The NFL seems to be getting closer to moving back to Los Angeles. The nation’s second largest market has been without a team for more than 20 years, and there has been a number of stadium projects that have been proposed, only to have fallen apart.
The Oakland Raiders and San Diego Chargers have joined into the race to move to Los Angeles, and the two teams are on board with a proposed stadium in Carson. They have joined the St. Louis Rams, who are a part of a proposed stadium in Inglewood.
These teams view Los Angeles and a gold mine, but one question is, will the local communities benefit from the billions of dollars that will be generated.
The Los Angeles County Economic Development Corporation (LAEDC), one of the leading economic analysis groups in California, recently completed an independent study of the impact of the proposed NFL stadium in Carson. According to the study, a stadium would create an economic boom for the city of Carson and Los Angeles County.
Local communities would greatly benefit from this project, and local jobs, full and part-time, would be created. The study finds that construction of the stadium would create 16,740 jobs, $1.1 billion in local labor income, and $2.6 billion in total output. Additionally, the day-to-day operation of the stadium and the activities of an NFL team,would generate economic activities and create an estimated 13,380 jobs.
The study asserts that many types of jobs are created, including direct, indirect and induced. Jobs would include both full-time and part-time jobs, a spectrum of skilled jobs paying higher wages, and lower wage jobs. Direct jobs are those employed by the teams and the stadium. Indirect jobs include service and supply companies that will benefit the teams and stadium. Induced jobs are created when economic impact helps other businesses such as restaurants and transportation providers, and they hire to meet increased demand.
One NFL team playing at the stadium would generate annual local revenues of $280.9 million. If two teams play in the stadium, which is the plan, $531.3 million would be generated, according to the study. Non-NFL events, such as concerts, are included in those figures.
The stadium could produce more revenue than what is stated in the report, as the study does not factor in the economic benefits of Super Bowls that will be held at the stadium, which would attract hundreds of thousands of visitors from around the nation and the globe.
The city of Carson would become more desirable to retail businesses and restaurants, which would create more jobs and produce more revenue. L.A. Live would be an example of this. After Staples Center was built in Downtown Los Angeles, L.A. Live, which includes a number of restaurants, entertainment venues, and hotels, soon followed.
