selection exercise.
“As the largest corporate market and largest overall catchment population, Leeds is considered by the leagues engaged to be the optimal location for any new indoor arena (and franchises) in West Yorkshire.
“We would note that league engagement (including netball, ice hockey and basketball) has strongly emphasised a preference for a new facility to be developed in Leeds rather than in any other West Yorkshire markets. This was primarily due to perceptions of team sustainability and success (including ticket sales and revenue generation).
“However, other locations within the region could conceivably sustain a new indoor sports arena, subject to league approval and the specific requirements/ drivers of new franchise owners.”
Potential sites would need at least 10,000 square metres of space, have 1.5m people living 30 minute’s drive from the venue, be within one mile of a rail station and two miles of a motorway junction.
The study adds: “We currently expect that all of the Local Authorities comprising WYCA would be keen to secure the venue for their area (given the prospective social and economic benefit). The Authorities with whom we have engaged have communicated initial enthusiasm for the prospect of being home to a new indoor arena, but the potential for capital funding contribution is unclear.”
At Friday’s meeting the committee will be asked to note the finding of the report and discuss the next steps.