By TED LUX
What’s one of the best ways to jump-start our local economy? It might happen in the next few weeks – otherwise Southern California has to wait another 365 days for another chance at it. Local politicians can’t control it. The stock market’s performance and interest rates have zero bearing on this looming economic boom. And, no matter what Angelenos say, think or do, it is irrelevant to its outcome.
The October boom only has to do with two relatively small groups of highly paid and skilled craftsmen. Their success could help ignite the passions and profits for many Angelenos. Each group has about 25 members and each is led by an experienced gray-haired leader and several dozen helpers.
Yes, it’s baseball.
Growing up in Cleveland in the 1960s and ’70s, I rooted for my team, the Indians, passionately. I still do today, some 45 years later. Back then as a young fan, I never recognized just how important a winning team is for a local community’s economy. All I cared about as a 12-year-old was the success of my team and grabbing a few hot dogs and maybe a foul ball at the stadium. I never thought about the hundreds of thousands of local citizens and businesses that benefit monetarily by the local team playing into deep October.
At press time, both Los Angeles-area teams were solidly in first place in their respective divisions. With a little luck and sound play, we could see the first World Series match-up of the Angels and Dodgers. And that October rendezvous would produce a tremendous economic spark for our area.
No doubt, the Angel and Dodger organizations would benefit from the additional gate and parking revenue; the merchandise and concession sales and, of course, the team bonuses generated by the competition. But that’s not who I’m thinking about.
Many others figure to reap financial rewards from a freeway World Series. Southern California hotels and motels, which have been suffering terribly due to the prolonged recession, could see their occupancy rates climb to near full capacity at many spots. Local ticket brokers figure to make out like bandits. Dollars would pour into neighborhood restaurants and bars as patrons gather to see the area match-up.
I have a friend, Ben Goldberg, who owns a sports bar and restaurant in Long Beach, which is about halfway between Anaheim and Los Angeles. I asked him the other day what it would mean for business to have an Angels-Dodgers series.
“Ted, are you kidding me? It would be fantastic. That’s what I’m praying for,” he said. “It couldn’t get any better than that for us.”
Now multiply Ben’s establishment by a several thousand and think of all the other big- and small-time operators across Southern California champing at the bit for a freeway series, too.
Then there are the local suppliers praying as well. Think of all the Farmer John hot dogs that will be gobbled-down at Dodger Stadium. Think of all the cups, napkins and tissue paper used. And, let’s not forget the “little guy” either. Think of the cab driver, who’ll make additional tips by driving extra airport loops. Think of the extra cash the vendors will make selling peanuts in or outside either ballpark. And, we can’t forget those guys who’ll be pawning Angels and Dodgers T-shirts on the streets an hour or two before and after each contest.
Years ago, I never thought about the economic reverberations winning teams provide for local communities. However, I do now as a 51-year-old living in Los Angeles. But, just as I ponder how great it would be economically, here, for a Southern California series, I also recognize that that potential success will come at the expense of other cities, and their citizens and businesses, where teams didn’t make it all the way this year. Let’s not forget the championship-starved towns of Baltimore, Cincinnati, Kansas City, Milwaukee and Cleveland – longing for a chance. And, we can’t forget the misfortune of our Southern California neighbor just a short two-hour coastal drive south either.
When he’s not following baseball, Ted Lux is involved in real estate lending in the Los Angeles area. He is author of the investment book, “Exposing the Wheel Spin on Wall Street.” He lives in Playa del Rey.
