Dana White indicated that the UFC plans on adding a hotel on the property next to its corporate headquarters, the UFC Performance Institute and the UFC Apex. White made the comments Tuesday night after his Contender Series 30 event at the UFC Apex.
Zuffa Landco, LLC, an affiliate of UFC parent Zuffa LLC paid $7.8 million on 24 acres in August 2013. White stated that the company has purchased another 10 acres in which they plan to build a hotel. According to White, the company will be “completely self-sufficient.” The hotel would not be open to the public but to house athletes and staff working the company’s events.
As the company has adjusted to the COVID-19 crisis, it has housed its athletes at local Holiday Inn and Residence Inn as they prepare for fights at The Apex. Most fans recognize this during the Embedded episodes that the fighters are staying at these hotels rather than the posh hotels on the strip. This is due to the COVID-19 issues and the ability to social distance.
Payout Perspective:
The move to be self-sustainable reflects the forward thinking of Zuffa. It has built out its own infrastructure in order to address the current issues. Once built, it would likely keep costs down for the company but also hurt the local hotels that relied on the UFC for its business. Moreover, many fans that attended the events are no longer coming to the strip since they cannot attend events. Not to mention the fact that the land purchase reflects the ability for the Zuffa to reinvest in its business…but not its contracted fighters. Regardless of how people may feel about that issue, the land deal is really good for the company.
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