Business & Tech
Concord Interviewing New Management for Sleep Train Pavilion
The city is not expected to renew the contract with Live Nation Entertainment Inc.
As the summer concert season winds to a close, city staffers are interviewing companies to assume management of the Sleep Train Pavilion in Concord, California and ideally reinvigorate a city-owned property.
The three-year contract between the city and Live Nation Entertainment Inc. will conclude this December, according to Joan Carrico, director of community and recreational services for the City of Concord. When it does, the city would like to see the facility in use more often, Carrico told Patch.
“The bottom line is that it needs to be self sustaining,” she said.
Live Nation Entertainment Inc. has paid the City of Concord between $750,000 and $800,000 per year for the past three years to use the pavilion as a stage for its performers. $500,000 of that is a guaranteed fee, while the remainder depends on how many tickets are sold. $3 of every ticket sold is directed into the city’s treasury. The venue produced 2-3 shows per month between May and October, according to livenation.com’s Sleep Train Pavilion Page.
Live Nation concerts generated $3.9 billion in revenue for the company during the 2012 fiscal year, according to the annual report it compiles for the Securities and Exchange Commission. That equated to 66.6 percent of its total revenue. The company promoted 22,000 live music events in 2012, according to the annual report.
The live music performances the company scheduled in Concord included big names such as rapper Lil’ Wayne, pop group Backstreet Boys, and the classic rock group KISS. The end of the contract signals the end of almost a decade-long relationship between the end-to-end entertainment company and the city.
The types of artists that the next management company can book may or may not be a factor in determining which company is awarded the contract to manage the pavilion. City staff wouldn't say.
They did say that two companies have expressed interest in managing the 12,500-seat venue. Company names are being withheld while city staffers assess qualifications. City staff will be negotiating the details of the new contract for the next two months. City Council will likely see the item on their agenda in December 2013.
“The bottom line is that it needs to be self sustaining,” she said.
Live Nation Entertainment Inc. has paid the City of Concord between $750,000 and $800,000 per year for the past three years to use the pavilion as a stage for its performers. $500,000 of that is a guaranteed fee, while the remainder depends on how many tickets are sold. $3 of every ticket sold is directed into the city’s treasury. The venue produced 2-3 shows per month between May and October, according to livenation.com’s Sleep Train Pavilion Page.
Live Nation concerts generated $3.9 billion in revenue for the company during the 2012 fiscal year, according to the annual report it compiles for the Securities and Exchange Commission. That equated to 66.6 percent of its total revenue. The company promoted 22,000 live music events in 2012, according to the annual report.
The live music performances the company scheduled in Concord included big names such as rapper Lil’ Wayne, pop group Backstreet Boys, and the classic rock group KISS. The end of the contract signals the end of almost a decade-long relationship between the end-to-end entertainment company and the city.
The types of artists that the next management company can book may or may not be a factor in determining which company is awarded the contract to manage the pavilion. City staff wouldn't say.
They did say that two companies have expressed interest in managing the 12,500-seat venue. Company names are being withheld while city staffers assess qualifications. City staff will be negotiating the details of the new contract for the next two months. City Council will likely see the item on their agenda in December 2013.
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