Salt Lake City ticks all the boxes for a new professional sports team — especially one in the National Hockey League.
One of the fastest growing cities in the United States, with Most popular When it comes to the job market, Utah’s capital is trying to become a sports hub with the help of tech billionaire Ryan Smith.
Salt Lake City begins its first NHL season this year after the Utah Hockey Club relocated from Phoenix. The fan base’s early excitement, marked by sellout crowds and high-ticket merchandise sales, is solidifying Salt Lake City’s status as a sports market.
For more than four decades, the city has been home to the Utah Jazz of the National Basketball Association. Major League Soccer’s Real Salt Lake and the National Women’s Soccer League’s Utah Royals are also part of its professional sports landscape. Smith Entertainment Group, founded in 2020 by Ryan and Ashley Smith, is the owner of all these teams. Along the Wasatch Mountains, the city will also host the Winter Olympics for the second time in 2034.
“I don’t think things are slowing down in Utah,” Smith said in an interview. “We have big families here and people want to stay here.”
Utah Hockey Club No. 27 Barrett Hayton skates against the Vegas Golden Knights at the Delta Center on November 15, 2024 in Salt Lake City.
Jamie Sabau | National Hockey League | Getty Images
Smith was eager to join an NHL franchise when many, including league commissioner Gary Bettman, believed Salt Lake City was ripe for expansion. Its growing and changing demographics — something Smith said is Host NBA All-Star Game The city was ready for a new team earlier this year.
“Salt Lake City is known for winter sports. It has a very vibrant economy,” Bateman said in an interview. He added that a large portion of the city’s residents may be both interested in hockey and able to attend games.
Chad Hutchinson, a partner at sports investment firm Arctos Partners, said the investor group worked with Smith on surveys and other studies to determine whether the city could support a new team. Not only does this show that Salt Lake City wants another team, but it also shows that the city has serious interest in hockey.
That enthusiasm has been evident since the NHL season began in October.
“Everyone walks into the arena and says, ‘I can’t believe the NHL is here. We have an NHL team,'” Smith said.
(LR) Ryan Smith, Ashley Smith and NHL Commissioner Gary Bettman attend before the Utah Hockey Club’s first game at Delta Center on October 8, 2024 in Salt Lake City media interviews.
Bruce Bennett | Getty Images Sports | Getty Images
So far, all 11,131 seats with wide views at Delta Center have been sold out, according to the Utah Hockey Club. Every remaining game of the season is expected to be sold out. There are 4,000 to 5,000 seats with obstructed views available on demand, and thousands more Most games have also been filled so far.
Merchandise sales during the inaugural event doubled the previous record set for a single-night sporting event at the Delta Center. Beverage demand also hit record levels, with beer sales reaching $120,000, more than any other NBA or NHL event held there, according to the team. Utah Hockey generated the highest opening night retail sales of any hockey team this season, including the 2023-24 Stanley Cup champion Florida Panthers, according to the club.
That trend has continued since opening night, according to Utah Hockey.
As of Nov. 15, Delta Center had sold nearly $600,000 in beer during its first seven regular-season hockey games, nearly three times the amount sold during the Utah Jazz’s five home games this season. Overall, beer sales at the venue for NBA and NHL events increased 395% compared to the same period last year.
When the team’s first-season jerseys went on sale at the arena on Friday, the Utah Hockey Club’s team store recorded the second-highest total merchandise sales in a single game during the regular season and postseason, trailing only Vegas Golden Knights. This is the highest total net merchandise sales in a single NHL regular season game, 29% higher than the previous record.
“Opening night was unbelievable,” Hutchinson said. The Utah Hockey Club received 34,000 season ticket deposits before opening. “So the demand is definitely there.”
move to the mountains
The NHL’s expansion to Salt Lake City was not typical.
“Utah is really not about expansion, it’s about relocation,” said Irwin Raij, co-chairman of Sidley’s entertainment, sports and media industry group. “Utah really wants a team. There are other markets that want a team — heck, Arizona wants a team, right?”
People walk past the main entrance of Delta Center in Salt Lake City on April 19, 2024.
