19 revenue streams. 312 programming nights per year. Conservative assumptions. Every number benchmarked against comparable Las Vegas venues.
5 major ticketed events + 1 amateur development card per week + Monday open restaurant service. 260 major events + 52 amateur cards + 53 open nights = 365 days of revenue.
| Night | Programming |
|---|---|
| Monday | Open Restaurant / Sports Viewings |
| Tuesday | Amateur Boxing / Golden Gloves |
| Wednesday | Concert |
| Thursday | Concert |
| Friday | Pro Boxing Card |
| Saturday | Pro Boxing Card |
| Sunday | Concert |
| 260 Major Events + 52 Amateur + 53 Open |
| Revenue Stream | Annual |
|---|---|
| Boxing Tickets | $25,584,000 |
| Concert Tickets | $17,035,200 |
| GA Concessions F&B | $12,584,000 |
| Dinner Theater F&B | $7,410,000 |
| Ring Bar F&B | $4,225,000 |
| Standalone Restaurant | $3,500,000 |
| Gym Memberships | $3,096,000 |
| Bottle Service | $2,600,000 |
| Open Night F&B & Viewings | $2,520,000 |
| Sponsorships | $2,000,000 |
| VIP Skybox Leases | $1,750,000 |
| VIP Parking | $1,560,000 |
| Hall of Fame | $1,200,000 |
| LVSH Studios / PPV | $1,200,000 |
| Retail & Merchandise | $1,000,000 |
| Naming Rights | $750,000 |
| Training / Recovery | $720,000 |
| Private Events | $600,000 |
| In-Venue Advertising | $500,000 |
| TOTAL YEAR 1 REVENUE | $89,834,200 |
| Line Item | Amount |
|---|---|
| Main Arena Bowl (4-Level) | $15,750,000 |
| Ring Platform + Hydraulics | $2,200,000 |
| Ring Bar (Level 1) | $1,600,000 |
| Dinner Theater (Level 2) | $2,100,000 |
| VIP Skyboxes (Level 4) | $2,550,000 |
| Restaurants | $4,125,000 |
| Bars & Lounges | $1,250,000 |
| Gym & Training | $5,000,000 |
| Recovery Center | $1,125,000 |
| Hall of Fame | $2,200,000 |
| Grand Lobby | $1,800,000 |
| Offices + Broadcast Studio | $3,900,000 |
| AV / LED / Halo / Sound | $4,500,000 |
| Immersive Production | $3,500,000 |
| Rigging & Modular Seating | $2,500,000 |
| FF&E + Retail | $4,200,000 |
| A&E + Permits | $4,340,000 |
| Parking + BOH | $1,675,000 |
| Construction + 15% Contingency | $70,500,000 |
| Category | Amount |
|---|---|
| Site Acquisition (est.) | $12,610,000 |
| Construction | $70,500,000 |
| Pre-Opening | $3,000,000 |
| Working Capital | $3,500,000 |
| Total Investment | $89,610,000 |
| Category | Annual |
|---|---|
| Artist Guarantees (156 × $35K) | $5,460,000 |
| Boxing Purses (104 cards) | $3,640,000 |
| Staffing (120 FTE + 80/event) | $9,800,000 |
| F&B COGS (30%) | $9,852,000 |
| Facility Operations | $3,800,000 |
| Marketing | $3,200,000 |
| Insurance | $1,800,000 |
| NAC Fees (8%) | $2,047,000 |
| Production / Themes | $1,100,000 |
| F&B Management Fee (5%) | $1,642,000 |
| Other | $2,400,000 |
| Total OpEx | $44,741,000 |
The model has been stress-tested across three scenarios. Even at 60% of base case performance, the venue covers all operating expenses and debt service. The project does not require optimistic assumptions to survive - it requires reasonable ones to thrive.
| Stress | Conserv. | Base | |
|---|---|---|---|
| Assumption | 60% | 80% | 100% |
| Events / Yr | 156 | 208 | 260 |
| Avg Attend. | 1,700 | 2,100 | 2,550 |
| Revenue | $53.9M | $71.9M | $89.8M |
| OpEx | ($35.8M) | ($39.5M) | ($44.7M) |
| EBITDA | $18.1M | $32.4M | $45.1M |
| Margin | 33.6% | 45.0% | 50.2% |
| Debt Svc. | ($5.85M) | ($5.85M) | ($5.85M) |
| Net After Debt | $12.3M | $26.5M | $39.2M |
Break-Even Analysis: The venue covers all operating expenses at approximately $38.9M in annual revenue - just 43% of base case projections. Including debt service, full break-even occurs at ~$44.7M - 50% of base. This means the project can lose half its projected business and still service its debt.
