After spending the better part of the last decade attempting to legalize mixed martial arts in the state of New York, the UFC is expecting quite a bit in return.
Not only has the company already broken company and Madison Square Garden gate records two weeks ahead of its first event in UFC 205, but the company expects to receive a great deal of revenue from the Empire State moving forward. Per documents obtained by MMAjunkie, UFC officials anticipate to receive double the current average of $2-3 million through increased ticket prices and sponsorships.
The document points to the New York Knicks and New York Yankees, who charge 2.4 and 1.9 times the league NBA and MLB average when playing at home, respectively.
It also cites recent potential sponsors such as Xbox, Atos and Toyota as potential brands that have recently indicated interest since MMA was legalized in New York.
“After the inaugural event’s outperformance, UFC management believes $5-6 (million) of revenue per event is achievable,” the document reads.
Beyond the individual events, company officials at WME-IMG expect overall earnings to double by 2018.
“(Sanctioning) in New York represents an opportunity to shift lower performing events to NYC to drive additional (earnings before interest, tax and depreciation),” the document states.
The company’s journey into the Big Apple kicks off at UFC 205 on Nov. 12. The MSG pay-per-view is headlined by UFC superstar Conor McGregor, who moves up to 155 pounds for the first time in his UFC career in hopes of becoming the first man to hold two titles at the same time.