Chris Gardner | Getty Images Sports | Getty Images
The Arizona Coyotes are having trouble finding a permanent home, which leads to a quick Sale This year’s team.
Bettman said a few years ago, Smith expressed his interest in owning a hockey team in Utah. In April, the NHL gave him a chance, Smith reportedly paid $1.2 billion For the franchise. Smith will have to continue spending money as he prepares for the 2024-25 season.
The Delta Center, which Smith purchased with the Utah Jazz in 2020, immediately underwent renovations, adding a new hospitality area and Utah Hockey Club locker rooms. It will also make further changes to reduce the number of accessible viewing seats at hockey games. The goal is to have 17,000 hockey seats within the next three years, with most or all of them having unobstructed views.
Smith also invest Located in a former Olympic facility, it is used by the team for summer training. he then obtained A permanent training facility is planned for the site, due to be completed in 2025.
“In reality, (the Smith family) may have actually paid $20 billion or $300 million more than was actually reported,” Bateman said.
On April 19, 2024, the “NHL in Utah” sign appeared on the hockey rink at the Delta Center in Salt Lake City
Chris Gardner | Getty Images Sports | Getty Images
Once the deal was completed, the ownership group flew team members and their families from Arizona to Salt Lake City. Hutchinson of Arctos Partners said the airport hosted a welcome party and the owner group hosted a three-day event at Delta Center. Real estate agents took everyone around looking for houses, and the Coyotes front office was told they had jobs in Utah.
“He was able to complete the mission in a matter of months. No one had done anything like this before,” Bateman said. “We know we’re recruiting people who are engaged in the community, very progressive and very tech-savvy. They have the resources to make this happen.”
smith sports games
While a variety of factors have Utah ready for a new athletic team, Smith is the biggest force in making it happen.
Shirin Malkani, co-chairman of Perkins Coie Sports Industry Group, said: “From all aspects, the Smith family is a good owner, willing to invest, and thoughtful.” “Looking back over the past 20 years, many leagues believe that People from the tech world are good bosses. They understand investing and technology, and if you’re not good at that, you’re not reaching your fans where they are.”
Smith, 46, founded Qualtrics in Provo, Utah, opening the door for other tech companies in the state. It is the top technology market in the United States and is often referred to as “Silicon Slope.”
Ryan Smith attends a media interview prior to Utah Hockey Club’s first game at Delta Center on October 8, 2024 in Salt Lake City.
Bruce Bennett | Getty Images Sports | Getty Images
Smith is a lifelong Utah Jazz fan, and his path to Utah sports began when he purchased the team. He said in an interview that he was in his “second career.” He reportedly paid $1.66 billion for the team. Following this acquisition, he joined David Blitzer in investing in Real Salt Lake and its National Women’s Soccer League affiliate in 2022.
Chris McGowan, MLS executive vice president and chief club performance officer, said Smith has helped breathe new life into Real Salt Lake and continue to grow its already strong fan base. McGowan, who works with the club on business strategy, noted how the team has built its fan base through season ticket sales, stadium renovations and new staff since Smith took over.
Being the owner of multiple teams, especially in one market, also makes Smith’s job easier. Many in the industry say his deep ties to the community play a role in that.
“When you represent multiple organizations in a market, you can offer a stronger package to sponsors and potential sponsors,” McGowan said. “You can do a lot with economies of scale.”
Utah Hockey has signed sponsorship partners including Delta Air Lines, SeatGeek, American Express, Ford, Verizon and Coca-Cola. According to the team, in less than six months, sponsorship and ticket revenue this season will rank among the NHL’s top 20, despite having a smaller capacity than nearly all NHL teams. It also collaborates with local partners on various fronts.
But McGowan, who has worked with other professional sports teams in the past, including the NHL’s Los Angeles Kings and NBA’s Portland Trail Blazers, which have held preseason games in Salt Lake City, said sports have always been important locally.
“From the first game in the arena, Gary Bettman turned to me and said, ‘They’re cheering and booing and sighing,'” Smith said. “That’s a good indication of some hockey knowledge, right?”
About The Author