Year 0 models a 9-month ramp period at 65% of stabilized capacity. Year 1 reflects full stabilized operations. Years 2–4 assume modest organic growth through increased sponsorship value, expanded programming, and membership maturation.
| Metric | Year 0 (Ramp) | Year 1 | Year 2 |
|---|---|---|---|
| Revenue | $43.7M | $89.8M | $95.3M |
| OpEx | ($30.1M) | ($44.7M) | ($46.5M) |
| EBITDA | $13.6M | $45.1M | $48.8M |
| Margin | 31.1% | 50.2% | 51.2% |
| Growth Drivers | Ramp | Stabilized | +6% organic |
Year 0 assumes 9-month operating period at 65% of stabilized event count and attendance. Growth assumptions: 3% ticket price escalation, 5% sponsorship growth, gym membership maturation to 2,500 by Year 3, expanded private event bookings. All projections are management estimates.
The capital structure is designed to be flexible and responsive to investor preferences. Below is an illustrative framework - the final structure will be determined in partnership with the lead investor or lending institution.
| Sources | Amount |
|---|---|
| Seed / Development Equity | $15,000,000 |
| Senior Construction Loan | $65,000,000 |
| Mezzanine / Preferred Equity | $9,610,000 |
| Total Sources | $89,610,000 |
Structure is illustrative and subject to negotiation. Equity, debt, and mezzanine ratios will be determined based on investor preferences and lending market conditions.
| Metric | Value |
|---|---|
| DSCR (Debt Service Coverage) | 7.7x |
| LTC (Loan-to-Cost) | 72.5% |
| Annual Debt Service (est. 9%, 10yr) | $5,850,000 |
| Unlevered Return on Cost | 50.3% |
| Simple Payback | ~2.0 years |
DSCR of 7.7x means the venue generates $7.70 for every $1.00 of debt obligation. Typical bank minimum: 1.25x–1.50x. This project exceeds standard lending thresholds by a factor of 5.
| Valuation Method | Enterprise Value |
|---|---|
| Cap Rate (10%) | $450,900,000 |
| Cap Rate (8%) | $563,700,000 |
| Cap Rate (7%) | $644,200,000 |
| EV/EBITDA (8x) | $360,700,000 |
| EV/EBITDA (12x) | $541,100,000 |
Potential Exit Paths: REIT acquisition (Vici Properties, Gaming & Leisure Properties), hospitality group acquisition (MGM, Caesars, Live Nation), refinance and distribute to equity holders, or continued private ownership with annual distributions. On a $89.6M total investment, the asset is projected to generate a 5x–7x return on invested capital on a stabilized valuation basis.
Institutional investors need anchors. These are the closest comparable entertainment venue transactions in the Las Vegas and national market.
| Transaction | Implied Value |
|---|---|
| Vici Properties / MGM Grand | $625/SF |
| Brooklyn Bowl LV (LINQ) | ~$400M enterprise (portfolio) |
| The Sphere (MSG) | $131K/seat build cost |
| Park MGM Theater Renovation | ~$450/SF renovation |
| The Arena (Proposed) | $466/SF · $21K/seat |
The Arena's $21K/seat all-in development cost compares favorably to The Sphere at $131K/seat ($131,000 per seat) and new-build arenas at $40K–$80K/seat. The adaptive reuse model - preserving the 151,200 SF shell - delivers institutional-quality construction at a fraction of ground-up costs.
Adjust the assumptions below and watch the financial model recalculate in real time. Stress-test the numbers yourself - every investor should.
| Avg Attendance | 2,520 |
| Ticket Revenue | $42.6M |
| F&B Revenue | $21.0M |
| Ancillary Revenue | $11.2M |
| Total Revenue | $89.8M |
| Operating Expenses | ($44.7M) |
| EBITDA | $45.1M |
| EBITDA Margin | 50.2% |
| Debt Service | ($5.85M) |
| Net After Debt | $39.2M |
DSCR: 7.7x · Payback: ~2.0 years
Interactive model for illustration only. Ancillary revenue (gym, sponsorships, naming rights, parking, media, retail) held constant at $11.2M. OpEx scales with event count. All projections are management estimates.