Kent’s ShoWare Center loses $312K in first 9 months of 2016

Kent’s ShoWare Center loses $312K in first 9 months of 2016

The financial losses at the city-owned ShoWare Center continued in the third quarter of 2016 but remained lower than projections.

The arena lost $312,298 through the first nine months of the year, according to the income statement released last month by SMG, which operates the events center. SMG projected losses at the start of the year of $682,183 through the third quarter.

“It looks really good,” said Tim Higgins, SMG general manager, in a phone interview. “It’s lining up similar to last year. We’re feeling good about the end of the year.”

A strong final quarter in 2015 helped the ShoWare Center finish last year with losses of $261,438, the lowest deficit since the 6,100-seat arena opened in 2009. The arena lost a record $752,325 in 2014.

“The rolling forecast indicates we are on track to have another good year as the number of events and ticket sales remain strong,” said Ben Wolters, city economic and community development director, in an email.

SMG and city officials expect strong ticket sales from Disney On Ice, which wrapped up a six-day stay on Monday, and several more concerts (Amy Grant & Michael W. Smith Christmas celebration; Hometown Holiday country show; and Bret Michaels Rock the Arena Tour) in the final two months to put the financial losses at $289, 555 this year, similar to 2015. SMG will release the 2016 income statement in late January.

“Disney On Ice sold well, and the concerts are doing well,” Higgins said.

The crowds at Disney On Ice last year helped ShoWare Center turn a profit of $142,000 in the fourth quarter after the arena had lost $391,383 through the first nine months.

This year, the Seattle Thunderbirds junior hockey team, the anchor tenant, advanced far in the Western Hockey League playoffs in the spring to help boost revenues at the $84.5 million arena with additional home games that were not part of the budget forecast. A sellout crowd of 6,000 at the Dolly Parton concert also brought in extra dollars.

Fans at concerts and hockey games are known to spend lots of money on concessions, which increased the food and beer sales. Food sales brought in $542,349 for the first nine months, about $207,000 above projections. Beer sales were at $686,681, nearly $230,000 higher than budget.

The amount of rental income hit $738,609 through the third quarter compared to a budget of $587,540.

The arena had a first-quarter profit of $57,897 this year, more than $30,000 higher than projections.

City officials set aside money each year in the city’s annual capital budget fund to cover the anticipated losses at the arena. The ShoWare Center has an estimated $25 million economic impact per year to Kent because of money people spend at restaurants and other businesses, according to city staff.


Talk to us

Please share your story tips by emailing editor@kentreporter.com.

To share your opinion for publication, submit a letter through our website https://www.kentreporter.com/submit-letter/. Include your name, address and daytime phone number. (We’ll only publish your name and hometown.) Please keep letters to 300 words or less.

More in News

COURTESY PHOTO, King County
Driver reportedly going 111 mph in Kent fatal collision

SeaTac man, 33, faces vehicular homicide, reckless driving charges in Nov. 4 death of 38-year-old woman

A National Civics Bee in Arizona. COURTESY PHOTO, Civics Bee
Kent Chamber of Commerce to offer civics contest for middle schoolers

Essay competition first step as part of 2025 National Civics Bee

t
Kent Police help catch alleged prolific graffiti vandal

Tacoma man reportedly had guns, spray paint, rappelling harness and book about taggers in vehicle

COURTESY PHOTO
State Sen. Karen Keiser will officially retire Dec. 10 from the Legislature after 29 years in office.
Process begins to replace retiring state Sen. Karen Keiser

33rd Legislative District Democrats will nominate candidates to King County Council

t
Kundert pleads not guilty in Kent cold case murder

Faces charge of strangling Dorothy Silzel, 30, in 1980 at her condo

Dave Upthegrove. COURTESY PHOTO
Upthegrove looks forward to role as state lands commissioner

Des Moines Democrat will leave King County Council after election victory

COURTESY PHOTO, Kent School District
Kent School District levy passing after initially failing | Update

Nov. 12 results: Yes votes up by 602 with more ballots to be counted

File Photo
Kent Police arrest Texas man in 2013 sexual assault of 6-year-old girl

DNA match reportedly identifies 31-year-old man stationed in 2013 at Joint Base Lewis-McChord

Kent police investigate fatal two-vehicle collision

The collision killed a woman and left a 45-year-old Tacoma driver, suspected of intoxication at the time of the crash, hospitalized.

Competing for the 8th Congressional District: Carmen Goers, left, and Kim Schrier. COURTESY PHOTOS
Adam Smith and Kim Schrier will retain Congress seats | Election 2024

Smith represents the 9th Congressional District and Schrier represents the 8th Congressional District.

Courtesy of Democratic Caucus
Pictured left to right: Sen. Bob Hasegawa (D), Rep. David Hackney, and Rep. Steve Bergquist
Democratic incumbents in lead for 11th Legislative District

Bob Hasegawa, David Hackney and Steve Bergquist have strong leads, with Hasegawa and Hackney running unopposed.