WHEELING - Business management company SMG is interested in running the day-to-day operations of both WesBanco Arena and the Capitol Theatre, Senior Vice President of Sales and Development Bob Cavalieri confirmed to The Intelligencer on Friday.
SMG, based in West Conshohocken, Pa., operates well-known venues such as the Super Dome (New Orleans Saints), Reliant Stadium (Houston Texans), Soldier Field (Chicago Bears), Chase Field (Arizona Diamondbacks) and the Oakland Coliseum (A's, Raiders), as well as the Consol Energy Center (Pittsburgh Penguins), Mohegan Sun Arena (Wilkes-Barre/Scranton Penguins) and the Petersen Events Center (University of Pittsburgh). But the company also manages arenas that are relatively the same size as WesBanco Arena, most notably in Johnstown, Pa.
''Primarily we manage public facilities and have 70-plus that we manage in our network,'' Cavalieri said. "We operate throughout North America and even have a European division.
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Photo by Scott McCloskey
WesBanco Arena is shown in downtown Wheeling. Business management company SMG has expressed interest in taking over the day-to-day operations of both the arena and the Capitol Theatre.
"The idea of private management is (to) bring our operational systems into the building - accounting, marketing and, more than anything else, our booking network."
Cavalieri said although SMG has not contacted Wheeling city officials, it plans to in the near future.
"I haven't studied the market in detail, but I expect Wheeling is a lot like our other markets,'' said Cavalieri, whose company currently operates six of the 20 ECHL arenas. "A lot of times when we get involved with a building, we don't change the staff that is already in place, but make it part of our employee group.
"We give them resources that maybe they don't have."
Wheeling Mayor Andy McKenzie also confirmed he had not yet spoken with SMG representatives. He did note he would not be opposed to privatizing any city service if it made sense for the taxpayers.
"If (SMG is) interested, they need to give us a call and sit down with us, no different than any other institution or company that believes they can provide a city service better" than it's currently being provided, McKenzie said.
Some of the potential advantages for a city in privatizing an arena include better marketing, better booking, increased events and attendance, which in turn could lead to more economic activity both at the arena and in the city. Facility maintenance and other details can be included in some arena management contracts.
Cavalieri described SMG as "your building and your market's advocate." Smaller cities such as Wheeling often "have trouble advocating on the national level, in terms of the ability of the market you have to support."
"We concentrate on customer service, cleanliness and a good customer experience in the building.''
Cavalieri had no comment on whether SMG planned to attempt to purchase even a part of a Wheeling Nailers team that was put up for sale last month by owners Rob and Jim Brooks.
"We don't generally own teams, not as a rule," he said. "We've had a couple really small exceptions to that."
As far as the Capitol Theatre goes, Cavalieri points out that SMG has a separate division "unlike most companies" in its field that specializes in the theater and performing arts genre.
"I heard we had (comedian) Daniel Tosh in four or five of our theatres and it sold out immediately," Cavalieri said. "The idea there is to really do the same thing."
Frank O'Brien, executive director of the Wheeling Convention and Visitors Bureau, which owns the Capitol Theatre, was surprised to learn of potential interest from SMG.
"I am aware of who they are and their work in operating venues for cities and other places," O'Brien said.
Privatizing management of the Capitol is "something I've absolutely never thought of, and my response at this point is that we are very pleased with the operating agreement we have in place with the Greater Wheeling Sports and Entertainment Authority," O'Brien said. "In fact, we couldn't ask for a better relationship than what we currently have. ... We probably would not consider anything else than what we have right now."
Cavalieri said if SMG succeeds in its attempt to manage the Wheeling venues, the expectation of the community should be simple.
"Hopefully what they could expect is more activity ... and more varied activity,'' he said. "Whatever is out there that may work well. ... We're constantly working to get acts into our venues."