A bank bought naming rights to city-owned Baltimore arena, but the public won’t know the price
Co-chair of Herrick's Sports Law Group, Irwin Kishner, spoke to The Baltimore Sun about the city of Baltimore-owned arena announcing they reached a naming rights deal for an undisclosed price.
The article notes that the rebranding comes amid a $200 million privately financed renovation of the facility, which is expected to reopen early next year. Newly named CFG Bank Arena is already expected to house a multitude of events. The stadium will be hosting collegiate basketball tournament as well as sold-out concerts.
The article highlighted that although financial details from previous naming rights deals have been public record, the details of this deal are not being disclosed. Kishner said he could not estimate how much CFG Bank paid for the naming rights because there are too many variables that go into deals like this.
But whatever CFG Bank paid, Irwin said it’s almost assuredly worth it.
“I would argue that naming rights to a stadium are one of the best use[s] of advertising promotional dollars," Irwin further explained.
"It not only saturates the local market with a company’s brand, but it could offer national or international exposure if the arena hosts a major event," Irwin continued. "Still, that value can be lessened if an arena has gone through multiple name changes."
“The most valuable part of a naming rights deal is the first go-around. The second go-around, there is a deterioration of the value because you have to rebrand it. That said, it’s still a very valuable asset.” Irwin concluded.
Read the full article in The Baltimore Sun here. Access may require a subscription.