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OT - Bears to Burbs

If the cost basis resets, that’s exactly the right time to monetize the investment with little to no capital gains tax liability.
Maybe. If it resets, then they may have to pay inheritance taxes depending on how the ownership is structured, but would not be subject to capital gains. Inheritance taxes at federal level are 40% of the amount over $11.7 million and since it is supposedly valued at about $1.7 B, it would be a lot potentially forcing the sale. (They could borrow against it but unlikely it has the cash flow to support such a loan unless it is at very low interest rate or they improve the cash flow. I have to think that they have tax accountants and lawyers that have protected them from that. But from here just have no idea what they have done.

If they change the tax code the way present administration has suggested, then they likely would not pay inheritance taxes as they would go back to original cost (no step up in basis). But upon sale would be subject to capital gains taxes basically from dollar one. And if they raised capital gains rates to 43.8% as they have suggested , huge tax on sale but nothing if there was no sale..

Just saying that what happens has a lot to do with the tax code and what has been done to prepare for it and we don't know what that is
 
Maybe. If it resets, then they may have to pay inheritance taxes depending on how the ownership is structured, but would not be subject to capital gains. Inheritance taxes at federal level are 40% of the amount over $11.7 million and since it is supposedly valued at about $1.7 B, it would be a lot potentially forcing the sale. (They could borrow against it but unlikely it has the cash flow to support such a loan unless it is at very low interest rate or they improve the cash flow. I have to think that they have tax accountants and lawyers that have protected them from that. But from here just have no idea what they have done.

If they change the tax code the way present administration has suggested, then they likely would not pay inheritance taxes as they would go back to original cost (no step up in basis). But upon sale would be subject to capital gains taxes basically from dollar one. And if they raised capital gains rates to 43.8% as they have suggested , huge tax on sale but nothing if there was no sale..

Just saying that what happens has a lot to do with the tax code and what has been done to prepare for it and we don't know what that is
Given that building a state-of-the-art football/entertainment/retail complex would likely cost up to $2B, with another $700M in estate taxes due upon Virginia's passing, it seems highly unlikely that the McCaskeys will be the ones who develop the Arlington site. They will buy the land, and have the site available as a greenfield for the next owner.
 
Given that building a state-of-the-art football/entertainment/retail complex would likely cost up to $2B, with another $700M in estate taxes due upon Virginia's passing, it seems highly unlikely that the McCaskeys will be the ones who develop the Arlington site. They will buy the land, and have the site available as a greenfield for the next owner.

I think that’s a real possibility or they could also take on equity partners for the development of the stadium and surrounding real estate and keep the ownership of the team separate. Debt financing for a development like this would be plentiful.
 
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Given that building a state-of-the-art football/entertainment/retail complex would likely cost up to $2B, with another $700M in estate taxes due upon Virginia's passing,
The McCaskey's aren't writing a check for the stadium. They will either float a bond issue through some shell corporation or get a bank loan. For example, the Raiders financed their $600 M part of the Vegas stadium via bank loans......

Rich people don't pay cash, they finance and kick the can down the road. Bankruptcy is always a good option.........
 
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The McCaskey's aren't writing a check for the stadium. They will either float a bond issue through some shell corporation or get a bank loan. For example, the Raiders financed their $600 M part of the Vegas stadium via bank loans......

Rich people don't pay cash, they finance and kick the can down the road. Bankruptcy is always a good option.........
I’ve been involved with stadium financing deals in the past. This would entail a project finance construction loan with a longer term take out financing backstopped By various revenue streams including PSL, concession, parking etc. Pretty strong credit profiles. Not aware of any deals of this type that have gone in default.
 
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I’ve been involved with stadium financing deals in the past. This would entail a project finance construction loan with a longer term take out financing backstopped By various revenue streams including PSL, concession, parking etc. Pretty strong credit profiles. Not aware of any deals of this type that have gone in default.
In other words, the McCaskeys will do this via a loan not by writing a check.......
 
