By Mark Ackerman
DENVER (CBS4) – The Denver Broncos have emerged from bankruptcy court as the winning bidder for naming rights contracts to Denver’s football stadium, pending court approval.
According to court documents filed late Tuesday night, the company hired to auction of the naming rights, Hilco Streambank, reached out to more than 200 buyers and received seven inquiries. But in the end, the company received no cash bids.
However, the Broncos made an offer to assume the naming rights contract and Sports Authority’s annual payment of $3.6 million that was due Aug. 1. Sports Authority will pay the Broncos $50,000 to take over the contract.
The Broncos are expected to turn around and sell the naming rights for a longer, more lucrative deal.
As training camp opened last week, Broncos President Joe Ellis spoke of the importance of finding a naming rights partner to fund future improvements to the stadium.
“It was important for us to step up to assume this contract to expedite the shared goal we have with the Metropolitan Football Stadium District to find a new naming rights partner. Together, with the MFSD we understand how important naming rights are to the future of our stadium,” Ellis said in a statement on the Broncos website.