Adelaide Oval Stadium Management Authority braces for financial hit, with future of hotel uncertain due to COVID-19 impact
Adelaide Oval will be allocated an India Test match next summer, but the future of the hotel at the venue – and the financial impact coronavirus could have on it – remains clouded.
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As cherished South Australian football and cricket entities tackle an ‘unimaginable’ COVID-19 financial predicament, the Adelaide Oval Stadium Management Authority (SMA) faces a tough scenario headlined by a controversial hotel with no patrons.
It can be revealed Adelaide will be allocated an India Test next summer, but COVID-19 could yet derail the Big Bash League, Twenty20 World Cup and Border-Gavaskar series.
The SMA will meet today and is set to detail how AFL public lockouts will affect its bottom line.
The 138-room Adelaide Oval hotel was scheduled to be completed by September.
The project paved by a $42 million State Government loan was designed to give SMA – but primarily the SANFL – a new income stream.
South Australian Cricket Association (SACA) boasts a solid bank balance.
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The hotel, which was touted as a financial saviour by the SMA, would be seriously impacted with no events, patrons and international travel for an indefinite period.
The majority of SMA’s revenues are generated through game day events.
In recent years, crowd numbers for both AFL football and cricket have declined, but a six-month minimum ban of 500 or more people attending outside events will dry up its income. The State Government is bracing to deliver financial concessions to AFL clubs Adelaide and Port Adelaide, and also SACA, but the SMA could also go cap in hand to North Terrace.
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SACA boss Keith Bradshaw concedes the COVID-19 crisis could mean it ‘lose millions’.
Bradshaw told The Advertiser on Tuesday that membership subscriptions would be amended in the advent of lockouts or cancelled games, which could cost SACA up to $11m in 2020-21.
Cricket Western Australia chief Christina Matthews last night told The Advertiser Perth was resigned to losing the India Test slot battle to Brisbane.
A decision will be ratified at a Cricket Australia board meeting scheduled for tomorrow, but the future of the India series and T20 World Cup is uncertain.
The SMA is yet to reveal if Adelaide Oval football memberships will be reimbursed, while Adelaide Crows chief executive Andrew Fagan says committing to club membership reductions is premature.
“It is a unique situation that presents an array of complex scenarios not just a club, but as an industry. It will take a bit of time,” Fagan said.
“At the moment we are not sure of the extent of the issues.
“We will be in touch in the coming weeks as we quantify the size of the problem and come back with solutions for members.”
Fagan said “the scale of the problem is unimaginable”, while reports of “$10 million losses for clubs are real”.
“We are a resilient industry and united in finding solutions that will safeguard the industry,” he said.