Given that building a state-of-the-art football/entertainment/retail complex would likely cost up to $2B, with another $700M in estate taxes due upon Virginia's passing, it seems highly unlikely that the McCaskeys will be the ones who develop the Arlington site. They will buy the land, and have the site available as a greenfield for the next owner.
Likely they would have others actually come up with much of the money in partnerships. They will have the land. THey can get $500 million from the league in a forgivable loan (I believe it is part of the funding for most if not all of the new stadiums) and big corperations are anxious to put up money for these stadiums for naming rights. In the end, they end up with the team and it's own stadium and part of a whole development and entertainment complex and what they have is then worth a whole lot more than the current $1.7 B valuation.
 
I think that’s a real possibility or they could also take on equity partners for the development of the stadium and surrounding real estate and keep the ownership of the team separate. Debt financing for a development like this would be plentiful.
Don't forget that they would have the land and the league would give them a $500 million forgivable loan (I think that the league has done this for a lot of the new staddiums) to get it done as it raises their profile. Got to think they won't have to come up with much. They could easily have a lot of revenue sources
 
Lightfoot will get shelled, but she will be right to hold the line and refuse more tax incentives when they're still paying the bonds on the last renovation. Soldier Field is probably best suited to host one-off games and events with less of a footprint anyway.
The powers in the city of Chicago have to be shaking. I mean they will soon lose a major source of pride and revenue streams that the team and Soldier Field represent. If they had done Soldier Field right in the first place, not a problem but now they are going to have to pay the piper as the mistake by the lake will not generate the revenue and become an albatros.
 
Regarding Pat Ryan, at 84 years old he may not be the best choice to buy the Bears unless his sons want to assume the reins in the future. Having said that, he already owns 10% of the franchise and has a net worth of $7 billion. Forbes indicates value of the Bears is $ 4 billion .
Thought I heard Bears worth $1.7B Now with Arlington Park location and their own stadium done right they would likely get to the $4 B figure but I don't think they are there now
 
And yet, once again, they will not be relevant after October. Nor any near future year as their salary cap hell continues. Nothing like paying QB1 money to three QBs and TE1 money to two tight ends that rarely get used. Because they can rebuild through the draft unless they have traded away their top draft capital for the next few years... At least they have a defense that strikes fear in the hearts of other teams with young consistent pass rushers and a secondary that dares the opponent's OC to put the air. Besides with a great OC on our side and a strong Oline, we can overcome offensive challenges and muster enough to let the D win games for us. And of course, having a great kicker helps too.

Miss anything?
Pretty much everything. Oops I mean the Bears missed everything
 
Many years ago, me and my friends Nicky and Paulie snuck in to Wrigley Field every way known (and unknown) to man to watch the larger than life Chicago Bears.

I remember one game in particular when they were playing the Los Angeles Rams. Bob Waterfield was the Rams quarterback, but more importantly, he was married to Jane Russell which caused all of us to have those pre-teen 2 inch boners - as she was really hot. So naturally, we had to go sneak in.

At that time there was a small outbuilding along the Clark street side (east stands) that we got on the roof in order to scale the chainlink fence to get up into the grandstands. We did not know, before we started this endevor, that Wrigley Field had greased the chainlink fence. But having started our ascent we continued to climb the greasy fence. What could possibly go wrong? - We were probably 12 years old and greased fences meant nothing.

Any way, somehow we all miraculously made it up to the second deck (I definitely did not look down during the climb). So as we were approaching the floor of the 2nd deck, what did I see but two shiny black shoes and royal blue pants with a yellow stripe and then the greeting of "You boys having a good time?"

Oh shit, we're busted, and I damn well don't want to try to climb back down with greasy hands and shoes. But wait, Mr. Andy Frain is a good guy. He lets us scale the fence and come onto the 2nd deck of the east grandstand and then escorts us down to the first row of the upper deck - MIDFIELD, sits all 3 of us down on the row step, and tells us we can stay there if we promise not to cause any more trouble. We stay for the whole game, the Bears win, but not a glimpse of Jane Russell. When I get home, I'm in big trouble - the least of which, my mom burns my clothes at a time when nobody could afford new clothes for such folly.

