The Monday deadline for bids on the Mile High stadium naming rights set by Sports Authority’s national liquidator Hilco Streambank came and went without a lead bidder — although one likely will be identified by the end of the week.
Hilco Streambank executive vice president Jack Hazan said several interested parties have approached his firm, though he declined provide details or discuss how the company has been marketing the naming rights.
The liquidator from , saying that, until recently, it had been too busy and liquidating stores to focus on selling the naming rights. Englewood-based Sports Authority declared bankruptcy in March, which put a .
Hilco Streambank has to be quick, though. Sports Authority is due to make a $3.6 million payment Aug. 1. Missing the deadline starts a 30-day grace period after which the naming rights return to the Metropolitan Football Stadium District and Denver Broncos.
Hazan said in an e-mail that potential buyers would receive better financial terms from the liquidator, than if they deal directly with the district. Hilco Streambank has priced the deal at $3 million a year for the remaining five seasons left on Sports Authority’s contract.
District spokesman Matt Sugar said it’s hard to say whether the deal would be cheaper. He said that if the stadium rights do return to the district, managers likely will be negotiating a longer contract.
Although the average contract for NFL stadium naming rights tends to be 20 years, Sugar said the length of the Mile High sponsorship contract would have to be worked out in talks between the district and the team.
Sports Authority took over Invesco Funds’ 20-year naming rights contract in 2011. Nearly $20 million is still owed on the contract, according to the term sheet. Over the 20-year period, annual payments averaged $3 million.
Broncos spokesman Patrick Smyth previously said the team will not comment until the issue is resolved in bankruptcy court.
“We continue to monitor the developments and are exploring all opportunities with regard to our future stadium naming rights,” he said Monday in an e-mail.
Sports Authority did not make its quarterly payments due Feb. 1 and May 1 on a separate sponsorship deal with the team. On Friday, the asking to be paid about $1.1 million owed on the agreement that allowed Sports Authority to call itself the official retail sponsor of the team.
Updated at 4:17 p.m. July 26, 2016: This story has been updated to include more details on what remains owed on Sports Authority’s naming rights contract for Mile High Stadium.
