Covelli Centre begins year with strong surplus

By DAVID SKOLNICK

skolnick@vindy.com

YOUNGSTOWN

The city-owned Covelli Centre started 2019 strong with a $229,386 operating surplus during the first three months of the year.

“We’re very pleased; we had a great first quarter,” said Eric Ryan, the center’s executive director. “We’re off to a good start.”

It was the fifth best January-to-March quarter in the center’s history, dating back to 2006, and it’s best first quarter since 2016.

The first quarter is typically the strongest three months for the Covelli Centre, as well as for most indoor arenas. The Youngstown facility has had operating surpluses in the first quarter for the past 11 years.

During the first three months of this year, 30 events took place at the center with about 75,000 people in attendance, Ryan said. That included 6,000-seat sell-out concerts by Kane Brown, Shinedown and TobyMac, he said.

The $229,386 operating surplus was more than the $208,529 budgeted by the center for the first three months.

The arena’s community room hosted 35 events, including city meetings, sponsor gatherings, private parties and company seminars.

Also, the city made $40,922 during the first three months from its 5.5 percent admission tax on tickets sold for events at the center, said Kyle Miasek, the city’s interim finance director.

The second quarter, April to June, at the center includes three concerts: a May 20 show headlined by Slayer; a June 9 show featuring RBRM, four of the five original members of New Edition; and a June 29 Lionel Richie concert. Richie had 6,200 people at his last show at the Covelli Centre in August 2016.

The city borrowed $11.9 million in 2005 to pay its portion of building the $45 million Covelli Centre.

The city still owes $8.36 million in principal and will make a $900,000 payment toward the principal this year.

It paid nothing in principal until 2011 and has increased its annual payment.

JAC Management Group, Ryan’s company, is also managing the city-owned Youngstown Foundation Amphitheatre, which opens June 14 with a free concert by the Sensations, and Geo C and Tha Storm.

During the second quarter, the outdoor facility will also have three ticketed shows: Michael Stanley and the Resonators with Donnie Iris and the Cruisers on June 15, Gucci Mane on June 22, and Chicago on June 28.

When Ryan provides quarterly reports to the city, he will combine the center and amphitheater in each document beginning with the second quarter.

“There’s a lot of unknowns with the opening of the amphitheater,” he said. “We want to see big profits from there, but that probably won’t happen until years two or three. We’re hopeful for the first year.”