One key reason Arctos Partners expects a big return on the 10% stake in the Buffalo Bills that was approved today at NFL meetings can be seen elsewhere in its investment group: The three retired Toronto sports stars who are also part of the transaction.
Having Raptors legends Vince Carter and Tracy McGrady as well as former Toronto FC striker Jozy Altidore involved portends a more intentional effort by the Bills to cultivate Canadian fans.
“Buffalo may appear like a small market, but you’re 60 miles from Toronto,” said Arctos Partners Managing Partner Doc O’Connor. “The demos will show that 15% of the stadium comes from the southern Ontario metroplex. That’s actually a fan base that we want to build on.”
Terry Pegula echoed O’Connor’s Toronto vision.
“The three pro athletes, they’re all icons in Toronto,” Pegula said. “That’s our market, so we’re going to grow our Toronto market, and they know that. I’ve asked them about it, and they’re willing to help.”
The timing is right to push for the loyalty of gridiron football fans across Lake Ontario, he said, with little reason for fans to suspect the team eventually wants to relocate there; a group that bid to buy the team before Terry Pegula got it in 2014 had indicated a desire to move the team to Toronto.
“I think the concern about the Toronto marketplace led to a lack of proactive activity around building on that fan base there,” O’Connor said. “But I think with the building of the new [Bills] stadium it’s pretty clear that Terry [Pegula] isn’t going anywhere, so consequently, I think some of the guardrails will come off in terms of building the fan base in that area, we think there’s lift there.”
O’Connor mentioned Highmark Stadium, which is scheduled to open in 2026, as a revenue driver. He also highlighted the Bills’ management team, which is led by chief operating officer Pete Guelli, and the potential advisory involvement of Arctos Operating Partner Brian Lafemina, who led NFL’s club business development division and has deep expertise in stadium projects and revenue enhancement efforts.