In future years, Nicky gets a (ahem) academic scholarship to Yale and is converted from a QB to a halfback (I think he might have set a kickoff return record, but not sure as I was in the Marine Corps at the time). Nick's cousin becomes an all Big Ten tight end at Northwestern. My brother-in-law starts a 50 year coaching career spanning the Big 10, Big 8, Southwest Conference, several NFL teams including a Super Bowl appearance. Our nephew becomes the assistant director of player personnel for an NFL franchise. And finally, I don't have to sneak in to NFL games anymore

Have to say that the subsequent move to Soldier Field, and now to Arlington Heights doesn't move any needles for me compared to sneaking in to Wrigley. As far as I'm concerned, the only real owner of the Chicago Bears will only, and always, be GSH.
 
In other words, the McCaskeys will do this via a loan not by writing a check.......
No, they’ll also have to write a sizeable equity check to get this done. They’ll need to have skin in the game.
 
Given that building a state-of-the-art football/entertainment/retail complex would likely cost up to $2B, with another $700M in estate taxes due upon Virginia's passing, it seems highly unlikely that the McCaskeys will be the ones who develop the Arlington site. They will buy the land, and have the site available as a greenfield for the next owner.
We do not know about what the taxes will be. Have to think they likely mad some provisions that helped reduce them considerably as the rich are able to do but we really do not know. As far as stadium, from what I had heard, league basically comes up with $5000 mill. Their equity might be in coming up with the land. Will they have to come up with something? Probably but it will likely be far less than you suggest
 
While they have two teams, from what I have heard, support for one of the teams is far less than for the other
Probably because one of the teams has been walking in circles for an extended period
 
Lightfoot will get shelled, but she will be right to hold the line and refuse more tax incentives when they're still paying the bonds on the last renovation. Soldier Field is probably best suited to host one-off games and events with less of a footprint anyway.
I totally agree with Lightfoot. I am from the Detroit area, but recently moved to Sumter, SC. The Detroit City Council went limp and gave Ilitch everything for putting Little Caesars Arena downtown, receiving virtually no tax revenue for a city that was starving for cash. A bunch of cronies on the take. On top of that, the Red Wings stink now.
 
I totally agree with Lightfoot. I am from the Detroit area, but recently moved to Sumter, SC. The Detroit City Council went limp and gave Ilitch everything for putting Little Caesars Arena downtown, receiving virtually no tax revenue for a city that was starving for cash. A bunch of cronies on the take. On top of that, the Red Wings stink now.
But would it have even been built without those concessions?
 
But would it have even been built without those concessions?
There were no real concessions from what I read. Ilitch could have thrown Detroit a bone or two. I guess in the long run it won't matter. Pretty soon the Detroit area suburbanites won't be able to afford the insane ticket prices for a diminished product. Same goes for Bears fans.
 
But would it have even been built without those concessions?
Mayor Lightweight is horrible. Tries to bully her way to everything. This time she is playing a weak hand. The McCaskeys are inept and Virginia is the last reason to root for them. Churchill Downs is a money grubbing outfit that doesn’t care about the industry that made them but only about maximizing profit. It’s a movie cast of villains and it will interesting to see who emerges as the hero to rescue the franchise from this circus.
 
Mayor Lightweight is horrible. Tries to bully her way to everything. This time she is playing a weak hand. The McCaskeys are inept and Virginia is the last reason to root for them. Churchill Downs is a money grubbing outfit that doesn’t care about the industry that made them but only about maximizing profit. It’s a movie cast of villains and it will interesting to see who emerges as the hero to rescue the franchise from this circus.
This all started with Richie Daley and his terrible run as mayor. Lightfoot is now the one who holds the bag for those terrible decisions made by Richie. Can you imagine how much money his cronies made off this and his other decisions, skyway, parking, etc.....
 
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Lightweight stands on her own. Hasn’t done a damn thing.

Her initial statement making fun of the Bears was stupid (and misspelled ”Solider” Field). But putting aside her overall management of the city, what is she supposed to do here? Even if she wanted to bankroll a new stadium, the city council and Friends of the Parks wouldn’t let her. And that’s to say nothing of the sports book and entertainment district the Bears want. Let them go to the suburbs and build the monstrosity they desire.
 
