An Alternative Approach: Portland should wait out MLS

By: Bob Kellett | May 8th, 2008

I applaud people who are creative in thought and who are willing to challenge conventional wisdom. I salute Cliff Pfenning, a former scribe for the Portland Tribune and the current publisher of Oregon Sports. He has penned an interesting piece (PDF) about the approach Portland should take to land an MLS team. He argues that instead of dipping into his extensive piggy bank, Timbers owner Merritt Paulson should spend his time and energy building up the current franchise so that it becomes so big and so attractive that MLS simply will roll out the red carpet in 2012 without demanding a huge expansion fee. An interesting idea for sure, but for the sake of argument let’s examine some of his reasoning.

He writes:

Instead of handing the MLS $40 million, the Timbers should bank $10 million and use the other $30 million on player salaries, fan-base development and the construction of a stadium located in the heart of the city. It already works in soccer leagues around the world.

The Timbers have the opportunity to make the strategy work in the U.S., to the ultimate benefit of the sport itself.

It is true it has worked elsewhere, but there is no relegation/promotion system in the United States and there won’t be one anytime soon. This is the same strategy that was employed by the Rochester Rhinos. They drew big crowds to their A-League/USL-1 games, won a bunch of titles, suckered their government into building a fancy downtown stadium, and ultimately were forced to sell their franchise because of the costs. No one is talking about Rochester as a potential MLS expansion side these days. Look back at the articles five years ago and they were mentioned prominently. The fact is that on-the-field success and in-the-stands success in the USL First Division matters little to MLS. If it mattered, they would never have let Toronto (terrible team, terrible attendance) and Seattle (good team, terrible attendance) into the league.

Miami already had a shot in MLS and failed. Vancouver is working on getting set to build a waterfront stadium, but seems more interested in the Canadian national team than MLS. Montreal is opening a new stadium next week, but is headed for several years of just building its fan base before delving deep into its pockets for the expansion fee. San Diego and St. Louis look interesting, but both have Major League Baseball teams and no plans for soccer stadiums.

So, there’s really no race here at all. With demand not being much of an issue, the expansion fee shouldn’t be going up. Advantage Portland.

No race? Really? St. Louis has developed plans for a stadium. Montreal already has a fan base of 10,000 per game, they are moving into this fanfuckingtastic stadium this year and they might have Liverpool’s owner on board. MLS would love another team in the New York market, Miami is a deep pocketed owner away from being a viable option in a new stadium on the site of the old Orange Bowl, and if Portland can’t get it together the league surely will work with Vancouver to build up its Pacific NW presence. Sure the league is trying to take advantage of having Beckham around, but that isn’t the only reason it has bumped its expansion fees up to $40 million. An MLS franchise is still a bargain in the world of professional sports. The entrance costs are still relatively low, operating costs are less than other sports, and there is an endless upside to the sport of soccer in the US. Demand is very much an issue and the window of opportunity is closing.

PGE Park is the best reason to slow the expansion process because it’s a baseball stadium that can handle soccer. Turning it into a soccer-specific stadium in the short term to handle MLS, as Paulson has publicly discussed, and then building a baseball stadium involves renovating/building two stadiums instead of just building a soccer stadium like so many many cities are
doing around the world.

Portland should just build a soccer stadium. It built a tram for OHSU, it should build a soccer stadium for its citizens. A stadium would enhance its global reputation, which can only improve the city’s ability to market to the business community.

And, the stadium, which could double as an outdoor concert venue, needs to be in the heart of the city, in order to
counter urban sprawl and save energy.

An interesting point, but do you really think a new stadium can be built in the heart of the city (Rose Garden Quarter) for less than the estimated $55 million it would take to renovate PGE Park and build a baseball park in Lents? I don’t buy it. I also won’t hold my breath for the City to pay for such a project. PGE Park already is in the heart of the city and is served by excellent public transportation. There are obstacles involved with it, of course, but it can’t be expanded to be a major league baseball stadium in the future. A new minor league park could.

Taking three buses full of fans – and the Army organized the trip, is the kind of energy MLS wants and needs. And, Portland’s got it. It just needs a stadium, a franchise with an international club partner and an owner with a public plan to make it happen.

Portland does have it, it does have an owner with a plan (he’s being smart to get all his ducks in order before announcing it), and it most certainly does not need an international club partner. The idea that a big club oversees is going to truly partner with an MLS side is unproven. What has Arsenal done for the Colorado Rapids? How much did it help that the California Victory had a partnership with a club in Spain? European clubs love the idea of gaining access to the US market, but they aren’t committed to building a winning team and to growing a local fan base. Keep the ownership local. Keep it in the hands of someone like Merritt Paulson who isn’t in it for a short-term gain and who is on record as saying he will pay that $40 million expansion fee — a fee that is only going to continue to increase over time.