Record Q4 boosts Covelli Centre to 2nd-best year

By DAVID SKOLNICK

skolnick@vindy.com

YOUNGSTOWN

The city-owned Covelli Centre had a financially successful 2015 – the second-most profitable year for the facility that opened in October 2005.

Not only was it the seventh-straight year with an operating surplus, but it was the fourth-consecutive year in which its revenue was more than the annual principal and interest payments on the money the city borrowed to help fund the construction of the facility.

“We’re very proud of what we accomplished in 2015,” said Eric Ryan, the center’s executive director.

The center finished last year with a $372,954 operating surplus and $210,992 from a 5.5 percent admission tax on tickets, according to figures provided Wednesday by the city.

The $583,946 total from those two revenue sources is second only to 2014 when the center made $706,719 — $485,234 in operating surplus and $221,485 in admission tax.

The center finished strong with a record operating surplus in the fourth quarter of $127,337. That easily beat its old record of a $98,775 surplus in the final three months of 2010.

“We continue to be very happy with the work Eric and the folks at JAC Management [Group, Ryan’s company] are doing at the center,” said Mayor John A. McNally. “We had big events last year and we expect big things this year.”

The center paid $400,000 this year toward principal and $122,590 in interest in 2015 for a total of $522,590. The operating surplus and admission tax was $61,356 more than the principal and interest for 2015.

“We’re pleased with the numbers and optimistic for this year,” said Kyle Miasek, the city’s deputy finance director. “We already have big shows booked there.”

That includes Lil Wayne on Monday, Carrie Underwood on March 17 and Elton John on March 22. The latter two are already sold out and Lil Wayne will have good attendance, Ryan said.

This will be John’s third concert at the center, and he brought in a record operating surplus and crowd for the facility during his last performance there Feb. 1, 2014.

“We’re off to a good start, and it looks to be a great year,” Ryan said.

Also, Keith Urban’s website lists a Nov. 13 concert date at the Covelli Centre.

The city borrowed $11.9 million in 2005 to pay its portion of building the $45 million facility. The city still owes $10.26 million in principal and plans a $500,000 payment in September.

During 2015, the center hosted 85 events with more than 200,000 people in attendance, Ryan said.

Five of the shows were sellouts: James Taylor, Def Leppard, Brad Paisley, Shinedown and the Trans-Siberian Orchestra.

Built into the operating surplus is $66,412 more in food-and-beverage profits as a result of having JAC handle those services for the center rather than an outside firm that did such work until mid-2012.