EAST RUTHERFORD, NJ-Break out the winter jackets. Super Bowl 2014 is coming to New Jersey. NFL owners voted yesterday to put the championship game in the new $1.6-billion Meadowlands stadium that will be home to the New York Jets and Giants starting this fall. It is the first time the NFL has picked a cold-weather site to host the game, and while there is some dissention from groups that were hoping for a balmy Bowl, the selection could be a huge boon to local economy.
Proponents, including Gov. Chris Christie and the state Legislature, estimate the weeklong Super Bowl festivities will pump millions of dollars into the New York/New Jersey metro-area economy. Proponents estimate 30% to 50% of the money would be spent in New Jersey. Assembly Republican Leader Alex DeCroce (R-Morris) said in a statement, "This could mean a $275-million capital influx to our state's economy, but it will also be a great chance to market New Jersey in a way that could have lasting impacts on our post-recession economy.''
Jim Kirkos, CEO of Meadowlands Regional Chamber of Commerce, who has long-championed the region's virtues, said that he looks forward to bars, restaurants, retail outlets and hotels thriving during the festivities. But don't look for much of an impact on office or industrial properties, says Eugene Diaz, principal of Prism Capital Partners, LLC, aside from some short-term media leasing. Still, he says, "this is a historic event that cannot be downplayed." This is a sentiment echoed by Cushman & Wakefield executive managing director Gil Medina, who is also a former Secretary of Commerce for the State of New Jersey. "The New York Metro region is the second wealthiest in the world with an economy of $1.3 trillion," he says, noting that this will be yet another venue for us to showcase the region's attributes. "Super Bowl 2014 puts a giant magnifying glass on the entire Meadowlands region, highlighting the area’s shopping and office developments, hotels, restaurants, event venues and entertainment options," says Emanuel Stern, president and COO of Hartz Mountain Industries, which has a significant local presence. "Business owners will want to be where the action is, and while there may be no significant measurable long-term impact, the intangibles surely will have some positive effect on the real estate market. "
Perhaps the most pressing question is the impact this will have on the much-maligned Xanadu, which already received a boost earlier this month when billionaire developer Steve Ross's Related Cos. purchased the 2.3 million-square-foot entertainment and retail project and promptly dumped the Xanadu moniker in favor of "the Meadowlands." Ross is now embarking on a major re-branding effort. According to reports, there is speculation that he has already assembled the $500 million to $700 million in new investment needed to complete the project--though the grand opening likely will not happen before mid-2011.
Diaz believes that the attention given to the stadium could provide a short-term stimulus for companies considering opening at the newly named Meadowlands. For his part, Medina thinks the relationship between the Big Apple and the Garden State is key to the success of the project. "If we bring enough attention to the region and its relationship to the New York Metro, people will begin to realize that the Meadowlands has significant potential," he relates, adding that, "investors and retailers could have a different perspective once they really get to take a look at the area."
Indeed, the bid did stress that Manhattan--with its first-class hotels, restaurants and shopping--is right across the Hudson River. And a string of game-week events will be held in the Big Apple. But following the announcement yesterday in Irving, TX, US Sen. Frank Lautenberg (D-NJ) said he had written NFL Commissioner Roger Goodell asking him to include New Jersey "in every aspect of the promotion, marketing and events associated with the Super Bowl.'' In the letter, Lautenberg requested a meeting with Goodell to discuss plans for the event.
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