Stadium’s annual income surpasses target

Cape Town stadium has had a fruitful year in the 2018/19 financial calendar.

Ten years after its completion, the Cape Town stadium seems to be finally bearing fruit for the City.

This is according to the latest integrated annual report of the Cape Town Stadium. The entity, known as Cape Town Stadium SOC, has been operational for the past 18 months and has just concluded its financial year.

In 2018, the City council resolved that a municipal entity be established to manage and operate the Cape Town Stadium which, during the 2018/19 financial year, had a total income of over
R22 million, surpassing its target of
R18 million.

CEO Lesley de Reuck, said the City had contributed R55.1 million against the proposed budget of R72.6 million to the stadium which resulted in a saving of R17.5 million for the City.

He said the two shows hosted last year – the Monster Jam and Ed Sheeran’s live performance – had contributed millions towards the local economy.

The stadium also hosted 37 bowl events, four more than its target of 33.

These are the events that use the pitch area, ranging from sporting to music and cultural events.

With regards to non-bowl events, which range from expos, exhibitions to product launches and conferences, the stadium hosted 52 instead of the 40 they had aimed for.

The stadium also hosted 16 film and still shoots while they had only targeted 10.

In November last year, the City and Western Province Rugby (WPR) announced that WPR would be the primary anchor tenant of the stadium.

Deputy mayor Ian Neilson, said the agreement would reduce the financial burden on future generations and the move was welcomed by ratepayers in the area who were hopeful it would improve the sustainability of the stadium, ensuring that fewer events would be necessary in the stadium precinct and surrounding fields.

Touching on this, Mr De Reuck said having a premier anchor tenant at the stadium had always been essential for its financial sustainability. “With WPR entering the stadium as the anchor tenant, it is bound to have a profound impact on the drive towards financial sustainability,” he said.

On plans for the future, the entity has signed another four-year agreement with the HSBC Sevens World’s Series at the stadium. “We’re extremely excited that we will be hosting the Federer vs Nadal match at the Cape Town stadium in February. Hosting an event of this nature is another first in the existence of the stadium and presumably in SA,” he said.

The chairman of the board, Peter-John Veldhuizen, thanked the staff of the stadium for their dedication which, he said, had been crucial in the success recorded in this financial year which also includes the nomination for the Event of the Year by The Stadium Business Awards 2019.

“The board is satisfied that it has fulfilled its responsibilities in accordance with its mandate for the reporting period,” he said.