NEWSLETTER
After a couple weeks of “leaks” and “anonymous sources” telling the story of the Wrigley Field renovation negotiations, the owners of the rooftop buildings – large stakeholders in the outcome of the renovation talks, as they are trying to preserve their views into Wrigley Field in the face of the Cubs’ desire to add advertising along the outfield wall – decided to hang it all out there. And it doesn’t sound like any kind of agreement, at least with respect to them, is even remotely close.
For your benefit, I’ll just show you the entire press release the rooftops just sent around:
Wrigleyville Rooftops Association Setting the Record Straight
Rooftop owners exasperated by inaccurate statements by Ricketts familyCHICAGO – The Wrigleyville Rooftops Association wants five facts to be known as the Cubs’ self-imposed April 1 Wrigley Field renovation deadline approaches:
1. The Ricketts family does not need to renegotiate their 2004 landmark ordinance agreement with the City of Chicago by April 1 to move forward with renovation plans. The landmark ordinance protects the “uninterrupted sweep of the bleachers” – not updating the clubhouses, public restrooms and various guest amenities. Nothing has prevented the Cubs from making these improvements except to use the renovation debate as an excuse to drive away the Rooftops.
2. The Ricketts family was well-aware of the 20-year contract signed in 2004 with the Rooftop owners when they purchased the team. Two of the top people in the Cubs’ current organization, Cubs President Crane Kenney and Mike Lufrano, Executive Vice President, Community Affairs/General Counsel, negotiated the contract and profit sharing agreement with the Rooftop owners.
3. As reported by media outlets this week, the Ricketts family attempted to purchase five Rooftops in 2011 and place signage-including a jumbotron-on the properties. The Ricketts family’s idea back then was nearly identical to the compromise solution being offered to them today.
4. The Ricketts family requested public financing for the renovation even knowing they are about to receive an enormous financial windfall. The Cubs have publicly stated they intend to sell broadcast rights for their product next year, possibly even saying goodbye to their partner of many decades, WGN television. Here’s what the Ricketts know: a similar deal negotiated by the Los Angeles Dodgers in a like-sized media market was recently signed for $7 BILLION.
5. Many of the Rooftop owners have lived and invested in the Wrigleyville community for more than 30 years when the neighborhood was much different. Upon engaging in a partnership with the Cubs in 2004, they proceeded to collectively invest $50 million to upgrade and enhance their facilities. The Rooftop owners have collectively paid the Cubs approximately $25 million in royalties and are scheduled to pay another $45 million over the next decade. Unilaterally changing a contract without one party’s consent is unfair to any business let alone your neighbors of 30 years.
Beth Murphy, longtime owner of Murphy’s Bleachers, adds, “Our win-win advertising plan would dedicate 100% of all revenues from signs on rooftops to the Cubs to renovate Wrigley Field and help improve community needs. Signs on rooftops were proposed by the Ricketts family two years ago when they tried to buy a rooftop, so we’re confused why it isn’t good enough for them now. The Ricketts family should honor the contract we signed in 2004 that was negotiated by current Cubs’ top executives. There is no reason to block our views.”
The Rooftops are a tremendous economic engine creating significant revenue for city, county and state government.
There are so many reactions …
The Cubs aren’t going to be happy about this release, but it seems to me that, if it’s come to this, they’ve already cut off negotiations anyway. Perhaps the Cubs will now simply wait for the April 1 deadline to come and pass, and then they’ll start exploring non-Wrigley options. Perhaps the rooftops have already been cut out of the loop, and an unfavorable deal for them is already coming down the pipeline.
It’s unbelievable that things have gotten to this point, but there are a lot of dollars at stake, so I guess we shouldn’t be surprised that every side is fighting tooth and nail.
[Disclosure: Some of the rooftops advertise on BN, but that has not impacted the way I’ve covered this ongoing story.]
