Who Owns American Airlines Center? Unveiling the Ownership Structure of Dallas’ Premier Arena

The American Airlines Center (AAC), a cornerstone of Dallas’ vibrant entertainment scene, isn’t owned by just one individual or company. Instead, it’s a testament to public-private partnership, owned by the City of Dallas, but operated by Center Operating Company, L.P., a non-profit entity. This unique structure ensures the arena serves both the economic and entertainment needs of the Dallas community.

Understanding the Ownership and Operating Structure

Delving deeper reveals a more nuanced picture. While the City of Dallas officially holds the title to the land and the building, the Center Operating Company, L.P. (COC) manages the day-to-day operations, bookings, and maintenance of the facility. This arrangement is governed by a long-term lease agreement between the City and the COC. Think of it like this: the City is the landlord, and the COC is the tenant, responsible for keeping the house running smoothly.

The COC itself is further structured. It’s a limited partnership, with Dallas Basketball Limited (owned by Mark Cuban, owner of the Dallas Mavericks) and Dallas Stars Limited (owned by Tom Gaglardi, owner of the Dallas Stars) as the primary partners. This reflects the arena’s core purpose: to serve as the home for both the Mavericks (NBA) and the Stars (NHL). Their investments and responsibilities are significant in ensuring the AAC remains a state-of-the-art venue.

The City of Dallas’ Role

The City’s ownership is crucial because it connects the arena to the public interest. This allows for public funding opportunities for improvements and ensures the AAC serves as a community asset. The City benefits from the economic impact the arena generates, including increased tourism and local spending. Moreover, the city plays a role in overseeing the COC’s operations to ensure compliance with the lease agreement and adherence to public safety standards.

The Center Operating Company’s Responsibilities

The COC shoulders the responsibility for the financial health of the arena, including generating revenue through ticket sales, concessions, sponsorships, and other events. They are also responsible for maintaining the building, upgrading facilities, and ensuring a positive experience for all visitors. This includes hiring staff, managing security, and coordinating events with promoters and performers. The success of the AAC depends heavily on the COC’s ability to manage these complex operations effectively.

A Mutually Beneficial Partnership

The arrangement between the City of Dallas and the Center Operating Company is designed to be mutually beneficial. The City gains a world-class arena without bearing the burden of day-to-day management, while the COC benefits from having the City as a long-term partner. This collaboration allows for strategic planning and investment in the arena’s future, ensuring it remains a premier destination for sports and entertainment for years to come.

American Airlines Center FAQs

Here are 12 Frequently Asked Questions to further clarify the ownership, operation, and impact of the American Airlines Center:

1. Is American Airlines involved in the ownership?

No, American Airlines is not involved in the ownership of the American Airlines Center. They are the naming rights sponsor, meaning they pay for the right to have their name associated with the arena. This is a common practice in sports and entertainment venues.

2. How long has the American Airlines Center been around?

The American Airlines Center opened in 2001, replacing the Reunion Arena as the primary home for the Dallas Mavericks and the Dallas Stars.

3. What is the seating capacity of the American Airlines Center?

The seating capacity varies depending on the event. For basketball games, it seats around 19,200, while for hockey games, it seats approximately 18,532. Concert capacity can be even higher, depending on the stage configuration.

4. What other events are held at the American Airlines Center besides Mavericks and Stars games?

The AAC hosts a wide variety of events, including concerts, family shows, wrestling matches, boxing events, and conventions. Its versatility makes it a popular venue for a diverse range of entertainment options.

5. Who profits from the events held at the American Airlines Center?

Revenue generated from events at the AAC is distributed according to the lease agreement between the City of Dallas and the Center Operating Company. This includes covering operating expenses, capital improvements, and debt service. Profits, if any, are typically reinvested back into the arena or distributed according to the partnership agreement within the COC. Ultimately, the city benefits through increased tax revenue and economic activity.

6. How does the American Airlines Center contribute to the Dallas economy?

The AAC generates significant economic impact for Dallas. It attracts visitors from across the region and beyond, who spend money on hotels, restaurants, transportation, and other local businesses. The arena also provides jobs for thousands of people, both directly and indirectly. Studies have shown that the AAC contributes hundreds of millions of dollars to the Dallas economy annually.

7. Has the American Airlines Center undergone any major renovations?

Yes, the American Airlines Center has undergone several renovations and upgrades since its opening. These include improvements to seating, concessions, technology, and infrastructure. The COC is committed to keeping the arena modern and competitive.

8. What is the relationship between the Dallas Mavericks, the Dallas Stars, and the American Airlines Center?

Both the Dallas Mavericks and the Dallas Stars are primary tenants of the American Airlines Center. Their lease agreements guarantee them a certain number of game dates each year and contribute significantly to the arena’s revenue. Their presence is integral to the success of the AAC.

9. How is the American Airlines Center funded?

The American Airlines Center was initially funded through a combination of public and private financing. The City of Dallas contributed a portion of the funding, while the rest came from private investors, including the owners of the Mavericks and the Stars. Ongoing operations are funded through revenue generated by the arena itself.

10. What is the future of the American Airlines Center? Are there any plans for future development?

The future of the American Airlines Center looks bright. While specific development plans are often confidential, the COC is constantly evaluating opportunities to enhance the fan experience and improve the arena’s infrastructure. This includes exploring new technologies, expanding seating options, and attracting new events. The City of Dallas also plays a role in long-term planning for the area surrounding the arena.

11. How can I book an event at the American Airlines Center?

To book an event at the American Airlines Center, you would typically contact the Center Operating Company’s event booking department. They will be able to provide information on availability, pricing, and other requirements. Contact information is usually available on the arena’s official website.

12. Is the American Airlines Center accessible for people with disabilities?

Yes, the American Airlines Center is committed to providing an accessible experience for all guests, including those with disabilities. The arena offers accessible seating, restrooms, parking, and other amenities to ensure that everyone can enjoy events comfortably and safely. Information about accessibility services is typically available on the arena’s website.