New York Jets Selling 2,000 Stadium Seats on eBay’s StubHub

Posted Sep 18, 2008

The New York Jets are auctioning off 2,000 personal license seats (PSLs) through the eBay Inc.  (NASDAQ:EBAY) website.  These are the best seats at the Giants’ stadium.  This is the first time that a major U.S. sports team embraced the online auctioning of these seats.  Giants expect these seats to go for more than $25,000 each. 

A personal license seat will give the buyer a stadium-life ownership of the seat.  The buyer can always resell these seats if they desire to.  PSLs started in 1993 and help publicly finance new and upcoming stadiums.  The new $1.6 billion stadium will host games for the Jets and the Giants starting 2010.

eBay will be selling the licenses through StubHub between October 19-27.  The 2,000 lower level seats will be sold on StubHub near the 50 yard line.  Another website, will be selling a floor price for the other PSLs.  All bidders will be screened and have to provide a credit card.  eBay will be making commission from this deal.

“These are the best seats in the house, so how do you set a price for
them?” stated Matt Higgins, EVP of Business Operations of the New York Jets. “Let the market decide.”

The Dallas Cowboys are also going to start playing in a new stadium.  The price set for the 1,000 PSLs in that new stadium was at $150,000 each.  The Giants CEO John Mara announced that he wanted to raise $370 million for the new stadium.  PSLs are a great way to gain capital seamlessly.  Tickets for the games in the new stadium are between $85 and $700.

eBay acquired StubHub for $310 million in January 2007.  Looks like it is already starting to show some sort of ROI.