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Her initial statement making fun of the Bears was stupid (and misspelled ”Solider” Field). But putting aside her overall management of the city, what is she supposed to do here? Even if she wanted to bankroll a new stadium, the city council and Friends of the Parks wouldn’t let her. And that’s to say nothing of the sports book and entertainment district the Bears want. Let them go to the suburbs and build the monstrosity they desire.

ultimtely I think the Bears were going to do this no matter what but her condescending and dismissive attitude to all of this has made it easier on the Bears to make this move and will make it harder on her when the move does happen. I doubt she runs again for a variety of reasons including this one. Having said all that, I know some folks that work for the city who have been talking about using this event as catalyst to redevelop the old McCormick place property and build a sports and entertainment complex (casino?) that would rival anything that is out there. If not the Bears, they would use this as a carrot to attract a second NFL team to the area which would be the Bears worst nightmare. The Jacksonville Jags, owned by U of I alum Shahid Kahn, would be prominently in the bullseye given the lukewarm fan support they have received in Northeast Florida.
 
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ultimtely I think the Bears were going to do this no matter what but her condescending and dismissive attitude to all of this has made it easier on the Bears to make this move and will make it harder on her when the move does happen. I doubt she runs again for a variety of reasons including this one. Having said all that, I know some folks that work for the city who have been talking about using this event as catalyst to redevelop the old McCormick place property and build a sports and entertainment complex (casino?) that would rival anything that is out there. If not the Bears, they would use this as a carrot to attract a second NFL team to the area which would be the Bears worst nightmare. The Jacksonville Jags, owned by U of I alum Shahid Kahn, would be prominently in the bullseye given the lukewarm fan support they have received in Northeast Florida.
Chicago does not deserve a second team. I think this is a waste of money and the ship has sailed on this situation. Remember the city and state are losing population, so that is one of many factors that need to be considered.
 
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I think there is little doubt this is going to happen. Just makes too much economic sense. The only question is when would the move from Soldier Field to the new stadium actually happen. My guess is that It is at least five years out. Probably 2026. The other question is will the McCaskeys still own the team by the time the move is made. I think there is a decent chance they won’t.
Just in time for our stadium project.
 
Chicago does not deserve a second team. I think this is a waste of money and the ship has sailed on this situation. Remember the city and state are losing population, so that is one of many factors that need to be considered.

That’s nonsense. A second team in Chicago is probably the next most attractive expansion opportunity for the NFL. Like I said, this isn’t just speculation, there are actual discussions that have been initiated. By the way, I suggest you check the Census results. The City actually gained population in the last decade and the State overall had just a modest loss.
 
Let me know how those discussions are progressing. And this is not nominal "Illinois lost more people than any state in the 2010s: 243,102". From 2000 to 2010 the city lost 7% of the population, where 2010 to 2020 the city gained 2%.
 
Awaiting word on when the size of the casino that will be accompanying the Bears development in Arlington

Regarding Soldiers Field, wouldn’t expect a new NFL team but wouldn’t be surprised if the White Sox, Fire, or other Chicago pro team attempts to repurpose and claim it.
 
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Awaiting word on when the size of the casino that will be accompanying the Bears development in Arlington

Regarding Soldiers Field, wouldn’t expect a new NFL team but wouldn’t be surprised if the White Sox, Fire, or other Chicago pro team attempts to repurpose and claim it.
Interesting idea about the Sox. I wonder the cost to retrofit vs rebuild.
 
Let me know how those discussions are progressing. And this is not nominal "Illinois lost more people than any state in the 2010s: 243,102". From 2000 to 2010 the city lost 7% of the population, where 2010 to 2020 the city gained 2%.

you do know we do a census every ten years right? I think the 2020 census results may be more relevant to current trends than the 2010 census results.

 
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Awaiting word on when the size of the casino that will be accompanying the Bears development in Arlington

Regarding Soldiers Field, wouldn’t expect a new NFL team but wouldn’t be surprised if the White Sox, Fire, or other Chicago pro team attempts to repurpose and claim it.

Any new NFL team would not play in Soldier Field. That’s a non starter. The discussion centers around redevelopment of the old McCormick place land into one large sports and entertainment complex.
 
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