As the Events Center Naming proposal moves forward, details of the $20 million agreement are emerging. A consultant hired by the city told the city council the proposed contract is very unique. The title sponsors - Sanford, First Premier, and Premier Bankcard - won't ask for complete exclusivity.
“I think that speaks again to the fact they wanted as many companies as they can to participate in this facility,” Ben Wrigley with Legends sales and Marketing said.
The agreement would allow the Sanford companies exclusive rights to the outdoor logos along with permanent seating bowl and scoreboard signage.
It would limit signage of banking companies and heath services entities, but would allow those types of businesses to purchase temporary and digital ads inside the new building. A city-hired marketing consultant says that's unique for any naming sponsorship agreement.
“The lack of exclusivity stands out. That's a typical word you would find in most agreements where by which the title sponsor naming rights partner has exclusivity throughout the facility,” Wrigley said.
Preliminary construction work has already begun on the new $115 million facility even though ground breaking won't happen until later this month. If approved, Denny Sanford’s name would grace the building for 25 years. The title companies will also have dibs on continuing the name with a one-time $15 million buyout before the contract expires in 2028. That would last the life of the building.
“We were hard-pressed to find a deal on that old of a building that went five to 10 years. They're just not interested in signing on to long-term agreements in what is an old building at that point,” community development director Darrin Smith.
If approved First PREMIER Bank, PREMIER Bankcard and Sanford would also have exclusive rights to any name changes at the Sioux Falls Arena and Sioux Falls Convention Center, which will be attached to the Denny Sanford PREMIER Center. All the buildings will sit on a plat of land to be named Sanford Place.
“We did not want to name those buildings other than their traditional names. We thought the safest way to do that is to reserve the right,” Sanford vice president Dave Knudson said.
The proposed title agreement would guarantee three exterior signs, a center scoreboard sign and logos on both scoreboard faces. It would also include a Denny Sanford recognition area at the Events Center Main Entrance.