Bermuda to pay $77 million to host America’s Cup
Published on December 8th, 2014
Bermuda wooed America’s Cup organisers with a US$77 million package to host the 2017 regatta. Now published in Stuff.co.nz, the figures have been revealed in an address to the Bermudian House of Assembly by the tiny island’s Minister for Economic Development, Dr Grant Gibbons.
Bermuda is still celebrating beating San Diego for the rights to be the next venue for sport’s oldest trophy, but it won’t take long for the economic realities to become apparent for the 65,000 residents of the British territory in the north Atlantic.
The key figures revealed by Gibbons include:
– US$15m event fee to the America’s Cup Events Authority
– US$25m underwrite to cover any sponsorship shortfall by ACEA.
– US$14m for site preparation and infrastructure for docks and America’s Cup village
– US$11m operation expenses for the America’s Cup village.
– US$12m to cover transport costs, security, emergency services, insurances and legal bills.
Spinning the good side of the equation, Gibbons forecasted that the island could gain “approximately US$250m from hosting the event” while US$14m was predicted to come in via taxes and duties.
Gibbons said the Bermuda forecasts were based on “on available economic impact studies” of former host venues, including San Francisco, Valencia (Spain), and Auckland.
Photo: ACEA Commercial Commissioner Harvey Schiller (left) and The Premier of Bermuda, Mr. Michael Dunkley, JP, MP. © Gilles Martin-Raget